Jim Cramer - Mad MoneySoFi TechnologiesSOFIBUYJan 10, 2024

It has earnings, but is a terrible stock. It could bounce, but rates are going up and this trades at a high 26x PE.

These fintechs have slumped as people have returned to the old-fashioned banks. But he thinks things will shift back. SOFT is -6.22% in the past 6 months.

Is -35% the last 6 months. He doesn't feel those allegations hold water. Fintech has been a tough place to be.

Be patient with it. He's owned this for a year when it was going sideways. It can take time. There's concern with the consumer. They do buy now, pay later. Good growth and decent PE, but higher risk.

Upgraded. Tremendous opportunity here. There's still overhang from a shortseller, alleging creative accounting. It's trading like it will never grow again. Meanwhile, they just added 1 million members in the past quarter, huge growth that's turning into a financial powerhouse. 

He's a longtime SOFI bull, but it's been selling off lately as part of the AI displacement meltdown. It reported today with results mostly in-line, but guidance disappointed. Shares plunged 15% today, which is excessive.

Is -29% the past month. He passed on this in the high-$20s, but at $18 now it's worth looking at.

Has a high PE. Is pulling back and isn't finished. Buy it at $20.

A great company and CEO. Shares are resting now, but he expects them to rise again. This and Affirm are his favourite fintechs.

Is a long-time SOFI bull. Shares are +137% in the last 6 months. Still has upside, driven by genuinely great numbers: membership has soared from 5.22 million in 2022 to roughly 12.99 million today while revenue has more than doubled in that time. Also, is enjoying excellent earnings growth, and the company is now profitable. It looks pricey at 81x PE, but is reasonable at 107% earnings growth. SOFI has beaten sales and EBITDA ever since going public in 2021. They keep expanding their banking services until it's become more of a full-service financial institution, trusted by younger customers. Good to buy now after a pullback. Don't expect another rally like this year, but will perform well over 3-5 years.

It's moved up because it's much more of a service provider stock than a lender now, but it needs to digest. Let shares come down first before stepping in.

With a 76% one year gain, it was not overly surprising to see some profit-taking. The quarter was solid as was the outlook and commentary. There was record member growth and loan originations. New products/services add more potential. We think it is buyable and are warming up to this name. 
Unlock Premium - Try 5i Free

It reports Monday. He's long liked it, but short-sellers keep it down for no reason. He expects good numbers. Likes the CEO.

Is up 79% in the past year. Sell half, take profits.