SoFi Stock Caught Between Short Sellers and Surging Growth

SoFi ( (SOFI) ) has been popular among investors this week. Here is a recap of the key news on this stock.

SoFi Technologies shares have swung sharply over the past week as Wall Street digests both strong fundamentals and fresh controversy. The stock slipped after Wells Fargo initiated coverage with a Hold/Equal Weight rating at $19, praising SoFi as a digital leader with robust revenue and EPS growth but warning that the current valuation and loan-sale risks justify staying on the sidelines. Keefe, Bruyette & Woods kept its Sell/Underperform call with a $20 target, arguing that Muddy Waters’ short report on SoFi’s accounting raises new questions, even if many institutions already understand the issues.

At the same time, SoFi has delivered standout operating results, posting 2025 revenue of $3.6 billion, up roughly 38% year-over-year, Q4 sales of $1.01 billion, and a 60% jump in quarterly EBITDA to $318 million, alongside 1 million new members added in the latest quarter. Management is guiding for about 30% revenue growth to $4.7 billion and a 52% rise in EBITDA to $1.6 billion in 2026, which some investors, such as Stone Fox Capital, call “crazy cheap” at roughly 14 times 2026 adjusted EBITDA and use to justify a Strong Buy stance.

The short-seller attack has shifted attention to SoFi’s ownership and insider behavior. CEO Anthony Noto has responded by buying stock aggressively, acquiring about $500,000 worth of shares at around $17.32 after the Muddy Waters report, on top of an earlier $1 million purchase, signaling confidence in the business and calling the short thesis “factually inaccurate and misleading,” while hinting at possible legal action. According to TipRanks, public and individual investors hold about 64% of SoFi stock, with Vanguard and its funds among the largest institutional holders, and ETFs such as VTI and VB also carrying notable positions.

Despite recent volatility tied to the short report, geopolitical tensions, and broader rotations into defensive names, Street expectations still imply sizable upside from current levels. Consensus on SoFi is a cautious Hold, with roughly five Buy, eight Hold, and three Sell ratings, and an average 12‑month price target around $25–$26 that suggests about 50% to 53% potential appreciation. For retail investors watching the fintech space, SoFi now sits at the center of a tug-of-war between skeptics focused on its accounting and loan sales and bulls betting that rapid growth, improving margins, and aggressive insider buying will ultimately drive the stock higher.