SOFI ( Sofi Technology) - The company is dealing with Students loan and digital banking in US. The recent 4th quarter managed to turn in profitable with profit of 48m. Chart wise, looks like she may rise up to retest 9 dollars again! Do take note!
Short term wise, I think crossing over 9.00 we may see her rising up towards 9.50 than 10.50.
Pls dyodd.
Quote :The company reported its first GAAP profit and is ready for some of its best days. The fintech company is transforming the banking experience for users and has seen a steady rise in active users. At the end of December, the company had 7.5 million members on the platform, which is up 44% YOY, leading to 11.1 million product signups.
Its GAAP profit of $48 million is only the beginning, and I believe the coming quarters will be interesting. The revenue was up 44% YOY to hit $615 million, and its financial services segment saw a 115% revenue jump while the lending segment saw a 24% rise. SoFi has been working on its products to ensure that it meets the changing needs of consumers. To a certain extent, it has become successful in the same.
With the resumption of student loan payments, SoFi will see a rise in demand for its lending products, which will be reflected in the coming quarters. It has already achieved a 30% gross margin in the recent quarter, and if it manages to keep the costs down, it could see an improvement in the margins. While it is not a cheap endeavor to transform traditional banking, the company has been successful in customer acquisition.
The management has a bullish outlook for 2024 and believes that it can grow the revenue at a compound growth rate between 20% to 25% through 2026. This can lead to an improvement in profit and EPS. The excellent results did not boost the stock, which is trading at $8.42 today and is down 12% year to date. This growth stock could double in 2024, and buying it below $10 seems wise.(investorplace.com)
No comments:
Post a Comment