Why Sofi Technologies at $18 Makes Zero Sense

SoFi Technologies (NASDAQ:SOFI | SOFI Price Prediction) has transformed itself over the past few years from a student loan refinancing outfit to a full-line, online financial services company. It now offers personal loans, home loans, student loans, banking deposits, investing, credit cards, and a technology platform serving other institutions through Galileo. 

Its latest fourth quarter earnings report posted record numbers across the board, including the addition of more than 1 million new members in a single quarter for the first time ever. Total members reached 13.7 million. While CEO Anthony Noto has fancifully envisioned SoFi one day becoming a trillion-dollar business, what’s even crazier is that it trades at $18 per share.

A Record-Setting Performance

SoFi Technologies delivered its first adjusted net revenue quarter above $1 billion in Q4, reporting $1.013 billion, up 37% year-over-year, while GAAP net revenue hit $1.025 billion. The company also posted GAAP net income of $174 million, marking its ninth consecutive profitable quarter, with a 17% net income margin.

The most important segments driving results were Financial Services and the Technology Platform, which together generated $579 million in revenue, or 57% of the total, up 61% year-over-year. Fee-based revenue reached a record $443 million, up 53%, and now accounts for 44% of adjusted net revenue. Lending remained a core contributor with adjusted net revenue of $486 million, but the shift toward higher-margin, diversified fee income highlights the platform’s evolution.

Full-year 2025 adjusted net revenue totaled $3.591 billion, up 38%, as adjusted EBITDA reached a record $1.054 billion. Superlatives from the past year include record member growth of 35%, record product growth of 37% to 20.2 million, deposits of $37.5 billion, and the first $1 billion revenue quarter. Management guided for at least 30% member growth and $4.655 billion in adjusted net revenue for 2026.

Five Years of Explosive Growth

SoFi Technologies has scaled dramatically since 2021.

The member base has grown at roughly a 50% compound annual growth rate when measured from the start of 2021. Revenue has more than tripled. The company swung from deep losses to consistent profitability, with Q4 showing a 17% net income margin. Market capitalization has risen despite significant share issuance from capital raises.

Here’s The Craziest Thing

But what may be the craziest thing is that today SoFi Technologies trades at just $18 per share. Why is that crazy? Because five years ago, the stock traded at over $20 per share. Not only has the stock essentially gone nowhere in that time, but it’s actually worth less than it had, despite the phenomenal growth in members, revenue, profitability, and product offerings.

Key Takeaway

SoFi Technologies stock is down 30% year-to-date in 2026 and sits 44% below its all-time high set in November. While analysts have a consensus price target of $26 per share, implying roughly 42% upside potential from current levels, based on where it traded in 2021 — with far fewer members, no profitability, and lower revenue — there should be much more upside potential. Even if the 2021 price was inflated, SoFi Technologies still has significant rerating potential higher as the market fully prices in its scaled, diversified, and profitable platform.