NEW YORK, July 17, 2026, 1:05 p.m. EDT
- Shares rebounded 5.5%, climbing from a session low of $16.48 to $17.39. The stock was 0.4% higher during midday trading.
- The stock was still 7.4% lower than its July 10 closing value. The company will report second-quarter earnings on July 29.
- SoFi’s yearly benefit from deposit funding amounts to roughly 75% of the company’s projected 2026 adjusted net income.
SoFi reversed early losses to move higher by midday Friday, with shares at $17.39 as of 12:50 p.m. EDT. The Nasdaq Composite was off 1.3% near noon.
The divergence provided resilience amid a widespread decline in technology stocks. However, SoFi was still down 7.4% from last Friday’s closing price of $18.78.
SoFi’s funding structure remains a key concern for investors. In the first quarter, average deposits accounted for over 90% of average liabilities. The cost of deposits was 155 basis points less than warehouse funding.
SoFi projected $621.8 million in annualized interest expense savings based on that spread. This amount accounts for 75% of its $825 million adjusted net income goal for 2026. The figures are intended as a scale comparison, not as a direct profit calculation.
The funding advantage currently underpins the earnings narrative. Shares at $17.39 are valued at around 29 times the management’s projected 60-cent adjusted EPS. This valuation requires stronger and more transparent growth.
Management projects adjusted revenue to rise around 30% in the second quarter. The company is also aiming for an adjusted EBITDA margin of 30%. Adjusted net-income margin is forecast to be between 12% and 13%.
Certain U.S. fintechs illustrated why SoFi’s move on Friday was notable:
| Company | Price | Day move | Trailing P/E |
|---|---|---|---|
| SoFi Technologies NASDAQ:SOFI | $17.39 | up 0.4% | 38.7x |
| Robinhood Markets NASDAQ:HOOD | $103.46 | down 2.4% | 50.2x |
| Affirm Holdings NASDAQ:AFRM | $76.81 | down 3.8% | 68.6x |
| Upstart Holdings NASDAQ:UPST | $29.65 | down 4.0% | 72.2x |
Prices and trailing multiples were noted at about 12:50 p.m. EDT.
Robinhood, Affirm and Upstart continued to post steep declines. SoFi maintained the lowest trailing multiple compared with the other three.
This week’s drop reflects that expectations have shifted. SoFi is set to announce second-quarter earnings prior to the market open on July 29. The company’s conference call starts at 8 a.m. EDT.
Strong execution in the first quarter drove adjusted revenue up 41%, reaching $1.09 billion. Adjusted EBITDA rose 62% to $339.9 million. Net income totaled $166.7 million.
Membership numbers continued to climb quickly, as SoFi gained 1.055 million new members, bringing its total to 14.7 million. The number of total products increased 39% to 22.2 million.
The composition was less impressive. Fee-based revenue increased by 23%, compared to a 41% rise in adjusted revenue. Technology Platform revenue declined 27% to $75.1 million.
The gap serves as the main earnings benchmark. Accelerating fee growth would lessen reliance on lending margins and balance-sheet growth. This could also help sustain the high valuation multiple.
Following April’s results, William Blair analyst Andrew Jeffrey summed up market worries. “SoFi uncharacteristically did not flow through first-quarter revenue and EBITDA upside,” he said. Shares declined 12% that day. Reuters
Chief Executive Anthony Noto highlighted engagement. “Members grew 35% and products increased 39%, with 43% of new products coming from existing members,” he said. SEC
Risks persist. Losses from personal loans may increase, demand for loan sales could ease, and deposit expenses might climb. Further drops in the Technology Platform segment would create additional pressure.
The July 29 report needs to demonstrate that margin backed by deposits is sufficient to balance softer fee growth. An upward revision to guidance would be positive. A reiterated outlook might once again raise questions over valuation.
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