SoFi Technologies hasn't exactly been Wall Street's favorite stock. But that narrative might be shifting.
Wall Street analysts are leaning back into the fintech after SoFi shares had their best post-earnings performance on Tuesday since December 2025, according to Dow Jones Market Data. Leading the charge was Citi, whose latest takeaway boiled down to a simple thesis: Growth lies ahead.
The firm saw outperformance on multiple fronts in SoFi's latest quarterly earnings released before the open Tuesday. The firm wrote that SoFi's lending segment had fired on all cylinders in the third quarter, driven by a revenue surge of 66% from a year ago. Credit quality also improved even as lenders continue to navigate a high-interest-rate environment.
Strong platform engagement provided another green flag: Existing users accounted for more than half of all new product sign-ups. That's a sign that SoFi's cross-selling strategy, which encourages customers to use more than one of SoFi's financial products, has been working.
SoFi's preliminary guidance for 2027 added even more fuel to the bullish sentiment. The digital neobank expects adjusted net revenue to grow 27% to around $6.4 billion next year, while adjusted earnings are anticipated to reach 90 cents a share. The cherry on top was that SoFi said it wouldn't need additional capital to reach these goals.
Citi responded by lifting its own full-year 2027 targets for SoFi, saying it expects adjusted earnings of 91 cents a share on revenue of $6.44 billion.
"Our revisions reflect greater confidence in SoFi's growth outlook and operating leverage," Citi wrote in a note Wednesday. The firm maintained its Buy rating on SoFi stock with a $30 price target.
The bullish chorus didn't stop there. StoneX analyst Mark Palmer pointed out that for most of the year, SoFi was caught between two competing realities: a company that continued to set record quarters and a share price that kept falling.
Palmer says SoFi's third-quarter earnings have "begun to close that gap," and that the stock still has room to run. StoneX reiterated its Buy rating while bumping its price target to $27 from $25.
"We believe the company's early release of 2027 guidance helped to address one of the biggest questions that weighed on the stock this year: whether a higher-rate world would stall the operating model," Palmer wrote Wednesday.
Analyst Gus Gala at Monness, Crespi, Hardt also raised his price target on SoFi stock on Wednesday to $22 from $20 and maintained a Buy rating.
Shares of SoFi rose 2.7% to $16.84 on Wednesday after rising 13% the previous session to $16.42. That was the stock's best post-earnings performance since its December 2023 annual report, according to Dow Jones Market Data.
Whether this newfound optimism could finally translate into sustained gains for the stock remains to be seen. Wall Street still remains deeply divided, after SoFi stock has plunged about 37% this year as of the closing bell Tuesday.
Of the 29 analysts covering SoFi stock, 12 recommend buying shares while 12 have a Hold rating, according to FactSet data. Five analysts recommend selling the stock.
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