US83406F1021 - Common Stock
It's been a banner year for banks. Even the worst performer among the big players is up 40% year-to-date.
SoFi isn't just a banking company, it's a technology company too.
These seemingly similar companies are different in a handful of ways that matter to investors.
Could SoFi stock set you up for life? CEO Anthony Noto has the ambitious goal of SoFi becoming a top-10 bank, and if it continues to grow the way it is right now, that could eventually happen. Another benefit of the expansion strategy is that it's leading to scale, and SoFi has reported positive net income for four consecutive quarters.
Inflation has moderated back to levels below 3%, the Federal Reserve is bringing interest rates back down, and the S&P 500 is up 28% year to date. As valuations in this market are looking bloated, particularly for growth stocks, there could soon be a run on safe stocks and dividend stocks. Nearly everyone is doing at least some of their banking online today, and banks that have easy-to-use digital services are winning market share.
SoFi isn't playing by the traditional rules of banking.
SoFi has built a booming business in banking, but how does the technology business work and scale?
The financial technology (fintech) space has evolved rapidly over the past several years as rising interest rates caused many fintech companies to expand their products and services. While some fintech companies failed to adapt, some figured out how to grow customers in an increasingly competitive landscape. Three fintech stocks that have come out stronger on the other side are SoFi Technologies (NASDAQ: SOFI), American Express (NYSE: AXP), and PayPal (NASDAQ: PYPL).
SoFi Technologies, Inc. (NASDAQ:SOFI) announced expanded access to alternative investments on Wednesday through three new private market funds, including the Cosmos Fund which exclusively holds SpaceX stock. What To Know: SoFi said it conducted a ...
If you're looking for excellent stocks that are also benefiting from strong tailwinds right now, Amazon (NASDAQ: AMZN), SoFi Technologies (NASDAQ: SOFI), and Carnival (NYSE: CCL)(NYSE: CUK) would be great picks. Amazon is leading innovation in artificial intelligence (AI). Ever since it unveiled its AI technology two years ago, it has remained at the forefront of the revolution, launching a large selection of services for Amazon Web Services (AWS) clients and even developing its own graphics processing units (GPUs) to compete with Nvidia's.