SoFi stock jumps 20% on raised outlook

July 31, 2023 08:15 AM PDT | By Invezz

SoFi stock jumps 20% on raised outlook — Image source: Invezz

SoFi raised its full year guidance

Investors are cheering the raised guidance as well. The financial technology company now forecasts up to $343 million in adjusted EBITDA this year. In the earnings press release, CEO Anthony Noto said:

Our record number of member additions and strong momentum in product and cross-buy adds, along with improving operating efficiency, reflects benefits of our broad product suite and unique FSPL strategy.

The Nasdaq-listed firm added over 584,000 new members in its recently concluded quarter and 847,000 new products.

SoFi stock is now up a whopping 150% versus the start of the year.

SoFi Q2 financial highlights

Net loss printed at $58 million versus the year-ago $106 million
Per-share loss also narrowed materially from 12 cents to 6 cents
Revenue jumped 37% on a year-over-year basis to $498 million
FactSet consensus was 7 cents loss on $486 million in revenue
Deposits increased by $2.7 billion to hit $12.7 billion in total

What else was noteworthy?

Also a positive in its earnings report today was whole-loan sales that brought in $340 million. According to Michael Perito – a KBW analyst:

While the stock is near technical highs, the raised guidance and strong margins (particularly in financial services segment) present a clearer path towards profitability by the end of the year.

Personal-loan originations, student-loan originations, and home-loan originations were up 27%, down 1%, and down 27%, respectively.

Wall Street currently has a consensus “hold” rating on SoFi stock.

The post SoFi stock jumps 20% on raised outlook appeared first on Invezz.

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