"Can a stock that has already gained hundreds of percentage points keep moving higher? Or, has SoFi Technologies ( NASDAQ:SOFI) stock run out of gas in September 2025? That's the billion-dollar question today as fintech firm and fascinating neo-bank SoFi Technologies continues to draw the attention of audacious investors. In the wake of a massive multi-month run-up, price predictions for SOFI stock run the gamut from cheerful to pessimistic."
"If you can believe it, SOFI stock has rallied 66% year-to-date and 262% over the past year. Suffice it to say, SoFi Technologies stock has easily outperformed other banking-sector stocks like Visa ( NYSE:V) and Mastercard ( NYSE:MA). Momentum or "momo" traders might look at the SOFI stock chart and celebrate the huge gains. On the other hand, value investors may express concerns that SoFi Technologies stock is overextended and due for a pullback."
"It's true that SOFI stock has stalled somewhat during the past several weeks. Moreover, SoFi Technologies' trailing 12-month price-to-earnings (P/E) ratio of around 51x may raise valuation concerns. Yet, SoFi Technologies' share price and P/E ratio don't tell the full story. An up-and-coming business can have a fairly elevated P/E ratio for a very long time while the stock price just keeps on climbing."
SOFI stock has experienced a dramatic run, rallying 66% year-to-date and 262% over the past year, outperforming established payment firms. The share price has recently shown some stall, and the trailing 12-month P/E ratio near 51x raises valuation concerns for some investors. Momentum traders celebrate the gains while value investors worry about potential pullbacks. An expanding fintech and neo-bank can sustain a high P/E for an extended period if revenue growth and disruption of traditional banking continue. Barring unexpected events, SoFi Technologies appears positioned to keep growing revenue and expanding its market presence.
Read at 24/7 Wall St.
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