SoFi Stock Jumps Over 11% on Strong Earnings Beat and Upbeat Guidance

Shares of SoFi Technologies Inc. (SOFI) surged in pre-market trading on Tuesday after the digital finance company reported stronger-than-expected third-quarter earnings and provided an upbeat outlook that surpassed consensus estimates.

As of 8:41 AM EDT, the stock was trading at $16.10, an 11.34% increase from its previous close of $14.46, according to Investing.com. The move comes as a significant bounce for the stock, which was down approximately 51.8% over the past year prior to the earnings release.

Strong Results and Forward Guidance

SoFi's performance in the third quarter exceeded analyst expectations across key metrics. The company's positive results were driven by record revenue and member growth.

• Earnings Per Share (EPS): $0.18, beating the $0.17 estimate.
• Revenue: A record $1.39 billion, up 44% year-over-year and ahead of the $1.25 billion consensus.
• Adjusted EBITDA: Rose 70% to $469.8 million, representing a 34% margin.
• Member Growth: Added a record 1.2 million new members, bringing its total to 17.1 million, a 35% increase.

Crucially for investors, SoFi also raised its full-year 2026 guidance and issued its first-ever forecast for fiscal 2027, with both projections coming in above market expectations. The company now expects FY2026 revenue of about $5.04 billion and EPS of $0.61, compared to consensus estimates of $4.88 billion and $0.59, respectively. For FY2027, SoFi guided for revenue of $6.4 billion and EPS of $0.90, topping forecasts of $6.14 billion and $0.82.

Market Context and Technical Levels

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The pre-market rally lifts SoFi's stock above its 20-day simple moving average (SMA) of $15.20, a key short-term technical level. The stock is now approaching a resistance zone between $15.72 and $16.25, where it previously stalled in late September and early October.

Investors will be watching to see if the stock can overcome the next significant technical hurdles, which include its 50-day SMA at $16.66 and the 200-day SMA at $17.99. A sustained move above these levels could suggest a reversal of its long-term downtrend.

Analyst Views Remain Mixed

Despite the strong report, which marks the company's 11th consecutive quarterly earnings beat, analyst sentiment remains divided. Following the results, Monness, Crespi, Hardt initiated coverage with a Buy rating and a $20 price target.

However, some analysts remain cautious. KBW holds a Sell rating with a $15 price target, citing concerns that rising interest rates could negatively impact the company's fair-value accounting, according to Investing.com. The stock's history also shows that positive earnings have not always translated to sustained gains, with the share price falling after the last three earnings reports despite beating estimates.