SoFi Technologies (NASDAQ:SOFI) has been a remarkable stock to hold, up over 355% over the past three years. Like most stocks, short-term moves usually follow earnings releases, and these moves can go in either direction.
SoFi reports fourth-quarter and full-year 2025 results on January 30. Should you buy the stock in advance?
SoFi was one of the first digital banks and it evolved from a student loan company to a comprehensive financial management app. This strategy, which relies on cross-selling new products to customers as their needs evolve, leads to higher engagement and sales, and involves a long period of growth.
Not only is the business growing, but it is accelerating as it scales. It has onboarded record new customers over the past three quarters, each time breaking the previous record, and adjusted net revenue grew 38% year-over-year in the third quarter of 2025. All of its segments, which include lending, financial services and business-to-business technology platform, are growing double-digits. It’s certainly benefiting from lower interest rates in the lending industry, but the financial services segment, which is the non-lending business, is booming, with sales up 76% year over year during the quarter. All this growth leads to high profitability through scale, and with no physical storefronts requiring expensive real estate, it manages costs effectively.
It’s hard to believe SoFi won’t report strong earnings on January 30, but the market can be brutal based on its expectations. Wall Street expects $0.11 in Q4 earnings per share (EPS) and $0.36 for the full year. If it reports growth but doesn’t meet expectations, the stock could fall.
There could also be other reasons why this decline is taking place, including management directives or other actions that the market might not like, such as an acquisition or divestiture.
SoFi has exceeded EPS expectations over the past four quarters and the market has responded positively to its recent product innovation updates. The odds are therefore in favor of the title.
However, short-term movements are not expected to be that big. Long-term prospects are more important. So if you buy today and the stock ends up falling, don’t worry; SoFi stock is likely to gain again in 2026, and it could be a great stock to own for the long term.
