SoFi Technologies Inc (NASDAQ:SOFI) shares are rising Wednesday as analysts react to the company’s third-quarter results and a higher outlook.
- SoFi Technologies stock is moving in positive territory. Why are SOFI shares climbing?
SoFi Third-Quarter Results Beat Wall Street Estimates
SoFi’s third-quarter report beat Wall Street’s forecasts this week. The company also raised its outlook for the full year, and analysts are backing the stock in response.
Wall Street had expected 16 cents per share in adjusted earnings. SoFi delivered 18 cents. Adjusted revenue rose 44% from a year earlier to $1.37 billion, about $115 million above estimates of approximately $1.26 billion.
Analysts Raise Price Targets On SoFi Stock
Wells Fargo analyst Donald Fandetti traced the revenue upside to SoFi writing more loans at a wider net interest margin, the gap between what SoFi earns on loans and pays on funding. Personal loan originations hit $12.7 billion, up from $10.7 billion in the second quarter, and membership grew 35% to 17.1 million.
Higher interest rates cut the value of SoFi’s loan portfolio, Fandetti said, but stronger fees from making loans more than covered that loss. Wells Fargo maintained an Equal-Weight rating and lifted its target to $18 following the print.
Needham analyst Kyle Peterson reiterated a Buy rating and kept the price target at $24. Peterson said SoFi’s technology platform is recovering as new contracts ramp and the loss of Chime’s payment processing fades. Combined with better lending and picking-up loan volumes, that fueled a raised 2026 forecast and a 2027 outlook above consensus.
A refreshed credit card business, plus newer products such as small business loans, home equity lines of credit and tokenized deposit accounts, should keep SoFi growing for several years, Peterson said.
StoneX analyst Mark Palmer kept a Buy rating and boosted its target from $25 to $27. SoFi shares climbed almost 15% at one point on Tuesday, the firm said, and it believes the stock has “quite a bit further to go.” Investors had worried all year that higher interest rates would hurt SoFi’s business, StoneX said, and releasing 2027 guidance early helped settle that concern. The target equals 24 times StoneX’s $1.15 estimate for 2028 adjusted earnings per share.
Benzinga data covering 13 analysts shows a consensus Hold rating for SoFi. The average target sits at $21.19, within a range of $15 to $30.
SOFI Shares Are Climbing
SOFI Price Action: SoFi shares were up 2.74% at $16.85 at the time of publication on Wednesday, according to Benzinga Pro.
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