TD Cowen analyst Moshe Orenbuch revised price targets across five major consumer finance companies as part of a third-quarter earnings season preview, with Capital One and Affirm named as top picks.
SoFi Technologies Inc. (NASDAQ: SOFI) saw its price target trimmed to $17.50 from $18, with TD Cowen maintaining a Hold rating, implying roughly 11% upside from its last closing price.
Affirm Holdings Inc. (NASDAQ: AFRM) had its target reduced to $110 from $124, though TD Cowen kept its Buy rating, pointing to nearly 47% upside potential from where the stock last closed.
Capital One Financial Corp. (NYSE: COF) received a revised target of $242, down from $253, while retaining a Buy rating from the firm ahead of the upcoming earnings season.
Klarna Group PLC (NYSE: KLAR) saw its target cut to $16 from $18, with TD Cowen maintaining a Hold rating on the buy now, pay later company’s shares.
Sezzle Inc. (NASDAQ: SEZL) had its target lowered to $160 from $165, with TD Cowen holding a Buy rating on the Minneapolis, Minnesota-headquartered firm’s stock.
Despite the broad round of target reductions, Orenbuch singled out Capital One and Affirm as the firm’s preferred names within the consumer finance space heading into earnings.
Sezzle has been the standout performer among the group in 2026, with shares surging more than 77% since the start of the year amid growing profitability, upgraded financial guidance, and major funding updates.
Affirm is the only other company among the peer group to have posted positive returns this year, albeit modestly, with gains of just 0.6% in 2026.
SoFi, Capital One, and Klarna have each posted negative returns so far this year, while the broader Financial Select Sector SPDR Fund has slipped 0.18% over the same period.
On Stocktwits, retail sentiment around SoFi improved from bearish to neutral over a 24-hour window, while sentiment on Affirm, Capital One, Klarna, and Sezzle remained bearish at the time of writing.
The Financial Select Sector SPDR Fund, by contrast, carried an extremely bullish retail sentiment reading, suggesting divergence between institutional caution and broader retail optimism toward financial sector exposure.
