Should I Buy SoFi (SOFI)? — Finance YouTuber Analysis

The YouTuber is holding SoFi despite recent losses, believing the business fundamentals remain strong with record adjusted net revenue, growing deposits, and improving margins. He argues the stock's recent drop is due to investor expectation resets rather than business weakness, and he expects long-term growth given its fintech model and high EBIT margin.

“I refuse to sell the stock because I still personally believe in it.” — ▶ 1:00

The YouTuber is adding to his SoFi position, viewing it as a financial ecosystem that captures the entire lifetime value of a customer. He emphasizes SoFi's ability to cross-sell multiple products from a single app, leading to higher profitability per user and strong unit economics. He believes the company is executing flawlessly and that anything under $20 is a steal, with significant upside potential.

“They are executing flawlessly on their ecosystem. They have one customer. They turn that one customer into multiple income sources running all at once.” — ▶ Watch clip

The YouTuber argues that SoFi is currently undervalued, citing its consistent earnings performance over 20+ quarters, highly incentivized management (CEO Noto's pay package and personal share purchases), sandbagged guidance, and strong loan platform growth. He believes the stock price will eventually catch up to its fundamentals, similar to past successful long-term investments he made in Meta, Palantir, and Google when they were out of favor.

“I'm busy gobbling up shares once again, which if you want to see all those buys in real time, get my complete bull and bear case for SoFi stock.” — ▶ Watch clip

The YouTuber continues to buy SoFi due to its strong and improving fundamentals, consistent execution, and what they perceive as a cheap valuation relative to its growth rate. They argue that Wall Street has not yet accurately priced its potential, and that patient investors will be rewarded.

“So for me, SoFi continue to perform, especially on a forward basis, we are getting it at a really cheap valuation given the growth rates that they're giving and everything else.” — ▶ Watch clip

The YouTuber expresses high conviction in SoFi, viewing it as a 'steal deal' due to its continuously improving business fundamentals. He defends its use of dilution as a strategic tool for growth, similar to how many successful big tech companies have historically funded their expansion. He plans to continue accumulating shares.

“Love this team. Absolutely believe we're getting a steal deal here. So, I won't talk too much about it. You guys know my thoughts on SoFi. I'm going to continue to buy this stock here and continue to add it.” — ▶ 9:00

The YouTuber suggests SoFi as a buy, stating it fulfills his four criteria: negative retail and Wall Street sentiment, an undervalued forward valuation, and strong, accelerating fundamental growth. He contrasts current negative sentiment with its higher valuation when it was at $32, indicating it's now a better entry point.

“You're seeing everything line up hitting all four pillars. Definitely a business that I want to own.” — ▶ 12:50

The YouTuber is buying SoFi due to its consistent earnings performance over 20+ quarters and an attractive valuation, especially after a recent stock price dip and improved EPS guidance. Management's projections for significant growth in 2026 and 2027, coupled with the current 'out of favor' status of the fintech sector, present an opportunity to accumulate shares at a good price. He emphasizes increasing share count during periods of undervaluation.

“I am buying as much SoFi as possible, but the reasons why might surprise you. So, I'll give you the five reasons I'm personally still looking to buy SoFi stock.” — ▶ 00:00

The YouTuber recommends SoFi Technologies, believing it's on its way to becoming a financial giant. He highlights its rapid member growth, particularly among younger demographics, which creates long-term customer relationships for various financial products. He praises its asset-light business model and CEO Anthony Noto's strategy to focus on fees rather than excessive loan risk, positioning it well to navigate recessions and capitalize on future financial cycles.

“The way I view every share I buy at SoFi is like I'm be buying the next financial giant.” — ▶ 28:40

The YouTuber believes SoFi has the potential to become a financial giant, reaching a $50-$100+ stock price and potentially a trillion-dollar market cap over the next decade. He highlights its appeal to new generations as a one-stop financial shop and emphasizes the importance of the CEO avoiding over-leverage.

“I believe SoFi over the next decade is on their way to becoming a financial giant, right? where right now you might look at SoFi as more of a niche company.” — ▶ 29:00

The YouTuber is bullish on SoFi Technologies, viewing it as a future financial giant with a current market cap of around $20 billion, aiming for $100 billion+. He highlights its A+ income statement, with total net revenue up 43% and net income up 135%, and its success in attracting younger generations. He believes the company is well-positioned for long-term growth despite potential short-term volatility.

“This is a company that's on their way to becoming a financial giant.” — ▶ 43:50

The YouTuber identifies SoFi Technologies as a 'very hated stock' currently, but believes it will become one of the most loved stocks again in one to two years. He highlights its strong numbers, incredible growth, and potential to become a financial giant, noting its historical ability to make quick, significant moves.

“SoFi Technologies. This one, another one, a very hated stock right now. Look out for this one over the next year or two. I think it will once again become one of the most loved stocks in a stock market.” — ▶ 29:30

The YouTuber is bullish on SoFi due to its digital-first banking model, which offers superior economics compared to traditional banks. The new 'SoFi Coach' product is seen as a significant disruptor to financial advisory services, helping to drive increased member engagement and product adoption within SoFi's ecosystem, ultimately leading to higher revenue opportunities. The company's strong member growth and potential for cross-selling multiple products are key drivers.

“The reason I've been bullish on SoFi over the past couple of years is it's a digital first bank and that allows the company to do things completely differently than most banks.” — ▶ 00:00:05

The YouTuber recommends SoFi, viewing it as a company changing finance with its digital bank model. He highlights its strong customer acquisition, improving net income, and rapid growth in members (35% CAGR) and products (36% CAGR). He argues that its price-to-book value of two is justified by its digital nature and lower cost structure compared to traditional banks, and sees future tailwinds from innovative solutions like blockchain and stablecoins.

“If we want to think about the future of finance I think SoFi is going to be right there.” — ▶ 20:40

The YouTuber sees SoFi as an attractive entry point due to its strong growth in customer numbers and diversified business model, moving beyond student loans. Despite a recent stock price drop, its forward P/E of 23 combined with an expected 36% annual earnings growth over the next five years results in a low PEG ratio of 0.6, suggesting undervaluation. The company's cloud-native infrastructure and use of AI for credit decisions and fraud detection are also highlighted as strengths.

“Für mich aktuell eine interessante Chance zum Einstieg. Das jetzt auch ein guter Einstiegszeitpunkt sein könnte, wird auch deutlich, wenn man sich die Bewertung anschaut.” — ▶ 04:00

The YouTuber sold Sofi, realizing over 322% profit. This was part of a broader strategy to reduce risk and secure gains due to high valuations in the market, increasing cash reserves for future buying opportunities.

“Mit Sofi, einer meiner größten Positionen, konnte ich einen Gewinn von über 322 % realisieren.” — ▶ Watch clip

The YouTuber believes SoFi is extremely undervalued, highlighting its favorable risk-reward profile with significant upside potential in the base case. He acknowledges the lack of momentum compared to AI names but maintains conviction that it will eventually perform well.

“I still think this company is extremely undervalued. Here, the riskreward profile is probably one of the best out there. If you look at the bare case, that's only 4.3% downside. the base case 55.9% upside and the bull case 125.5% upside.” — ▶ Watch clip

The YouTuber added 200 shares of SoFi at around $16 per share, indicating a belief that it is undervalued at that price point. He states that SoFi is back to being his third-largest holding, suggesting continued confidence in the company's long-term prospects.

“because I did add another 200 shares of SoFi at around $16 per share which was on well May 26 200 shares an increase of 6.91% to my position” — ▶ 4:00

The YouTuber believes SoFi has bottomed out and is undervalued, with a fair value closer to $22-$23. He argues that a shift in market sentiment towards no rate hikes in 2026 would benefit SoFi, as it thrives in a lower rate environment. Additionally, SoFi's new stablecoin offering, leveraging its banking license, positions it uniquely in the digital asset space, allowing it to grow faster than traditional banks and justify a higher PE multiple.

“As you've seen with the DCF, I do believe that fair value sits much closer to 22 $23 right now. Could actually be a little bit higher as well.” — ▶ 5:00

The YouTuber bought more SoFi shares, citing CEO Anthony Noto's reported interest in buying leaps as a positive indicator. This suggests confidence in the company's future prospects.

“I did already buy more SoFi because hey if Anthony Noto is looking at buying leaps then one I should maybe also go and buy leaps and two I could start by just buying more shares which is what I did today.” — ▶ 00:19