Last Updated 12:40PM EST
Shares of financial services provider SoFi Technologies (NASDAQ:SOFI) are down today at the time of writing despite posting healthy first-quarter numbers.
Revenue rose 43% year-over-year to $460 million, outperforming estimates by $23.2 million. Moreover, net loss per share at $0.05 came in narrower than estimates by $0.03. The company added more than 433,000 members in Q1 taking the total member count to about 5.7 million.
Impressively, Sofi witnessed gains across Lending, Technology Platform, and Financial Services in Q1. The company’s total deposits rose 37% to $10 billion and with a lower cost of deposit funding, the company has legroom to drive net interest margins further.
But there’s more, SoFi also provided a promising financial outlook with expectations of $470 million to $480 million in revenue for Q2 2023. For the full-year 2023, revenue is expected to hover between $1.955 billion and $2.02 billion.
Adjusted EBITDA is seen landing between $268 million and $288 million. Importantly, the company’s top brass expects to hit quarterly profitability on a GAAP basis by the final quarter of this year.
Overall, the Street has an $8.20 consensus price target on SoFi, implying a potential upside of 31.6% in the stock.
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