It’s been a slow start to the year for SoFi (NASDAQ:SOFI), as shares of the personal finance company have lost about 15% so far. That comes despite SoFi reporting its first-ever profitable quarter.
During the fourth quarter, SoFi reported revenue growth of 34% to $594 million and a GAAP EPS of two cents, equivalent to net income of $48 million. Analysts were expecting revenue of $571.51 million and a GAAP EPS of 0 cents.
“We saw new member adds of nearly 585,000 and growth of 44% for total period end members of over 7.5 million, with new product adds of nearly 695,000 and growth of 41% to over 11 million total products at period end,” added CEO Anthony Noto.
SOFI stock initially spiked on the news but has since lost a majority of the gains. This is likely due to weaker-than-expected guidance. The company guided for Q1 adjusted net revenue between $550 and $560 million, which is lower than Q4. For 2024, the Tech Platform and Financial Services segments are expected to grow by at least 50%, while lending revenue is expected to fall between 5% and 8%. SoFi also guided for 20% to 25% revenue growth between 2023 and 2026.
5 Investors Betting Big on SOFI Stock
Tracking institutional ownership is important, as these large investors provide liquidity and support for stocks. During Q4, 542 13F filers disclosed a stake in SOFI, marking a healthy increase of 8.84% compared to 498 filers during Q3. In total, these filers own 374.26 million shares, up by 8.15% from 346.05 million shares. Six of these filers own SoFi in their top 10 positions.
Hedge funds, whose data is included in 13F metrics, were even more bullish. A total of 107 funds disclosed a stake in the company, up from 101 funds during the prior quarter. Total hedge fund exposure increased by a significant 23.77% to 92.31 million shares. Finally, four funds own SoFi in their top 10 positions.
With that in mind, let’s take a look at SoFi’s largest shareholders:
- Vanguard: 81.49 million shares. Vanguard acquired 5.05 million shares during Q4.
- BlackRock (NYSE:BLK): 40.49 million shares. BlackRock sold 278,277 shares during Q4.
- Silver Lake Group: 31.15 million shares. Silver Lake’s position remained unchanged during Q4.
- State Street (NYSE:STT): 16.17 million shares. State Street acquired 1.20 million shares during Q4.
- Geode Capital Management: 14.97 million shares. Geode acquired 708,226 shares during Q4.
On the date of publication, Eddie Pan did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
