SoFi Stock Surges After Strong Q2 Earnings and Raised Outlook

SoFi Technologies (SOFI) delivered a solid performance in Q2 2025, exceeding Wall Street expectations and igniting investor enthusiasm. As a result, SoFi stock surged approximately 5% in premarket trading following the release of the financial report. 

With strong revenue growth, increased profitability, and a raised outlook for the year, many are asking: is SoFi stock a buy?

SoFi Stock News: Q2 2025 Earnings Breakdown

For the quarter ending June 30, SoFi posted net revenue of $854.9 million, representing a 43% year-over-year increase from $598.6 million. Adjusted net revenue reached $858.2 million, up 44% from the same period last year. Even more impressively, net income soared to $97.3 million—over five times the $17.4 million earned in Q2 2024.

SoFi’s adjusted EBITDA (earnings before interest, taxes, depreciation, and amortization) also witnessed a significant jump, rising 81% to $249.1 million. Fee-based revenue rose 72% to $377.5 million, fueled by robust performance from its loan platform and fintech services.

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Growth in Membership and Loan Originations

One of the highlights of SoFi’s financial results is its expanding customer base. The company reported a 34% increase in membership, reaching 11.7 million users. Additionally, the total number of products on the SoFi platform grew to 17.1 million, reflecting higher user engagement and retention.

Loan originations for the quarter amounted to $8.8 billion, driven by gains in personal, student, and home loans. This diversification across lending categories signals healthy demand and operational efficiency.

SoFi Raises Full-Year Guidance

Based on its stellar performance in the first half of the year, SoFi Technologies raised its full-year guidance. The company cited increased product adoption and rising demand for its technology platform as the main drivers for this upward revision. Investors have responded positively to this vote of confidence, fueling a fresh rally in SoFi stock.

SoFi Stock Forecast: What Analysts Say

According to 16 analysts, the average one-year price target for SoFi Technologies stock is $16.63. The highest estimate is $27.00, while the lowest stands at $6.00. Given SoFi’s current stock price of $21.02, the average target suggests a potential downside of -20.90%.

GuruFocus estimates the GF Value of SoFi Technologies at $11.50, indicating a possible -45.29% downside. The GF Value is calculated using a blend of historical price multiples, business growth metrics, and future projections. While recent performance has been strong, some analysts believe the stock is currently overvalued relative to its fundamentals.

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Conclusion

SoFi Technologies has demonstrated impressive growth in Q2 2025, with a remarkable surge in net income, expanding membership, and increased loan originations. The company’s decision to raise its full-year outlook is a positive signal for investors.

However, market analysts offer mixed forecasts, with valuation models such as GF Value suggesting a potential downside. As always, investors should carefully consider both the bullish momentum and valuation risks before making a decision.

FAQ

What drove SoFi’s Q2 2025 stock surge?

The stock rose on strong earnings, increased revenue, and a raised full-year outlook.

What is SoFi’s net income for Q2 2025?

SoFi reported $97.3 million in net income, significantly higher than $17.4 million a year ago.

How many users does SoFi have?

Membership grew 34% year-over-year to reach 11.7 million users.

Is SoFi stock a buy right now?

Analysts have mixed views, with average targets suggesting downside despite recent gains.

What is the GF Value estimate for SoFi?

GuruFocus estimates SoFi’s GF Value at $11.50, indicating it may be overvalued at its current price.