SOFI

SoFi Technologies Inc

Finance/Real Estate


Presented:07/30/2021
Price:$15.44
Cap:$12.28B
Current Price:$10.18
Cap:$10.85B

Presented

Date07/30/2021
Price$15.44
Market Cap$12.28B
Ent Value$2.34B
P/E RatioN/A
Book Value$0.05
Div Yield0%
Shares O/S795.22M
Ave Daily Vol11,634,726
Short IntN/A

Current

Price$10.18
Market Cap$10.85B
SoFi Technologies, Inc. provides financial services. It offers home loans, personal loans, in-school loans and a credit card. SoFi Technologies develops non-lending financial products, such as money management and investment product offerings, and leverage financial services platform to empower other businesses. The company was founded in 2011 and is headquartered in San Francisco, CA.

Publicly traded companies mentioned herein: Robinhood Markets Inc (HOOD), SoFi Technologies Inc (SOFI) 

Highlights

The presenter is short shares of SoFi Technologies Inc (SOFI). Fundamentally, SOFI is trying to be a neobank, but is woefully subscale and the competition in this area is substantial. Robinhood is a competitive threat and has 31MM total accounts (18MM of which are funded) vs. SOFI which only has ~2M users. As a result, the presenter believes the company’s growth projections are insane and believes its CAC should be much higher given how coveted these customers are going to be. In terms of a valuation, he thinks there is a huge disconnect between what current investors are putting a multiple on and what SOFI actually does. 

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Idea Discussion

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