SOFI - SoFi Technologies Inc.

Host has a large position but stock is down due to rate sensitivity; no new catalysts, waiting for rate cuts.

Rate story: market perception tied to rate cuts. Business growing >40% with strong execution, but stock price is flat. Holding and buying leaps; outlook improves if rate cuts resume in 2027.

Steven released a prediction video and expects SoFi to do well, though he notes tailwinds from big banks may not directly help.

Expects a triple beat on Q2 2026 earnings with strong member growth, revenue beats, and margin expansion. The PEG ratio of 0.6 indicates cheap valuation relative to growth.

Third largest position but growth is consumer-driven; big banks are growing at 27% in investment banking where SoFi doesn't compete. Not a sell but not a strong buy either.

Not bearish but rate sensitive, uncertain on new revenue streams.

Host suggests grabbing SoFi ahead of earnings, citing AI products and growth. Guest uses LEAP spreads on it.

Goldman Sachs upgrade to $21, favorable macro for fintech, host believes online banking trend continues.

Host says almost 100% certainty SoFi will join S&P; expects stock to appreciate with rate cuts and growing product base.

Long-term compounding at over 30% growth with a low PEG ratio (~0.6) makes the stock attractive for 5-year horizons. Near-term macro risks from potential rate hikes are offset by strong fundamentals and expansion into banking and crypto services.