SoFi Stock Falls On Soft Guidance Despite 'Strong Quarter' With Record Member Growth, Loan Originations: Analyst

Erica Kollmann

January 27, 2025

SoFi Technologies, Inc. (NASDAQ:SOFI) reported better-than-expected fourth-quarter financial results. However, the company's fiscal 2025 profit guidance dragged the stock down during Monday's session.

Here's a look at some details from SoFi's earnings call and early analyst reactions.

The San Francisco-based company posted earnings of 5 cents per share, beating estimates of 4 cents per share. Its revenue came in at about $739.11 million, beating analyst estimates of $674.13.

However, SoFi guided to approximately 30% incremental adjusted EBITDA margin for 2025, which was well-below Street estimates of greater than 50% and below 2024's 44% EBITDA margin.

Read Next: Royal Caribbean Q4 Earnings Preview: Can Cruise Line Stay Afloat Despite FX, Oil Headwinds?

SoFi emphasized its plans to reinvest earnings back into the business during the company's earnings call.

"We have significant untapped addressable markets in front of us and we have proven that the more we invest, the more we produce durable growth and strong returns. In 2025, we plan to manage towards an incremental EBITDA margin of around 30% as we reinvest in the business to drive that durable growth of 25% again in 2025 and ultimately strong returns well into the future," CEO Anthony Noto said.

JPMorgan analyst Reginald L. Smith released a "First Look" note following SoFi's Q4 earnings release. The analyst highlighted SoFi's success in its Loan Platform Business which originated $1.1 billion in personal loans in Q4 and generated $63 million in high-margin fee income.

Smith pointed to student loan originations being up 43% sequentially and reaching the highest levels since 2021.

"All told, it was a strong quarter highlighted by record Member growth and originations, though overshadowed, at least for the near term, by soft EBITDA guidance," Smith wrote.

Price Action: According to data from Benzinga Pro, SoFi stock fell 10.3% in Monday’s session to close at $16.08 per share.

Read Next:

Trump Reverses Biden’s AI Policies On Day 1: What It Means For Tech Giants Nvidia, AMD, Alphabet

Image: Shutterstock

Recommended

Action Needed: Money Saved for Retirement? It Could Be at Risk... - Ad

OLED Investors Saw 4,090% -- Is MicroLED Next? - Ad

"I Thought We Had More Time..." - Ad

Popular

Edmunds: 2025 Honda CR-V vs. 2025 Subaru Forester

The is a redesigned model, but Subaru didn’t exactly stray from the formula of the last generation. It’s still a boxy small SUV with great visibility, adventure-ready versatility, and a no-nonsense approach to interior design. Its many upgrades for 2025 help keep it competitive, but how does it fare against the class best?

Who is Mark Carney, the next prime minister of Canada?

TORONTO (AP) — Former central banker Mark Carney will become Canada’s next prime minister after a Liberal Party leadership vote in a landslide.

The Last Time Gold Flashed This Warning Sign, the Market Dropped 80%

The Last Time Gold Flashed This Warning Sign, the Market Dropped 80% - Ad

Both President Trump and Elon Musk are warning about something that could send the market down 50%, real estate down 40% and savings accounts down 30%.

Business News Digest

AP Business Digest

Donald Trump's 'Crypto Summit' Is A 'Critical Moment,' Experts Say

Industry experts expect the White House Crypto Summit on Friday to deliver crucial regulatory clarity and a framework for a U.S. strategic crypto reserve, potentially shaping the future of blockchain innovation.

Stocks to Watch: The "Mag 2000" Is Now Ready to Rebound

Stocks to Watch: The "Mag 2000" Is Now Ready to Rebound - Ad

After the Mag 7 boom and tariff worries, Brett Eversole says these stocks will explode next.

Nasdaq 100 To Enter Bear Territory, Confirms Historical Trend After Falling Over 3.5%: 'Not The Best Sign For Bulls,' Says Expert

Nasdaq 100 confirmed a historical trend that it could be entering a bear market after it fell 3.81% on Monday, its worst day since 2022.

Greece says ambitious Mediterranean power cable project is on track despite setbacks

ATHENS, Greece (AP) — The future of an ambitious electricity cable linking the power grids of , and Israel by the end of the decade is on track despite a series of setbacks, Greece’s Foreign Minister Giorgos Gerapetritis said Thursday.

Elon Musk's "Terrifying" $36T Debt Warning--Your Next Move Here

Elon Musk's "Terrifying" $36T Debt Warning--Your Next Move Here - Ad

You and your cash could be caught in the crossfire. But there's a way to prepare. A move many people might not know exists. And you'll be glad once you see it. This IRS provision -- a loophole, if you will -- could help you protect your wealth from inflation and market uncertainty.

Sam Bankman-Fried Says 'When Rubber Meets The Road' On Crypto's Fate Under Trump, Slams Biden's Policies

Disgraced cryptocurrency mogul Sam Bankman-Fried weighed in on the future of digital assets under President Donald Trump’s administration, according to an interview from his prison released Thursday.

Hong Kong's richest man, Li Ka-shing, is in hot water over his company's Panama Ports deal

HONG KONG (AP) — Hong Kong tycoon Li Ka-shing’s business empire is in the after CK Hutchison Holdings chose to sell its Panama Canal to a consortium that includes U.S. investment firm BlackRock Inc., apparently angering Beijing.

Trump's Secret Plan to Reboot the Dollar Leaked?

Trump's Secret Plan to Reboot the Dollar Leaked? - Ad

Steve Bannon let slip 3 shocking words--and Wall Street panicked. According to Bannon, President Trump is poised to restore the gold standard, reset the dollar, and send gold soaring. Position yourself before it's too late! Claim your free 2025 Gold Guide and discover the Trump Loophole to move funds from your IRA & 401(k) into gold--tax-free!

Fashion trends for fall: Big shoulders, even bigger coats and a color story to dye for

PARIS (AP) — Paris has spoken, and fashion’s final authority has laid down the law: This coming fall, it’s all about power shoulders, enveloping outerwear, and a color palette that runs from somber to surreal.

Mineralys Therapeutics Unveils Positive Data From Two Trials For Hypertension Drug Candidate

Mineralys Therapeutics' lorundrostat met key Phase 3 and Phase 2 trial endpoints for hypertension, showing significant blood pressure reductions and a strong safety profile.

Time to Buy Shares of Elon Musk's Partner

Time to Buy Shares of Elon Musk's Partner - Ad

The CEO of Nvidia said Elon Musk's new project is... "easily the fastest supercomputer on the planet." And Eric Fry, the legend who picked 41 stocks that jumped 1,000%+. Is now recommending shares of a company that has partnered with Elon Musk in this new project.

Elizabeth Warren Raises Questions On Robert F Kennedy's Mar-A-Lago Dinners With Big Pharma: American People Deserve To Know About The Deals Made

Sen. Elizabeth Warren and other lawmakers raised concerns about Robert F. Kennedy Jr.'s private dinners with pharmaceutical executives at Mar-a-Lago, questioning his commitment to reducing corporate influence as Secretary of Health and Human Services.

Bitcoin, Ethereum And Dogecoin Crash As Trump Refuses To Rule Out Recession: Arthur Hayes Predicts BTC To Retest $78,000

Leading cryptocurrencies sold off Sunday evening as President Donald Trump declined to rule out the possibility of a recession.

Unlocking the Future of Display Technology

Unlocking the Future of Display Technology - Ad

A tech innovator could enable the mass commercialization of MicroLED displays, securing a partnership with Taiwan's leading manufacturer. Can this under-the-radar company follow in OLED's footsteps?

Japan's economy grew at a 2.2% annual rate in Oct-Dec, as consumers held back on spending

TOKYO (AP) — Japan’s has cut its estimate for its economic growth in the last quarter of the year to a 2.2% annual pace from 2.8% as consumer spending hit demand.

Mortgage lender Rocket Cos. to acquire real estate brokerage Redfin in deal valued at $1.75 billion

Mortgage lender Rocket Cos. has agreed to acquire online real estate brokerage Redfin in an all-stock deal valued at $1.75 billion.

The 2025 'Trump Shock' [401K Owners Stunned]

The 2025 'Trump Shock' [401K Owners Stunned] - Ad

Trump's Gold Reset? A massive dollar overhaul could be coming! Insiders say Trump may return America to the gold standard--sending gold prices soaring. He's been stockpiling gold for decades... should you? Discover how to legally move funds from your IRA & 401(k) into gold tax-free!

Canada's new prime minister is triggering an election campaign this weekend. Hereâ€™s what to know

TORONTO (AP) — Canadian Prime Minister is expected to trigger the process for an early parliamentary election this weekend for an expected vote on April 28.

Jury reaches verdict in trial of pipeline company's lawsuit against Greenpeace, spokesperson says

MANDAN, N.D. (AP) — A North Dakota jury reached a verdict on Monday in the accusing the environmental advocacy group Greenpeace of defamation and disrupting the Dakota Access Pipeline project, according to a Greenpeace spokesperson.

Discover the 2025 IRS Loophole Americans Are Using

Discover the 2025 IRS Loophole Americans Are Using - Ad

If you have $50,000 or more saved for retirement, it could be at risk! 100% Tax & Penalty Free!

CompoSecure Beats EBITDA Estimates But Analyst Cuts Price Forecast Amid Resolute Spin-Off And Growth Outlook

Analyst maintains Buy rating & lowers price target for CompoSecure Inc after Q4 revenue & EBITDA miss, but gains comfort with Resolute spin & Arculus profitability.

Canadian man sentenced to 25 years for shootings that damaged pipeline and power station in Dakotas

BISMARCK, N.D. (AP) — A Canadian man has been sentenced to 25 years in federal prison for shootings at an oil pipeline in South Dakota and an electrical substation in North Dakota that caused $1.7 million in damages after a judge found that his crimes met the definition of terrorism.

Washington Won't Save You--but This 4-Step Plan Might

Washington Won't Save You--but This 4-Step Plan Might - Ad

America's economy is unraveling--soaring costs, skyrocketing debt, and Wall Street insiders dumping stocks. This isn't a recession--it's an economic breakdown. Stocks could crash 50%, real estate 40%, and inflation will eat your savings. But history shows: the biggest crashes create the biggest fortunes--if you act now!

CVS Weight Management Program Yields 15% Average Weight Loss, 26% Cost Saving Among Participants

CVS Weight Management program members achieved 15% average weight loss, with 92% satisfaction and 26% lower GLP-1 medication costs for participating clients.

Ontario Zaps US States With Higher Electricity Prices In Retaliation To Trump Tariffs

Bloomberg reports that Ontario on Monday has implemented a 25% electricity price hike on exports to several states. Premier Doug Ford emphasized that the move targets President Trump's policies rather than American consumers.

Forget Nvidia - This Odd Tariff Play Is Now Going Viral

Forget Nvidia - This Odd Tariff Play Is Now Going Viral - Ad

As President Trump slaps China with new tariffs, the Fed is boxed in--and gold is skyrocketing just like it did during Trump's first term. JPMorgan just grabbed $4 Billion in gold bars... should you? Discover a "Tariff Assistance Loophole" to move funds from your IRA & 401(k) into gold--tax-free!

Cango's Fortunes Turn Around Following Move Into Bitcoin Mining

Cango's revenue rose more than fivefold in the fourth quarter of last year, following its launch of a bitcoin mining operation in November.

Magnificent 7 Sheds Over $750 Billion In Market Cap In One Day: Is Big Tech's Honeymoon Over? (CORRECTED)

The Magnificent Seven tech companies, including Tesla, which make up 30% of the S&P 500, saw major losses on Monday due to recession fears.

Be Greedy When Others Are Fearful

Be Greedy When Others Are Fearful - Ad

With consumer sentiment declining to levels that are historically considered the "bottoming zone"... this could be a really good time to buy stocks. Because big consumer sentiment rebounds out of the bottoming zone -- coincided with major market rebounds, and abundant opportunities.

Dollar General Q4 Earnings Preview: Revenue, Profit Margins, Tariffs In The Spotlight

Dollar General is set to release its fourth-quarter financial results ahead of Thursday's opening bell. Here's a look at what to expect in the report.

Canada's Liberals will elect new leader to replace Trudeau as country deals with Trump's trade war

TORONTO (AP) — Canada's governing Liberals will announce a replacement for Prime Minister on Sunday as the country deals with U.S. President Donald Trump's and as a federal election looms.

Elon + Nvidia + ?????

Elon + Nvidia + ????? - Ad

Musk just teamed up with Nvidia and an emerging tech giant to build the largest AI supercomputer ever--and hardly anyone is talking about it. Discover how to "partner" with Musk before 99% of investors catch on! Click now--before it's too late!

Why should America worry about Trump? Try the price of eggs, say some Democrats

NEW YORK (AP) — As their party struggles to navigate the early days of Donald Trump's second presidency, some Democrats are convinced that their road to recovery lies in the price of eggs.

Incyte Releases Mixed Data From Late-Stage Opzelura Studies In Skin Disease Characterized By Itchy Firm Lumps

Incyte's Phase 3 TRuE-PN trials show ruxolitinib cream improves itch relief in prurigo nodularis, though TRuE-PN2's primary endpoint fell short.

DOGE's Next Target Set To Hand 401K Savers A Windfall?

DOGE's Next Target Set To Hand 401K Savers A Windfall? - Ad

Musk's Department of Government Efficiency has already uncovered $55B in waste--and Trump's backing his plan to return $2T in savings to taxpayers. But why wait? Unlock a legal Trump IRS loophole to protect & grow your wealth NOW!

Tesla's China Boom, Rivian's Sweet Ride, And Trump's Tariffs Threat: This Week In Mobility

The EV industry saw major developments over the weekend, with Tesla's Model Y surging in China, its Model S/X retreating from Japan, Rivian unveiling its Georgia timeline and an ice cream truck partnership, and Trump's tariffs threatening the profits of Detroit's Big Three automakers.

Trending Now