SoFi Shares Fall 5.45% to $14.42, Near 52-Week Low
SoFi shares were down 5.45% at $14.42, near the stock’s 52-week low of $14.88. The report cited weakness in bank stocks after Bank of America missed third-quarter earnings and revenue estimates.
SoFi Technologies Inc. (NASDAQ: SOFI ) shares are under pressure Wednesday after Bank of America reported third-quarter earnings that missed estimates. SoFi shares are approaching critical lows. What’s behind SOFI weakness?
11. 685 billion. 9 billion. 4 billion and loans grew 6%, but trading revenue came in below expectations.
Fixed income trading fell 17%, and investment banking revenue dropped 11%. Bank of America shares fell about 7% to 8%. On Tuesday, JPMorgan Chase missed earnings and revenue estimates for the first time in years. Why SoFi Is Feeling the Pressure SoFi holds a national bank charter, so it often trades with bank sentiment, and Wednesday’s bank selloff comes alongside a hot inflation reading that pushed Treasury yields higher.
SoFi is especially sensitive to rates. Keefe, Bruyette & Woods analyst Timothy Switzer reiterated an Underperform rating and cut his price target to $15 from $16 on Monday. He said rising rates and SoFi’s growing balance sheet cost the company more than $1 billion in the third quarter, a figure that excludes any relief from hedges, and he raised capital concerns tied to fair value accounting. 88 and is down about 40% this year, according to a CNBC report on a StoneX note.
Analysts are split ahead of its third-quarter report. StoneX initiated coverage Tuesday with a Buy rating and a $25 price target, citing attractive valuation. 50 from $18. 42, according to data Pro.
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