SOFI Stock Rises Premarket: Why This Analyst Sees 40% Upside From Here

Scotiabank initiated coverage of SoFi Technologies with an ‘Outperform’ rating and a price target of $25.

• The firm said that SoFi’s second-quarter report signals a broader financial platform with faster member growth, deeper product penetration, a scaled deposit base, and improving fee revenue.
• The analyst said that it believes the company's member growth, deposit funding, and capital-light revenue will support estimates above consensus over time.
• According to Koyfin data, SOFI has a 12-month average price target of $20.26, implying upside of more than 13% from its last close. 

Shares of SoFi Technologies Inc. (SOFI) rose over 0.7% in early premarket trading on Thursday, shortly after Scotiabank initiated coverage of the company with an ‘Outperform’ rating and a price target of $25.

The target implies an upside potential of 40.13% from the stock’s last closing price. 

Scotiabank Sees Upside From Faster Member Growth

The firm said that SoFi’s second-quarter report signals a broader financial platform with faster member growth, deeper product penetration, a scaled deposit base, and improving fee revenue, according to TheFly. 

SoFi recorded member growth of 35% in Q2, which jumped to a record 15.8 million. Meanwhile, product growth also increased 42%, touching a record 24.4 million products.

Scotiabank said that the company’s loan platform business "adds another important layer" by allowing SoFi to monetize origination and underwriting without retaining every loan on the balance sheet. 

SoFi’s Lending segment revenue jumped 63% year-over-year to $724.8 million in Q2, while Financial Services revenue rose 29% to $466.3 million. However, the Technology Platform segment posted $84.5 million in revenue, down 23% from a year ago.

The analyst said that it believes the company's member growth, deposit funding, and capital-light revenue will support estimates above consensus over time.

According to Koyfin data, SOFI has a 12-month average price target of $20.26, implying upside of more than 13% from its last close. 

SOFI: Q2 Snapshot

For the latest quarter, SoFi reported record revenue of $1.21 billion, up 43% from a year earlier, topping Wall Street expectations. Diluted earnings per share came in at $0.12, matching consensus estimates. 

SoFi raised its full-year 2026 revenue outlook to $4.75 billion to $4.85 billion, representing 32% to 35% year-over-year growth.  In the previous quarter, the company had guided to $4.66 billion in revenue. 

SOFI Stock: Retail Stance

On Stocktwits, retail sentiment around SOFI stock was ‘bearish’ at the time of writing, while it was among the top trending tickers. 

One user expressed dissatisfaction at a lack of news from the company, saying, “$SOFI again Nu outperforming Sofi. Hood outperforming Sofi. Affirm outperforming Sofi. Weakness all over. Since several weeks you are hearing nothing from Noto...on no platform.”

Many retail investors have grown concerned over the company’s sustained decline, with some suggesting Robinhood Markets Inc. (HOOD) as a better pick.

However, another user broke down the positives of SoFi, noting that a 1.3% penetration of SoFi Plus subscribers creates plenty of room for growth, while also highlighting that one in four existing members went on to add another SoFi product. “I don’t think the biggest opportunity with SoFi Plus is simply subscription revenue. It’s what happens after someone subscribes. More products per member. Higher lifetime value. A stickier financial ecosystem. That could make SoFi Plus much more important to the long term $SOFI thesis than the market realizes,” they added. 

SOFI stock is down about 35% in 2026. Meanwhile, rival HOOD stock is down just about 7% and Affirm Holdings (AFRM) is up 0.08% in the same time. 

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