SoFi Technologies (SOFI)

It's doing very well, but is not reflected in the stock. It will.

It's doing very well, but is not reflected in the stock. It will.

Shares are cheap, they had a great quarter and the CEO is good.

Shares are down 6.5%. Why? They're turning a corner, doing everything right.

It consolidated last year and early this year. A low-volume stock. It broke out earlier this year, then fell back, but has recently held. If it can hold current levels, that's a good sign. Not a bad chart. If it breaks below support, then sell.

Shares jumped 20% after reporting in late-July, rebounding from a sell-off in the quarter before after that report. But in the past month, it's been hit like so many stocks by rising interest rates and probably some profit-taking. He still believes in it.

Is up 60% in the last 3 months. PayPal and Robinhood keep going up, so SOFI can also go up more by 25-30%.

Student loans is their niche, but they face a challenge from Pres. Biden announcing a moratorium on student loans. Sofi is volatile and their earnings still lie in the future. Higher interest rates don't help. If Sofi endure can the next year or two, maybe look at this stock.

SOFI, being a digital lending and financial services company, makes sense for the general direction that society is moving toward. On a company-specific level, earnings results have been improving recently, analyst estimates call for solid revenue growth in the next few years and for profitability to be achieved within the next few years. Its valuation is decent, but its free cash flows are significantly negative. The CEO has been buying which is a positive sign, and momentum has been to improve. As a more speculative position, we would be OK with entering this name here, while being mindful of position sizing and the risks involved. 
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Is up 9% in the last 3 months. Student loans are coming back.