SoFi Technologies ( (SOFI) ) is experiencing volatility. Read on for a possible explanation for the stock’s unusual movement.
SoFi Technologies’ stock faced a downturn following Keefe Bruyette’s downgrade to ‘Underperform’ from ‘Market Perform’. The downgrade was due to an overstretched valuation, highlighted by analyst Timothy Switzer, who pointed to a potential 46% downside under a base case scenario with a 10x earnings multiple. Despite the company’s progress in scaling and improved macroeconomic conditions, the valuation is seen as excessive. Nonetheless, investor sentiment remains positive, with many portfolios still holding the stock, indicating confidence in its long-term potential.
More about SoFi Technologies
Average Trading Volume: 52,999,518
Technical Sentiment Consensus Rating: Sell
Current Market Cap: $16.71B
For further insights into SOFI stock on TipRanks’ Stock Analysis page.
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