Sofi Technologies Stock Buy Hold or Sell Recommendation
| SOFI Stock | USD 15.60 0.59 3.93% |
Given the investment horizon of 90 days and your typical level of risk aversion, our recommendation regarding SoFi Technologies is 'Strong Buy'. The recommendation algorithm takes into account all of SoFi Technologies' available fundamental, technical, and predictive indicators you will find on this site.
Check out SoFi Technologies Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. For more detail on how to invest in SoFi Stock please use our How to Invest in SoFi Technologies guide. In addition, we conduct extensive research on individual companies such as SoFi and provide practical buy, sell, or hold advice based on investors' investing horizon and their risk tolerance towards SoFi Technologies. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in census.
SoFi |
Execute SoFi Technologies Buy or Sell Advice
The SoFi recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on SoFi Technologies. Macroaxis does not own or have any residual interests in SoFi Technologies or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute SoFi Technologies' advice using the current market data and latest reported fundamentals.
Time Horizon
Risk Tolerance
 |  |
Strong Buy
Market Performance | Strong | Details | |
Volatility | Somewhat reliable | Details | |
Hype Condition | Over hyped | Details | |
Current Valuation | Overvalued | Details | |
Odds Of Distress | Below Average | Details | |
Economic Sensitivity | Hyperactively responds to market trends | Details | |
Investor Sentiment | Impartial | Details | |
Analyst Consensus | Buy | Details | |
Financial Strenth (F Score) | Frail | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Possible Manipulator | Details |
SoFi Technologies Trading Alerts and Improvement Suggestions
| SoFi Technologies appears to be risky and price may revert if volatility continues | |
| The company reported the previous year's revenue of 2.05 B. Net Loss for the year was (300.74 M) with profit before overhead, payroll, taxes, and interest of 1.21 B. | |
| SoFi Technologies currently holds about 935.16 M in cash with (7.23 B) of positive cash flow from operations. This results in cash-per-share (CPS) ratio of 1.01. | |
| SoFi Technologies has a frail financial position based on the latest SEC disclosures | |
| Latest headline from investing.com: Sofi technologies EVP Kelli Keough sells shares worth 139,593 |
SoFi Technologies Returns Distribution Density
The distribution of SoFi Technologies' historical returns is an attempt to chart the uncertainty of SoFi Technologies' future price movements. The chart of the probability distribution of SoFi Technologies daily returns describes the distribution of returns around its average expected value. We use SoFi Technologies price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of SoFi Technologies returns is essential to provide solid investment advice for SoFi Technologies.
| Mean Return | 1.23 | Value At Risk | -3.44 | Potential Upside | 7.21 | Standard Deviation | 3.36 |
Return Density |
| Distribution |
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of SoFi Technologies historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.
SoFi Technologies Cash Flow Accounts
| 2019 | 2020 | 2021 | 2022 | 2023 | 2024 (projected) | ||
| Investments | (3.6M) | 829K | (84.6M) | (106.3M) | (1.9B) | (1.8B) | |
| Change In Cash | 153.2M | 633.2M | (555.0M) | 1.1B | 1.8B | 1.9B | |
| Net Borrowings | (368.0M) | 524.9M | (1.0B) | 1.3B | 1.2B | 1.3B | |
| Free Cash Flow | (92.3M) | (503.9M) | (1.4B) | (7.4B) | (7.3B) | (7.0B) | |
| Depreciation | 16.0M | 69.8M | 101.6M | 151.4M | 201.4M | 211.5M | |
| Other Non Cash Items | 93.1M | (381.1M) | (1.2B) | (7.4B) | 250.0M | 262.5M | |
| Capital Expenditures | 37.6M | 24.5M | 52.3M | 103.7M | 121.2M | 127.3M | |
| Net Income | (239.7M) | (224.1M) | (483.9M) | (320.4M) | (300.7M) | (315.8M) | |
| End Period Cash Flow | 690.2M | 1.3B | 768.4M | 1.8B | 3.6B | 3.8B | |
| Change To Netincome | 65.8M | 49.7M | (955.1M) | (7.1B) | (6.4B) | (6.1B) |
SoFi Technologies Greeks
Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to SoFi Technologies or Consumer Finance sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that SoFi Technologies' price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a SoFi stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α | Alpha over Dow Jones | 0.98 | |
β | Beta against Dow Jones | 2.03 | |
σ | Overall volatility | 3.39 | |
Ir | Information ratio | 0.33 |
SoFi Technologies Volatility Alert
SoFi Technologies currently demonstrates below-average downside deviation. It has Information Ratio of 0.33 and Jensen Alpha of 0.98. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure SoFi Technologies' stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact SoFi Technologies' stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.SoFi Technologies Fundamentals Vs Peers
Comparing SoFi Technologies' fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze SoFi Technologies' direct or indirect competition across all of the common fundamentals between SoFi Technologies and the related equities. This way, we can detect undervalued stocks with similar characteristics as SoFi Technologies or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of SoFi Technologies' fundamental indicators could also be used in its relative valuation, which is a method of valuing SoFi Technologies by comparing valuation metrics with those of similar companies.
| Better Than Average | Worse Than Average | Compare SoFi Technologies to competition |
| Fundamentals | SoFi Technologies | Peer Average |
| Return On Equity | 0.0372 | -0.31 |
| Return On Asset | 0.0069 | -0.14 |
| Profit Margin | 0.09 % | (1.27) % |
| Operating Margin | 0.09 % | (5.51) % |
| Current Valuation | 17.89 B | 16.62 B |
| Shares Outstanding | 1.09 B | 571.82 M |
| Shares Owned By Insiders | 3.19 % | 10.09 % |
| Shares Owned By Institutions | 46.64 % | 39.21 % |
| Number Of Shares Shorted | 162.31 M | 4.71 M |
| Price To Book | 2.77 X | 9.51 X |
| Price To Sales | 6.72 X | 11.42 X |
| Revenue | 2.05 B | 9.43 B |
| Gross Profit | 1.21 B | 27.38 B |
| EBITDA | (300.33 M) | 3.9 B |
| Net Income | (300.74 M) | 570.98 M |
| Cash And Equivalents | 935.16 M | 2.7 B |
| Cash Per Share | 1.01 X | 5.01 X |
| Total Debt | 5.36 B | 5.32 B |
| Debt To Equity | 0.86 % | 48.70 % |
| Current Ratio | 2.24 X | 2.16 X |
| Book Value Per Share | 5.65 X | 1.93 K |
| Cash Flow From Operations | (7.23 B) | 971.22 M |
| Short Ratio | 2.87 X | 4.00 X |
| Earnings Per Share | 0.12 X | 3.12 X |
| Price To Earnings To Growth | (0.06) X | 4.89 X |
| Target Price | 10.07 | |
| Number Of Employees | 4.4 K | 18.84 K |
| Beta | 1.61 | -0.15 |
| Market Capitalization | 16.93 B | 19.03 B |
| Total Asset | 30.07 B | 29.47 B |
| Retained Earnings | (1.8 B) | 9.33 B |
| Net Asset | 30.07 B |
Note: Acquisition by Chad Borton of 80751 shares of SoFi Technologies subject to Rule 16b-3 [view details]
SoFi Technologies Market Momentum
Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as SoFi . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.
About SoFi Technologies Buy or Sell Advice
When is the right time to buy or sell SoFi Technologies? Buying financial instruments such as SoFi Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.
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Check out SoFi Technologies Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. For more detail on how to invest in SoFi Stock please use our How to Invest in SoFi Technologies guide.You can also try the USA ETFs module to find actively traded Exchange Traded Funds (ETF) in USA.
Is Consumer Finance space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of SoFi Technologies. If investors know SoFi will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about SoFi Technologies listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Earnings Share 0.12 | Revenue Per Share 2.472 | Quarterly Revenue Growth 0.341 | Return On Assets 0.0069 | Return On Equity 0.0372 |
The market value of SoFi Technologies is measured differently than its book value, which is the value of SoFi that is recorded on the company's balance sheet. Investors also form their own opinion of SoFi Technologies' value that differs from its market value or its book value, called intrinsic value, which is SoFi Technologies' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because SoFi Technologies' market value can be influenced by many factors that don't directly affect SoFi Technologies' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between SoFi Technologies' value and its price as these two are different measures arrived at by different means. Investors typically determine if SoFi Technologies is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, SoFi Technologies' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.