Shares of SoFi Technologies (NASDAQ: SOFI) surged approximately 8% at Thursday’s close, marking the stock’s strongest single-day gain of 2026, driven by a second-quarter revenue beat.
The fintech company reported record Q2 revenue of $1.21 billion, a 43% increase from the same period a year earlier, comfortably exceeding Wall Street expectations.
Earnings per share came in at $0.12 for the quarter, landing in line with consensus estimates, offering investors little incremental upside on the bottom line.
Despite the revenue strength, multiple Wall Street analysts responded by trimming their price targets on the stock, reflecting concerns about the sustainability and cost of continued growth.
Morgan Stanley lowered its price target on SoFi to $15 from $16 while maintaining an ‘Underweight’ rating, noting that while Q2 revenue beat estimates by 7%, growth is becoming more capital intensive.
BofA analyst Mihir Bhatia reduced his price target to $16 from $17 and held an ‘Underperform’ rating, suggesting investors are likely disappointed with the lack of revenue upside flowing through to the bottom line.
Bhatia maintained his 2026 EPS estimate, raised his 2027 estimate, but lowered his target multiple to account for higher near-term investments, adding that investors can find better risk-reward elsewhere in the fintech sector.
Needham cut its price target to $24 from $25 but kept a ‘Buy’ rating on the shares, citing muted loan platform volumes even as the company continues to put more loans on its own balance sheet to optimize earnings and capital ratios.
Goldman Sachs and Wells Fargo also lowered their respective price targets on SoFi, adding to a broad wave of analyst caution following the earnings report.
SoFi raised its full-year 2026 revenue outlook to between $4.75 billion and $4.85 billion, implying year-over-year growth of approximately 32% to 35%.
The company held its adjusted EBITDA forecast steady at approximately $1.6 billion and maintained its adjusted EPS guidance of around $0.60 for the full year.
On Stocktwits, retail sentiment around SOFI remained in ‘extremely bullish’ territory over the 24-hour period following earnings, accompanied by ‘extremely high’ message volumes.
One user wrote, “$SOFI I’ll just leave this right here 50% growth yoy and price is lower than last year? This is going much higher.”
Another user commented, “$SOFI well the banks are running scared and just issued a rerating of the SOFI price targets. Wells Fargo and Morgan Stanley just don’t get it. They’ll work for SOFI some day.”
A third retail investor added, “$SOFI anyone who knows how to actually read earnings reports is buying a ton of this.”
Despite Thursday’s rally, SOFI stock remains down approximately 40% so far in 2026, leaving a significant gap between current prices and the more bullish targets held by firms like Needham.
