SOFI

SoFi Technologies stock has delivered a strong 116.0% return over the past three years, yet the current market price screens as expensive compared with its intrinsic value estimate and broader valuation checks. Recent weakness in the share price adds another layer of complexity as investors weigh the growth story against signals that the stock may be pricing in a lot of good news already. Over the past three years, SoFi Technologies has returned 116.0%, which puts more focus on whether the current valuation still leaves enough room for attractive future returns. The new partnership with Kraken, including the planned listing of SoFiUSD and use of Kraken Prime for added crypto liquidity, can support growth expectations, while execution risks around integrating traditional banking with digital assets may weigh on how much value investors assign to that opportunity. The broader valuation work, including the Excess Returns intrinsic value estimate and market multiple checks, points to SoFi Technologies as overvalued, and the stock is not a clear bargain on any of the 6 value checks. For investors, the debate is whether SoFi Technologies' long term growth potential and new crypto banking links are strong enough to justify a stock that screens as overvalued on both intrinsic value and market multiple measures. Balance the strong three year rebound in SoFi Technologies with other potential opportunities by scanning 52 high quality undervalued stocks that the market may be pricing more conservatively. The Excess Returns model looks at how much profit SoFi Technologies can generate above its cost of equity and then capitalizes that surplus. For SoFi, the model uses a Book Value of $8.58 per share and a Stable Book Value estimate of $10.28 per share, alongside a Stable EPS of $0.94 per share. Those earnings are set against a Cost of Equity of $0.83 per share, which implies an Excess Return of $0.11 per share and an Average Return on Equity of 9.17%. Putting those inputs together, the Excess Returns model arrives at an intrinsic value estimate of $12.81 per share. Compared with the current share price, this points to the stock trading about 44.5% above that intrinsic estimate, so SoFi Technologies screens as overvalued on this framework. The recent SoFi and Kraken partnership around stablecoin issuance and banking connectivity may be boosting enthusiasm for future growth, yet the model suggests the market is already assigning a rich valuation to those expectations. On the Excess Returns view, SoFi Technologies stock currently looks overvalued relative to its modeled intrinsic value. Our Excess Returns analysis suggests SoFi Technologies may be overvalued by 44.5%. Discover 52 high quality undervalued stocks or create your own screener to find better value opportunities. Head to the Valuation section of our Company Report for more details on how we arrive at this Fair Value for SoFi Technologies. The P/E ratio is a useful way to check how much you are paying for each dollar of SoFi Technologies earnings today. It helps you see whether the market is charging a premium compared with similar consumer finance stocks. SoFi Technologies currently trades on a P/E of 37.6x. That is well above the Consumer Finance industry average of 9.8x and also above the peer average of 12.8x. The valuation model used here suggests a fair P/E of 24.8x for SoFi, based on its profile within the sector and risk characteristics. Compared with that fair multiple, the current 37.6x implies a rich premium that points to SoFi Technologies as overvalued on this earnings measure. For anyone considering the stock after the recent run in the shares, this gap suggests expectations built into the price are already elevated compared with both peers and the tailored fair ratio. On the P/E multiple, SoFi Technologies stock screens as clearly overvalued relative to both its sector and the modelled fair ratio. See what the numbers say about this price — find out in our valuation breakdown. Simply Wall St Narratives for SoFi Technologies give you a structured way to connect the valuation puzzle above with clear future assumptions about growth, margins and earnings. Each narrative ties its number to a concrete view of where SoFi Technologies' growth, profitability and risks might go next. You can revisit these views as new information on the business and its operating environment emerges on the Community page. The community is sharply split on SoFi Technologies, with one camp seeing a misunderstood super-app and the other focused on execution risk at a full price. Bull case: 19% undervalued Read the full Bull Case to see why SoFi Technologies could be undervalued Bear case: 10% overvalued Read the full Bear Case to see why SoFi Technologies could be overvalued Do you think there's more to the story for SoFi Technologies? Head over to our Community to see what others are saying! SoFi Technologies screens as overvalued on both the Excess Returns intrinsic value estimate and the P/E multiple work, which points to a market already paying up for the growth story and the new crypto partnership. With broader valuation checks also weak, the key question is whether SoFi can deliver enough earnings power to close that gap rather than relying on the multiple staying this high. The crux for investors is whether execution on its banking and digital asset ambitions proves strong and consistent enough to justify paying a premium price today. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include SOFI. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email [email protected]

In an industry dominated by global money-center financial institutions, SoFi Technologies (NASDAQ: SOFI) keeps proving to investors that it has successfully carved out a niche. The online bank's momentum isn't letting up, despite the uncertain macroeconomic environment. It reported adjusted net revenue of $1.2 billion during the second quarter, up 40% year over year. And for all of 2026, management expects this top-line figure to be 32% to 35% higher than in 2025. Missed Nvidia in 2009? This Rare Signal Is Flashing Again. In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia. For the first time in years, that same "Total Conviction" signal is flashing for a company 1/100th the size of Nvidia. Continue » This flourishing business continues to maintain its impressive growth trajectory. But what has to happen next for the fintech stock's price, which is down 30% in 12 months (as of Sept. 2), to follow? Shareholders have every right to be upset that the stock hasn't done well during the past year. The fundamentals have been very encouraging, so there is a disconnect between the market's perception and how the actual company is faring. SoFi's top line has been buoyed by a budding customer base. The business now has 15.8 million customers, rising almost 16% from the end of 2025. These younger and more affluent individuals come to SoFi's platform because of its compelling product and service offerings. They also appreciate the tech-enhanced user experience. Over time, the company's ability to cross-sell to its customers is enhanced. This drives stickiness, meaning customers are reluctant to face the inconvenience of taking their business elsewhere. And it increases the lifetime value of its client base, supporting a competitive advantage. Revenue growth has translated into superb profit gains as well. It wasn't that long ago when SoFi was consistently losing money each quarter. However, the digital banking powerhouse has evolved into a highly profitable business. Adjusted net income jumped 65% year over year to $160 million in Q2, lifted by operating leverage that comes from greater scale. The leadership team believes that adjusted earnings per share will rise between 38% and 42% from 2025 to 2028. SoFi shares reached their all-time high in November 2025. In the three years leading up to this peak, they soared 441%. The stock has taken a beating since, as it now trades 45% off that record. This disappointing performance has happened even though the company is still firing on all cylinders. The market is clearly concerned about something. In my view, I believe it's a risk factor that isn't specific to SoFi, but something all banking entities have to deal with: credit risk. SoFi has been growing in remarkable fashion. Every investor loves to see it. However, with rapid expansion comes heightened risk that lending standards are being loosened to satisfy the robust demand from borrowers. Personal loan originations totaled $10.7 billion during the second quarter, up 54% year over year and accounting for 72% of the total. These products represent the biggest loan category on the balance sheet. They are riskier loans to make that carry high monthly payments, raising the chances that borrowers will run into trouble should economic conditions deteriorate. I believe this is what investors are worried about. Missed payments can eventually lead to loan losses. This would directly hit SoFi's income statement. On the other hand, though, approving more personal loans is a rational strategy for the management team to embark on. SoFi ended Q2 with $45.5 billion in deposits. This gives it a low-cost and stable source of funding that it can lend out to borrowers, earning net interest income in the process. And these loans have been performing well. "Excluding the impact of delinquent loan sales, the estimated all-in annualized net charge-off rate was 3.7%," Chief Financial Officer Chris Lapointe said on the Q2 2026 earnings call. For the stock price to steadily rise in the hopes of reaching a new record, all SoFi needs to do is continue reporting stellar financial metrics. With each quarter of upbeat results, the market's confidence in the business will grow. Before you buy stock in SoFi Technologies, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and SoFi Technologies wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $435,803!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,334,577!* Now, it’s worth noting Stock Advisor’s total average return is 966% — a market-crushing outperformance compared to 211% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors. See the 10 stocks » *Stock Advisor returns as of September 3, 2026. Neil Patel has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. SoFi Just Posted Another Quarter of Fast Growth. What Has to Happen Next for the Stock to Follow? was originally published by The Motley Fool

It has been about a month since the last earnings report for SoFi Technologies, Inc. (SOFI). Shares have added about 16.5% in that time frame, outperforming the S&P 500. But investors have to be wondering, will the recent positive trend continue leading up to its next earnings release, or is SoFi Technologies due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at its latest earnings report in order to get a better handle on the important drivers. SoFi delivered second-quarter 2026 adjusted earnings per share (EPS) of 12 cents. The metric outpaced the Zacks Consensus Estimate by 9.1%. Adjusted net revenues increased 40% year over year to $1.21 billion. The figure surpassed the Zacks Consensus Estimate of $1.11 billion by 8.3%. Total net revenues were $1.22 billion, rising 43% year over year. Profitability also improved despite continued investment in growth initiatives. Adjusted EBITDA increased 44% to $357.8 million, and adjusted EBITDA margin reached 30% compared with 29% in the prior-year quarter. Net interest margin remained healthy at 5.98%, up 12 basis points year over year and 4 basis points sequentially. This supported a 52% increase in net interest income to $788.2 million. Management highlighted second-quarter 2026 as the company’s 19th consecutive quarter meeting the Rule of 40 benchmark. The Rule of 40 score was 70, based on 40% adjusted net revenue growth and a 30% adjusted EBITDA margin. Member acquisition remained one of the strongest indicators of platform momentum. SoFi added 1.1 million new members in the second quarter of 2026, bringing total members to 15.8 million, up 35% year over year. Product growth was even stronger. The company added a record 2.2 million products in the second quarter of 2026, bringing total products to 24.4 million, up 42% year over year. Products per member reached an all-time high of 1.54. The reported quarter marked the first time SoFi added twice as many products as members. Existing members opened 51% of new products, compared with 35% in second-quarter 2025, showing improving cross-buy trends across the platform. Management pointed to SoFi Plus and SoFi Coach as important drivers of deeper engagement. SoFi Plus surpassed 200,000 paid members, while SoFi Coach generated more than 500,000 conversations with more than 90% positive feedback. The Lending segment continued to drive consolidated performance in second-quarter 2026. Adjusted net revenue increased 59% year over year to $711.7 million, while contribution profit rose 63% to $399 million. Total loan originations reached a record $14.8 billion, up 69% year over year. Personal loan originations increased 54% to $10.7 billion, student loan originations surged 170% to $2.7 billion and home loan originations rose 74% to $1.4 billion. Credit metrics remained supportive. The personal loan net charge-off rate was 2.62%, down 21 basis points year over year and 41 basis points sequentially. Student loan net charge-offs were 0.61%, down 33 basis points year over year. The loan platform business also remained an important growth lever. SoFi sold or transferred $4.1 billion of personal and home loans, including $3.1 billion through the loan platform business. The Financial Services segment continued to broaden SoFi’s revenue base. Net revenues increased 29% year over year to $466.3 million, supported by deposit growth, interchange, brokerage and referral activity. Contribution profit rose 13% year over year to $212.7 million. Contribution margin declined to 46% from 52% in prior-year period, reflecting higher spending and investment in product innovation. As of June 30, 2026, deposits reached $45.5 billion, up 21% from Dec. 31, 2025. Deposits also increased $5.3 billion sequentially, supporting SoFi’s funding base and balance sheet flexibility. Transactional revenue trends were also strong. Interchange revenues increased 55% year over year, while brokerage revenues rose roughly 2.5 times year over year as SoFi Invest gained traction. The Technology Platform segment remained the weakest area in the reported quarter. Net revenues declined 23% year over year to $84.5 million, reflecting the impact of a large client that transitioned off the platform before year-end 2025. Contribution profit fell 65% year over year to $11.8 million. Contribution margin declined to 14% from 30% in prior-year quarter, underscoring the near-term pressure from lost scale and transition costs. Technology Platform accounts totaled 135 million, down 16% year over year but up 2 million sequentially. The sequential improvement suggests some stabilization, though the segment continues to lag SoFi’s stronger lending and financial services businesses. Management relaunched the business under the unified SoFi Tech Solutions brand. The platform now emphasizes processing, core ledger, payments hub and risk and fraud capabilities. SoFi ended the second quarter with $60.95 billion in total assets, up from $50.66 billion at Dec. 31, 2025. Loans held for sale increased 30% from year-end 2025 to $29.74 billion, reflecting continued loan origination growth. Capital levels remained strong. The total risk-based capital ratio was 18.8%, while available liquidity was $13.7 billion. Cash flow from operations was negative $6.2 billion, reflecting a high loan pipeline build. Management raised full-year 2026 adjusted net revenue guidance to $4.75 billion to $4.85 billion, implying 32-35% year-over-year growth. The prior outlook implid approximately 30% growth. The company maintained full-year 2026 guidance for adjusted EBITDA of approximately $1.6 billion, adjusted net income of approximately $825 million and adjusted EPS of approximately 60 cents. Management also continues to expect total members to increase by at least 30% year over year in fiscal 2026. Since the earnings release, investors have witnessed a downward trend in estimates review. Currently, SoFi Technologies has a poor Growth Score of F, however its Momentum Score is doing a lot better with a C. However, the stock was allocated a grade of F on the value side, putting it in the bottom 20% quintile for value investors. Overall, the stock has an aggregate VGM Score of F. If you aren't focused on one strategy, this score is the one you should be interested in. Estimates have been broadly trending downward for the stock, and the magnitude of these revisions looks promising. Notably, SoFi Technologies has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months. SoFi Technologies belongs to the Zacks Financial - Miscellaneous Services industry. Another stock from the same industry, Rithm (RITM), has gained 1.4% over the past month. More than a month has passed since the company reported results for the quarter ended June 2026. Rithm reported revenues of $1.28 billion in the last reported quarter, representing a year-over-year change of +5.4%. EPS of $0.60 for the same period compares with $0.54 a year ago. Rithm is expected to post earnings of $0.51 per share for the current quarter, representing a year-over-year change of -5.6%. Over the last 30 days, the Zacks Consensus Estimate has changed -6.8%. Rithm has a Zacks Rank #3 (Hold) based on the overall direction and magnitude of estimate revisions. Additionally, the stock has a VGM Score of D. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report SoFi Technologies, Inc. (SOFI) : Free Stock Analysis Report Rithm Capital Corp. (RITM) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Interested in Webull Corporation? Here are five stocks we like better. Record Q2 performance: Webull’s revenue rose 51% year over year to $198.8 million, while adjusted operating profit surged 169% to $62.6 million as expenses grew more slowly than revenue. PDT rule boosts trading: The June elimination of the Pattern Day Trader rule helped drive a 62% increase in DARTs, a 73% rise in equity trading volume and a 68% increase in options volume. Webull said elevated activity continued into July and August. Expansion beyond core brokerage: Customer assets climbed 79% to $28.5 billion, while Webull continued international expansion and development of AI, prediction-market and crypto offerings; prediction-markets revenue grew 71% sequentially to roughly $5 million-$6 million. Robinhood, SoFi, and Webull Are Telling Very Different Stories Webull (NASDAQ:BULL) reported record second-quarter results for 2026, with revenue rising 51% year over year to $198.8 million as higher trading activity and customer asset growth lifted both transaction- and interest-related income. Group President and U.S. CEO Anthony Denier said the elimination of the Pattern Day Trader, or PDT, rule on June 4 was the company’s defining event during the quarter. He said Webull’s technology allowed qualified customers to make unlimited day trades under its zero-commission model after the rule change took effect. → Looking Beyond CrowdStrike? 3 AI Security Stocks Stand Out The PDT Rule Is On Its Way Out: 5 Stocks That Stand to Benefit the Most “Executing on this rule change was our defining event for the quarter and contributed to a significant increase in trading volumes and record quarterly results,” Denier said. Webull reported trading-related revenue of $147.7 million, up 66% from a year earlier and 33% sequentially. Daily average revenue trades, or DARTs, increased 62% year over year to 1.64 million. → 3 Robotics Stocks Under $10: Value, Momentum, or Bet? Equity notional trading volume reached $279 billion, up 73% from the prior-year period, while options volume rose 68% to 213 million contracts. Options volume increased 34% sequentially. Denier said the activity helped Webull reach a top-five position among retail brokers in options trading for the first time. The company said the PDT rule’s removal has changed customer behavior, with traders making a greater number of smaller trades rather than conserving a limited number of day trades. Denier said the higher number of trades within overall volume has supported payment-for-order-flow economics. → Michael Burry Is Betting Against Palantir Again—Should Investors Care? Webull’s July operating figures showed options activity remained steady after the June change, according to Denier, while August trading activity was tracking above July levels. He said the company does not expect trading volumes to return to levels seen before the PDT rule was eliminated. Customer assets rose 79% year over year to $28.5 billion. Net customer deposits totaled $1.6 billion, up more than 7% year over year. Funded accounts reached 5.13 million, an 8% increase from a year earlier. Registered users increased 13% to 28.2 million. Quarterly retention was 97.3%. Group CFO H.C. Wang said adjusted operating expenses increased 26% year over year to $136.2 million, a slower rate than revenue growth. Expenses declined 6% from the first quarter, primarily because marketing costs normalized. Adjusted operating profit rose 169% year over year to $62.6 million, producing an adjusted operating margin of roughly 31%. Adjusted net income was $43.2 million, for a 21.7% net profit margin. Interest-related income increased 18% to $42.8 million, supported by higher assets under management, margin loan balances and client cash balances. Wang described interest income as a durable complement to the company’s trading revenue. Marketing expenses in the first half continued to include amortization related to asset-match promotions launched during 2025, Wang said. The company reduced the scale of those promotions beginning in the first quarter, including lowering a 3.5% IRA asset-match offer to 1% and ending some promotions in certain markets. For the remainder of 2026, Wang said Webull expects marketing spending to remain broadly between first-quarter and second-quarter levels, absent major market changes. Denier said current priorities include U.S. brand building, attracting higher-quality accounts and supporting international growth. Webull said it is licensed in 35 markets and has trading operations in 18 markets after launching in Spain, Argentina and Colombia during the second quarter. International funded accounts totaled about 810,000, while customer assets in Asia-Pacific exceeded $5 billion. The company recently announced an acquisition of Pi Securities in Thailand, expected to close at the end of August. Denier said the transaction is expected to expand Webull’s Asia-Pacific assets under management and provide access to active trading accounts in Thailand. Wang said Webull views its Asian operations collectively, citing cross-market opportunities including institutional clients and high-net-worth customers who may seek offshore accounts. Institutional assets under management exceeded $1.4 billion, or about 5% of total assets under management, with most institutional clients located outside the United States. In the U.S., Webull received a clearing license from FINRA in April but said it is not currently clearing trades and does not expect to begin doing so for some time. The company has expanded its institutional offering to include futures and prediction markets, and announced a partnership with Monark Markets to provide accredited investors access to late-stage private companies through special purpose vehicles. Webull continued to build AI-enabled products during the quarter. Its Vega AI intelligence system added about 160,000 users, bringing active Vega users to 480,000. Engagement among active traders rose about 23% sequentially, Denier said. The company also connected its MCP server with leading AI models, allowing users to use natural-language prompts for research, tool-building and trade execution through the Webull platform. Denier said the current focus is on portfolio construction, research and trade analysis, with additional execution-oriented AI features expected later in the year. Crypto revenue was about $2.25 million during the quarter, representing just over 1% of total revenue, according to Denier. He said Webull was in the process of gradually rolling out crypto deposit and withdrawal capabilities. Denier also said prediction-markets revenue was approximately $5 million to $6 million in the quarter and that the business grew 71% sequentially. Webull Financial LLC is a commission-free online brokerage platform that provides individual investors with access to U.S. equities, exchange-traded funds (ETFs), options, and cryptocurrencies. Through its mobile and desktop applications, the company offers real-time market data, advanced charting tools, customizable watchlists, and streamlined order execution. Webull’s platform is designed to support both self-directed traders and investors seeking an intuitive interface coupled with professional-grade analytics. In addition to its core trading services, Webull delivers educational resources and research tools to help users make informed decisions. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Webull Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for August 2026.

Let’s dig into the relative performance of SoFi (NASDAQ:SOFI) and its peers as we unravel the now-completed Q2 personal loan earnings season. Personal loan providers offer unsecured credit for various consumer needs. The sector benefits from digital application processes, increasing consumer comfort with online financial services, and opportunities in underserved credit segments. Headwinds include credit risk management in unsecured lending, regulatory oversight of lending practices, and intense competition affecting margins from both traditional and fintech lenders. The 7 personal loan stocks we track reported a very strong Q2. As a group, revenues beat analysts’ consensus estimates by 4.2%. In light of this news, share prices of the companies have held steady as they are up 1.9% on average since the latest earnings results. Starting as a student loan refinancing company founded by Stanford business school students in 2011, SoFi Technologies (NASDAQ:SOFI) operates a digital financial platform offering lending, banking, investing, and other financial services to help members borrow, save, spend, invest, and protect their money. SoFi reported revenues of $1.21 billion, up 40.5% year on year. This print exceeded analysts’ expectations by 7.1%. Overall, it was an exceptional quarter for the company with an impressive beat of analysts’ EBITDA and EPS estimates. Interestingly, the stock is up 9.3% since reporting and currently trades at $18.30. We think SoFi is a good business, but is it a buy today? Read our full report here, it’s free. Founded in 2016 as an alternative to traditional credit cards for younger shoppers, Sezzle (NASDAQ:SEZL) provides a payment platform that allows consumers to split purchases into four interest-free installments over six weeks at participating retailers. Sezzle reported revenues of $149.7 million, up 51.7% year on year, outperforming analysts’ expectations by 9.8%. The business had an exceptional quarter with a solid beat of analysts’ EBITDA and EPS estimates. Sezzle achieved the biggest analyst estimate beat in the group. Although it had a fine quarter compared to its peers, the market seems unhappy with the results as the stock is down 27.3% since reporting. It currently trades at $129.84. Is now the time to buy Sezzle? Access our full analysis of the earnings results here, it’s free. Dating back to 1912 and formerly known as Springleaf, OneMain Holdings (NYSE:OMF) provides personal loans, auto financing, and credit cards to nonprime consumers who have limited access to traditional banking services. OneMain reported revenues of $1.29 billion, up 6.9% year on year, exceeding analysts’ expectations by 1.4%. It was a satisfactory quarter as it also posted a narrow beat of analysts’ net interest income estimates but a significant miss of analysts’ EBITDA estimates. Interestingly, the stock is up 5.2% since the results and currently trades at $65.49. Read our full analysis of OneMain’s results here. Pioneering peer-to-peer lending in the US before evolving into a digital bank, Happen Bank (NYSE:HAPN) operates a marketplace that connects borrowers with lenders, offering personal loans, auto refinancing, and banking services. Happen Bank reported revenues of $262.9 million, up 5.8% year on year. This result met analysts’ expectations. Overall, it was an exceptional quarter as it also logged full-year EPS guidance exceeding analysts’ expectations and a beat of analysts’ EPS estimates. Happen Bank had the weakest performance against analyst estimates and slowest revenue growth among its peers. The stock is up 4.1% since reporting and currently trades at $19.52. Read our full, actionable report on Happen Bank here, it’s free. Offering a financial lifeline to the unbanked and credit-constrained since 1988, FirstCash (NASDAQ:FCFS) operates pawn stores across the U.S. and Latin America while also providing retail point-of-sale payment solutions for credit-constrained consumers. FirstCash reported revenues of $1.07 billion, up 29.4% year on year. This print topped analysts’ expectations by 4.1%. It was a strong quarter as it also recorded a beat of analysts’ EPS estimates. The stock is up 2.9% since reporting and currently trades at $214.75. Read our full, actionable report on FirstCash here, it’s free. Over the past year, investors have been forced to repeatedly answer the same question: what is the market’s biggest risk? The answer has changed several times, and each shift has reshaped market leadership. Late in 2025 and early 2026, artificial intelligence became the market’s primary uncertainty. Investors questioned whether AI would erode software pricing power and weaken competitive moats as AI made it easier to replicate once-differentiated products. By the spring, technology took a back seat to geopolitics. The U.S. conflict with Iran briefly became the market’s dominant narrative, raising concerns about oil prices, inflation, and global growth. But as energy markets remained orderly and fears of a prolonged supply disruption faded, investors quickly turned their focus back to fundamentals. Want to invest in winners with rock-solid fundamentals? Check out our Top 5 Growth Stocks and add them to your watchlist. These companies are poised for growth regardless of the political or macroeconomic climate.

SoFi Technologies (NASDAQ: SOFI) shares have been on a disappointing trend. As of Aug. 12, they have fallen 32% in 2026. And they trade 45% below their peak from last November. That performance takes away from the underlying company's solid financial results. Lending activity has been exceptional, as SoFi's loan originations totaled $14.8 billion in the second quarter (ended June 30), up 69% year over year. The growth is superb. Missed Nvidia in 2009? This Rare Signal Is Flashing Again. In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia. For the first time in years, that same "Total Conviction" signal is flashing for a company 1/100th the size of Nvidia. Continue » Personal loans continue to be the focal point, with record originations of $10.7 billion in Q2. But investors should understand where this fintech stock's credit risk actually sits. SoFi's headline numbers were terrific. Last quarter, it reported year-over-year revenue growth of 43%. Net income soared 61% compared to Q2 2025. The digital bank also added 1.1 million net new customers, and now commands a user base of 15.8 million members. It's hard to find any faults with SoFi's impressive trajectory. As with any lender, however, there is credit risk. And because this company leans heavily on personal loans, an unsecured product with shorter terms and higher monthly payments, it's worth taking the time to look under the hood. Of the $10.7 billion in personal loans originated in the second quarter, "$7.6 billion was originated for our balance sheet," said chief financial officer Chris Lapointe on the Q2 2026 earnings call. The rest was sold via the loan platform segment, offloading risk to third parties. SoFi's balance sheet currently categorizes $27.6 billion, or 100%, of its personal loans as held for sale. But there isn't a strict amount that is kept or sold. It likely depends extensively on market demand and maintaining adequate capital ratios. If a recession leads to deteriorating credit conditions that pressure borrowers' ability to make payments, SoFi could see higher defaults and losses. As of June 30, personal loans accounted for 57% of the business's entire loan book. What's encouraging, though, is that the net charge-off rate for personal loans was 3.7% in Q2, down from 4.5% in the year-ago period. Shareholders should certainly be encouraged by the company's ability to drive substantial personal loan growth, especially at a time when the Federal Reserve is leaning away from taking an accommodative stance and cutting rates. The demand is robust. And it could lead to durable interest or fee income for SoFi. Don't forget, however, that an increase in originating record volume is only a positive development if credit risk is properly managed and controlled. Understanding this takes more effort on the part of investors. So far, SoFi looks to be in good shape, as indicated by its strong financial results. But investors should pay close attention to the lending book's credit performance for any signs of weakness. Before you buy stock in SoFi Technologies, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and SoFi Technologies wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $400,209!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,375,393!* Now, it’s worth noting Stock Advisor’s total average return is 964% — a market-crushing outperformance compared to 215% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors. See the 10 stocks » *Stock Advisor returns as of August 14, 2026. Neil Patel has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. SoFi Originated a Record $10.7 Billion in Personal Loans Last Quarter. Here's Where That Credit Risk Actually Sits. was originally published by The Motley Fool

SoFi (SOFI) is having a dismal run in 2026, with shares down over 30% for the year. SOFI stock seems to be taking a breather after three years of outperformance relative to the S&P 500 Index ($SPX). Meanwhile, the stock’s price action seems at odds with its recent financial performance, as earnings have been strong with CEO Anthony Noto describing Q2 as “nothing short of an exceptional quarter.” The markets, however, don’t seem to be buying into the management’s optimism as reflected in the stock price. While I booked profits in SOFI stock last year as it moved past $30, I have since bought the dip in this fintech name. However, the stock has been getting cold feet near $20 and has failed to break above that level decisively for over six months. Let's examine the disconnect between SOFI’s price movement and earnings and analyze what it would take to move the stock. Mark Cuban Says If You Win The Lottery, Don’t Take The Lump Sum — And Tell People Who Ask for Money No, But ‘Be Nice. No One Likes a Mean Billionaire’ JPMorgan Just Upgraded Salesforce Stock. Here's Why. Why Wall Street Isn't Buying Super Micro's $60 Billion Backlog Quite Yet Get exclusive insights with the FREE Barchart Brief newsletter. Subscribe now for quick, incisive midday market analysis you won't find anywhere else. While any company's management usually has the propensity to overuse adjectives like “exceptional,” Noto wasn’t exaggerating. The company added 1.1 million new members in Q2, marking the third consecutive quarter when it added over a million members. Its cross-sell rate also improved in the quarter, with the number of products rising twice as much as the new members. Moreover, over half of the new products were opened by existing members, which is quite encouraging. Its loan originations also rose to a record high of $14.8 billion. The company’s SoFi Plus subscription is also gaining traction, and it crossed 200,000 subscribers in the quarter, implying annualized revenues of $24 million. The management is hopeful about that number hitting 1 million in a year, which would mean an annualized recurring revenue run rate of $120 million. The strong growth in members and cross-sell flows down to SoFi’s earnings, and its adjusted revenues rose 40% year-over-year in Q2, while adjusted earnings before interest, tax, depreciation, and amortization (EBITDA) rose 44% to a record $358 million. Its GAAP net income rose 60% to $156 million in the quarter. The company also raised its full-year revenue guidance but held back on increasing the EBITDA guidance, which spooked markets. The management, however, said that it wasn’t raising EBITDA guidance because it now expects two rate hikes this year versus the original assumption of two rate cuts. Also, the company is increasing its investments to drive long-term sustainable growth. Notably, higher interest rates are theoretically negative for SoFi, and expectations of interest rate hikes have been among the reasons the stock has underperformed this year. Moreover, while SoFi’s credit quality actually improved in Q2, there are fears that higher inflation and a tepid macro environment might push up delinquencies. I would say that SoFi stock has sagged not because of its financial performance but because of an unconducive macro environment. However, I believe it would pay to be patient with SoFi, which is among the rare success stories from the former special purpose acquisition company (SPAC) universe. The company hasn’t only consistently delivered stellar double-digit topline growth but has also turned profitable. It should be able to deliver double-digit earnings growth for the foreseeable future given the strength of its growth flywheel. From a valuation perspective, SoFi is getting increasingly attractive amid the stock’s underperformance. While SOFI stock has sagged, the company’s book value continues to rise and stood at $8.58 per share at the end of Q2. This implies a price-to-book value multiple of under 2.1x, which is not exorbitant. For context, the corresponding multiples for JPMorgan Chase (JPM) and Bank of America (BAC) are 2.70x and 1.62x, even though they are growing at a much slower pace than SoFi. SoFi appears attractive based on earnings-based multiples as well, and while the forward price-to-earnings (P/E) multiple of 29.75x might appear elevated compared to traditional banks, the P/E-to-growth multiple is actually below 1x, considering the earnings growth SoFi is expected to deliver. All said, the macro environment would need to improve to trigger a rally in SOFI, as the stock continues to be in the penalty box amid concerns over inflation and expectations of higher interest rates. On the date of publication, Mohit Oberoi had a position in: SOFI. All information and data in this article is solely for informational purposes. This article was originally published on Barchart.com

Dave Inc. DAVE recently delivered another solid quarter in second-quarter 2026, with revenues rising 30% year over year to $170.8 million. According to the results released last week, adjusted EBITDA increased 48% to about $76 million, while adjusted EPS reached $4.12. The company also raised its full-year revenue, adjusted EBITDA and adjusted EPS outlook, suggesting that operating momentum remains healthy despite a tougher comparison with last year.However, the market focused on something different. DAVE shares dropped 15.1% on Aug. 6 as investors reacted to slowing revenue growth after the stock’s strong run earlier in 2026. Second-quarter’s 30% growth was notably below the 47% pace reported in the first quarter and 64% in second-quarter 2025. The decline, therefore, appears tied more to elevated expectations and growth deceleration than to weak quarterly execution.This leaves investors weighing Dave’s improving earnings profile against a still-demanding growth story. Comparisons with fintech names such as SoFi Technologies SOFI and Affirm Holdings AFRM are useful, especially as investors assess growth, profitability, credit quality and valuation across the industry. Image Source: Zacks Investment Research Dave’s earnings were strong, but the rate of expansion is slowing. Revenue growth has stepped down from 64% in second-quarter 2025 and 47% in first-quarter 2026 to 30% this quarter. With DAVE having appreciated sharply ahead of the report, investors were looking for results capable of supporting those elevated expectations. The softer growth rate gave the market a reason to reset the valuation.Higher near-term spending may have added to the caution. Management plans to increase investment in marketing, product development and AI over the next few quarters and said those investments could temper fixed-cost leverage in the near term before operating leverage becomes more pronounced as the business scales.Still, the increased spending is backed by favorable acquisition economics. Dave added 951,000 new members during the second quarter, 32% more than a year ago, while keeping customer acquisition cost at $19. The member payback period improved to less than four months. Those figures give management a reasonable basis for investing more aggressively in growth. The quality of Dave’s growth looks better than the headline slowdown suggests. Monthly transacting members increased 17% year over year, supported by new-member conversion, retention and reactivation. ExtraCash originations reached $2.3 billion, up 27%, while the 28-day past-due rate improved 14 basis points to 2.12%. The combination of higher volumes and stable credit performance is important as Dave increases lending activity.Profitability is another upside. Adjusted EBITDA grew 48% to $75.5 million, considerably faster than revenues, while adjusted EBITDA margin expanded nearly 600 basis points to 44%. Adjusted net income increased 39% to $56.4 million. This operating leverage helps distinguish Dave within a fintech group that includes SoFi Technologies and Affirm Holdings, where investors also closely watch the balance between rapid customer growth and sustainable profitability. Management increased its 2026 revenue outlook to $725-$735 million from $710-$720 million. The adjusted EBITDA forecast moved to $315-$325 million from $305-$315 million, while adjusted diluted EPS guidance increased to $17-$17.50 from $16.25-$16.75.CashAI v6.0 could support further monetization. Early testing indicates that the updated underwriting model can support larger average ExtraCash originations while maintaining favorable loss trends. Management said roughly one-third of users had moved onto the model at the time of the earnings call.Dave Flex provides another longer-term opportunity. The pay-in-four card is being tested as Dave attempts to capture more everyday spending. However, management expects no meaningful Flex revenue contribution during 2026. Over the past 30 days, earnings estimates for both 2026 and 2027 have been revised upward, signaling a bullish outlook from analysts. These figures also suggest year-over-year growth of 27.47% and 28.63%, respectively. Image Source: Zacks Investment Research The pullback makes DAVE more appealing, and one should note that its strong growth and margin profile still support a premium valuation. The stock trades at 4.98X forward 12-month sales per share versus 5.05X for the S&P 500 composite. On the other hand, SoFi Technologies trades at 4.36X forward 12-month sales per share, while Affirm Holdings trades near 4.59X forward 12-month sales per share. SoFi Technologies offers broader exposure across lending, deposits and other financial services, while Affirm Holdings is more concentrated on consumer credit and buy-now-pay-later financing. Dave’s business is narrower, with ExtraCash playing a central role. The concentration creates additional risk, although its efficient customer acquisition, improving margins and expanding product lineup provide meaningful offsets.Valuation: Price/Sales F12M Image Source: Zacks Investment Research Dave’s post-earnings decline reflects legitimate concerns about slowing revenue growth after a strong share-price run. Yet the second quarter also showed that the underlying business continues to improve. Member acquisition remains efficient, credit trends are healthy, margins are expanding, and management has lifted its 2026 forecasts.Near-term volatility is likely as Dave increases marketing investment and expands ExtraCash limits. Even so, the lower share price offers a more favorable way to gain exposure to its earnings growth and improving operating leverage. With CashAI, higher monetization and Dave Flex providing additional avenues for expansion, the current risk-reward looks attractive for investors comfortable with fintech volatility.At present, DAVE carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Dave Inc. (DAVE) : Free Stock Analysis Report Affirm Holdings, Inc. (AFRM) : Free Stock Analysis Report SoFi Technologies, Inc. (SOFI) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Image source: The Motley Fool. Wednesday, July 29, 2026 at 8:00 a.m. ET CEO - Anthony Noto CFO - Chris Lapointe Operator: Good morning. My name is Sarah, and I will be your conference operator today. At this time, I would like to welcome everyone to the SoFi Technologies Second Quarter 2026 Earnings Conference Call. [Operator Instructions] With that, you may begin your conference. Unknown Executive: Thank you, and good morning. Welcome to SoFi's Second Quarter 2026 Earnings Conference Call. Joining me today to talk about our results and recent events are Anthony Noto, CEO; and Chris Lapointe, CFO. You can find the presentation accompanying our earnings release on the Investor Relations section of our website. Unless otherwise stated, we'll be referring to adjusted results for the second quarter of 2026 versus the second quarter of 2025. Our remarks today will include forward-looking statements that are based on our current expectations and forecasts and involve risks and uncertainties. These statements include, but are not limited to, our competitive advantage and strategy, macroeconomic conditions and outlook, future products and services and future business and financial performance. Our GAAP consolidated income statement and all reconciliations can be found in today's earnings release and the subsequent 10-Q filing, which will be made available next month. Our actual results may differ materially from those contemplated by these forward-looking statements. Factors that could cause these results to differ materially are described in today's press release and our subsequent filings made with the SEC, including our upcoming Form 10-Q. Any forward-looking statements that we make on this call are based on assumptions as of today. We undertake no obligation to update these statements as a result of new information or future events. And now I'd like to turn the call over to Anthony. Anthony Noto: Thank you, and good morning, everyone. I'm pleased to share that we had nothing short of an exceptional quarter. Q2 was our 19th consecutive quarter, exceeding the Rule of 40 with a score of 70. This included exceptional revenue growth of 40% year-over-year and a 30% EBITDA margin. Our team has continued to execute at a remarkable level, and our business mix has proven its durability, driving record growth and profitability in the face of a volatile interest rate environment. Few businesses have maintained such a strong combination of growth and returns for it has been nearly 5 years, and it still feels like we're just getting started. Our success is driven by our focus on building innovative products that are far superior to what is available from traditional banks and fintechs alike. Our members recognize this and as their needs grow, they take out additional products and become our greatest advocates. This in turn fuels our growth and financial performance. Despite our significant scale, our growth has not slowed. We added a record 1.1 million new members in Q2, increasing total members 35% year-over-year to a total of 15.8 million members. To put this in context, we had 650,000 total members when I joined in 2018, and we are now adding that amount every 7 or 8 weeks. We also, for the first time, added twice as many products as members despite having such rapid growth in members. We added a record 2.2 million new products in Q2, increasing total products by 42% year-over-year to 24.4 million products. This is a huge milestone for our everything app strategy as more members take out multiple products driving our competitive advantage and having a superior lifetime value. In fact, we've reached an important inflection point with products per member accelerating over the last 2 quarters. We are starting to hit escape velocity on our path to be the winner that takes most in digital financial services. Cross-buy continues to accelerate with 51% of new products opened by existing SoFi members. This is up from 43% last quarter and 35% in Q2 of 2025. That's a year-over-year increase of 16 percentage points. This is a reflection of the trust members have in SoFi and the superior products we are building, which work better together and are designed to promote further cross-buy. Two of the clearest examples of our unique ability to package all that we offer into uniquely differentiated products are SoFi Plus and SoFi Coach. Both are only possible because of our diverse set of products and services and their usage drives cross-buying that powers our financial services productivity loop. SoFi Plus is our premium membership offering that brings the best of every SoFi product into one experience with a value that is unrivaled in the market. At the start of the second quarter, we relaunched SoFi Plus with significantly enhanced benefits in each of our products. For example, SoFi Money at 4.5% interest and SoFi Invest with a 1% match while fully transitioning the product to a paid subscription model. The results have exceeded our expectations. After just 1 quarter, we surpassed 200,000 paid subscribers with most of the growth coming from existing members who are upgrading their memberships. This equates to an annualized revenue of over $24 million. Importantly, we're seeing incredibly strong cross-buy. 85% of new SoFi Plus members were existing members and 25% of those are adding another product after Plus with SoFi Invest accounting for the highest percentage of the follow-on demand. For new to SoFi members who joined via SoFi Plus, SoFi Money is the main product that is subsequently being adopted. And across both groups, we're seeing very strong adoption of SoFi Relay and our lending products. SoFi Plus is doing exactly what we designed it to do. It's creating a recurring revenue stream. It's increasing awareness of the breadth of products in our everything app. It's driving greater cross-buy as well as increasing deposits, spending and AUM in the existing open accounts, all in hand increasing member lifetime value. It's the financial services productivity loop in action. We are encouraged to see the success so far, and I'd be disappointed if we are not at 1 million SoFi Plus members generating annual revenue of $120 million a year from now. That same strategic focus on deepening member relationships is behind SoFi Coach, which launched in June. SoFi Coach brings together 3 things no other company can: the full picture of a member's personal finances across their SoFi products and third-party products, the trust and security of a regulated bank and soon, the ability to perform actions on behalf of our members. The result is personalized financial guidance across a member's entire financial life that helps them achieve the most critical success factor on their way to realizing their ambitions, which is spending less than they make and investing the rest. A key driver of Coach's success is our unique data set from both our breadth and depth of products, services and activities. Coach is powered by SoFi Relay's hub of financial data that spans 12,000 connected financial institutions, 6.5 billion transactions, roughly $0.75 trillion in outstanding balances and over $0.25 trillion in member real-world assets. This unique data set gives SoFi Coach an amazing level of insights on which to base its responses to members' financial questions and soon-to-be proactive insights to what members can do. Since Coach's rollout, we have already seen nearly 0.5 million conversations with over 90% positive feedback. Every interaction with Coach gives us real-time insights into what matters most to our members, what they need and where we can help them the most. For example, more than half of the conversations to date have focused on investing. We believe we can uniquely help the nearly 65% of Americans over the age of 18 that do not buy stocks, ETFs or invest in robo accounts become great investors. This is just the beginning for Coach, and we will continue to expand its capabilities. One of my favorite questions to ask is how much I've spent on subscriptions in the last month. Suffice it to say, I'm astonished by how many subscriptions I pay that I no longer need. I cannot wait for our launch of automated subscription management and cancellation coming later this year. SoFi Plus and Coach are exactly the kinds of products that make our model more powerful over time. They help members get their money right across their entire financial life, they deepen engagement across the platform, and they create more opportunities for cross-buy, resulting in more lifetime value that we can reinvest in better interest rates on checking and savings, better interest rates on tokenized deposits, higher matches on contributions to your Invest account, lower interest rates on home loans, personal loans and student loans and better services like free certified financial planners. The durable and consistent 35% growth in our members and the inflection point in products per member and cross-buy that we've seen in the last 2 quarters are a direct result of these 2 everything products in our everything app driving the financial services productivity loop, and we cannot be more excited about our strategy and execution coming together as we pull away from the industry. With that, let me now turn to the second quarter results. In Q2, adjusted net revenue was ahead of expectations and up 40% year-over-year to $1.2 billion. Importantly, our revenue growth continues to be durable and diversified. Total fee-based revenue was $472 million, representing 39% of total revenue in the quarter. This is an increase of 22% from last quarter and up roughly 38% year-over-year when normalizing SoFi Technology Solutions or STS. The growth was driven by origination fees as well as strong performance from our loan platform business, interchange revenue, brokerage fee revenue and SoFi Tech Solutions revenue. In the second quarter, we generated $1.2 billion in cash revenue. This was our third consecutive quarter of generating over $1 billion in cash revenue. Our Lending segment had another very strong quarter, generating a record $712 million in adjusted net revenue. In total, we had our best quarter ever for loan originations at $14.8 billion, which was up over $2.5 billion from just last quarter and included record originations across personal, student and home loans. This was our first $10 billion quarter of personal loans. Of the $14.8 billion in total originations, $11.7 billion was for our Lending segment and $3.1 billion was for our loan platform business. The diversification across channels demonstrates the strength and optionality that comes from having a fortress balance sheet and strong demand from our capital markets partners. Similar to Q1, we are balancing loans originated for our balance sheet with loan platform business originations to drive both returns and great visibility of net interest income for the next 6 to 8 quarters. Loans originated for our balance sheet are providing a competitive advantage in a large, durable and highly visible revenue stream with attractive returns, which is allowing us to make massive investments relative to our digital competitors. For example, from Q1 2024 until Q2 2026, we have generated $5.4 billion in cash net interest income, which has allowed us to make significant investments to launch new businesses and drive high rates of growth in both members and products. Additionally, the net interest income recorded of $5.4 billion is 2.7x the cumulative noncash premium on our balance sheet of $2 billion. So not only is the scale of net interest income revenue an advantage, we are delivering significant returns compared to the original marks recorded in our noncash revenue. Together, our Financial Services and Technology Platform segments generated revenue of $551 million, representing 46% of adjusted net revenue. Over time, we expect these revenue streams to be more than 50% of our revenue and a key driver of our long-term target return on tangible common equity of 20% to 30%, which is now becoming very visible. In addition to delivering durable growth, we delivered strong returns and profitability. In the second quarter, adjusted EBITDA was $358 million, up 44% year-over-year. Our adjusted EBITDA margin for the quarter was 30%. Our incremental EBITDA margin was 31% as we continue to balance reinvesting in the business to drive long-term growth and balancing profitability. Adjusted net income in the quarter was $160 million at a margin of 13%. Adjusted earnings per share were $0.12, which included a negative impact of roughly $0.05 due to higher-than-expected tax rate. Finally, our tangible book value ended the quarter at $9.5 billion, up 80% year-over-year and $7.34 per share, which is up 56% year-over-year. Let me now turn to brand building and additional product innovations across our business. In the second quarter, unaided brand awareness rose to an all-time high of 10.4%, up 190 basis points year-over-year. It was another exciting quarter. We saw SoFi brand ambassador Wyndham Clark win the U.S. Open at Shinnecock. We brought together some of the biggest names in country music for CMA Fest presented by SoFi, reaching millions of viewers across ABC, Hulu and YouTube. SoFi Stadium welcomed the world as host to Team USA and several FIFA World Cup knockout round matches, putting the SoFi brand on one of the biggest stages in global sports. And just yesterday, we announced a multiyear partnership with Notre Dame Athletics becoming the first brand to appear on the Fighting Irish jerseys across all 26 varsity sports. In football, Notre Dame is in a class of one as the only Division 1 program with their own broadcast television media deal, giving them a national television audience for prime-time games that is well above the average for 95% of prime-time professional and college sports. Similar to the SoFi Stadium deal, SoFi will be seen by millions of unique television viewers each week. Turning now to our product innovation. 87% of our products or 21.3 million total products are now non-lending products. These include SoFi Money, SoFi Relay, SoFi Invest, SoFi Credit Card and Smart Card, SoFi Crypto, SoFi Protect, SoFi Plus and recently launched SoFi Big Business Banking. These products are more broadly appealing, are used much more frequently and have vastly lower customer acquisition costs than our lending products and as such, put the spurs in member acquisition that fuels our downstream loan originations via cross-buy at superior customer acquisition costs. The breadth and depth of our product ecosystem and the scale we've achieved with 21.3 million non-lending products that members engage with regularly will increasingly strengthen our competitive advantage and drive long-term growth in a way few financial services companies can match. Here are a few highlights. Our Invest products grew 38% year-over-year, while brokerage revenue increased nearly 2.5x. That reflects both growing engagement and stronger monetization. We know savings get you by, but investing gets you ahead. Savings alone won't get members to their financial goals. They also need to be investing for the long term, yet 65% of Americans still don't invest. Our goal remains to make investing simpler and more accessible by giving everyday investors access to the best tools and opportunities, which they have not historically had. For example, during the second quarter, we brought AI to SoFi Invest with the launch of Composer by SoFi. Composer lets members turn investing ideas written in plain terms into strategies they can build, test and automate in minutes. It is simple, intuitive and accessible fitting perfectly into the SoFi Invest platform. In June, we also gave members access to the record-setting SpaceX IPOE, which became the largest and most subscribed IPOE offering in SoFi's history. It was our 36th IPOE offering over the past 5 years. This year alone, we've completed more IPOE offerings than in all of 2025, and we're excited about the pipeline of companies that may go public this year. Just this month, we launched SoFi Social 50 Income ETF, which gives investors exposure to an options-based income strategy without having to build and manage cover call positions on their own. This fund combines the 50 most widely held stocks across SoFi self-directed brokerage accounts with an actively managed options strategy seeking monthly income and long-term growth. Now let me spend a minute on SoFi Credit Card. We think we've cracked the code on efficiently acquiring high-quality credit card members. Year-over-year, credit card revenue has more than doubled. In fact, credit card revenue is up nearly 50% and products are up 17% from just last quarter. We're excited by the trends we are seeing not only in the back book, which reached profitability, but also our ability to add the right members in this important product. Turning now to Crypto and Big Business Banking, where we're building the infrastructure to bring blockchain-based financial services to consumers and businesses alike. We have been pioneers in this space, becoming the first nationally licensed bank to launch crypto trading and our own stablecoin in SoFi USD. In the second quarter, we began settling our trading business in SoFi USD and in Big Business Banking, we began processing transactions on the SoFi Exchange Network, enabling our first commercial clients to move money in real-time 24/7. This marks an important milestone for 2 reasons. First, it creates more real-world commercial use cases for SoFi USD, helping to scale our new lower cost, faster and safer proprietary payment rails. And second, it significantly expands our enterprise offering for SoFi Technology Solutions, creating new opportunities for both fee-based revenue and net interest income over time. Big Business Banking clients can now hold funds in regulated, insured business deposit accounts, move money and digital assets in real time through API-driven payments and seamlessly convert between fiat and digital assets, all within SoFi's regulated banking environment. We first announced Big Business Banking in January. And just months later, it's already in market and serving commercial clients. That speed of execution reflects both our culture and the capabilities of the SoFi Technology Solutions cloud-native banking core on which Big Business Banking was built entirely. Big Business Banking isn't the only powerful proof point for SoFi Technology Solutions or STS. We've begun onboarding SoFi Money to our new, modern, cloud-native banking core fully developed by STS and purpose-built for U.S. regulated banking environments. The platform will soon be available to other banks, financial institutions and brand partners. This marks the first major U.S. bank to join the platform, serving as a proof point for other large U.S. institutions who wanted to modernize their infrastructure to meet the demands of the evolving financial landscape. We are also accelerating SoFi Technology Solutions capabilities. During the quarter, we acquired Peach Finance, adding new platform services across credit card, lines of credit, buy now, pay later and installment lending. The acquisition strengthens our offering for banks, credit unions, fintechs and enterprise clients while also positioning us to bring SoFi's own credit card processing in-house and launch a full stack revolving credit card platform for our clients. Turning now to innovation with our lending products. Since 2024, we've been referring members to small business lenders through our online marketplace. But recently, we identified an opportunity to serve these folks directly with a SoFi small business loan. Entrepreneurs and small business owners are the backbone of our economy, yet they are not well served. On one hand, you have banks and credit unions that are not providing the necessary access to capital or doing so at a snail's pace. And on the other hand, you have newer entrants that are charging exorbitant rates. Our new small business loan combines competitive pricing with the speed and simplicity members expect from SoFi, helping us serve more of our members' financial needs seamlessly on one digital platform. We are starting off by originating SMB loans through our loan platform business to established partners. In the future, we may also create optionality to hold these loans on our balance sheet to generate recurring net interest income. In the second quarter, we also launched our new home equity line of credit experience, giving members fast access to a revolving line of credit right in the SoFi platform. Unlike most lenders, SoFi offers both home equity lines of credit and home equity loans, allowing us to match members with the right solution while providing a lower cost alternative to unsecured loans and all with the speed and simplicity members expect from SoFi. Together, these products accounted for 1/3 of our record home loan originations during the quarter, helping drive growth as purchase and refinance remain muted in this high rate environment. We had an amazing quarter on any measure. Our exceptional member and product growth continue to demonstrate the trust and confidence that our members have in the quality of our products that keeps them coming back for more. Our offering is unmatched across traditional banks, fintechs and everyone in between. We continue to make significant investments in our platform, adding new products like SoFi Coach and making existing products like SoFi Plus even better. These investments reinforce what makes SoFi different, a seamless, integrated experience that helps our members do more with their money, all in one place while advancing our mission to help people get their money right. Our execution has led us to an important inflection point in our strategy and results. As our member base grows, cross-buy increases and engagement deepens, the power of our financial services productivity loop continues to compound. That flywheel is driving higher quality, more durable earnings and positions us to achieve our long-term target of 20% to 30% returns on tangible common equity. We are building a financial services company with a business model that we believe is increasingly differentiated, increasingly profitable and increasingly difficult to replicate. With that, I'll turn it over to Chris. Chris Lapointe: Thank you, Anthony. We had a strong second quarter and have great momentum heading into the back half of 2026. Our innovation and brand building continue to power exceptionally strong revenue growth. In the second quarter, adjusted net revenue grew 40% to $1.2 billion. Importantly, we generated $1.2 billion in cash revenue in Q2, our third straight quarter exceeding $1 billion of cash revenue. This included $790 million from net interest income and approximately $420 million from interchange fees, brokerage fees, technology platform fees, loan platform fees and loan origination fees. Cash is defined and accounted for the same universally no matter what type of company it applies to. In addition to our strong revenue growth, we delivered strong profitability during the quarter. Adjusted EBITDA was $358 million, up 44% year-over-year at a margin of 30%. Adjusted net income was $160 million at a margin of 13%. Net income was up 61% year-over-year. And adjusted earnings per share was $0.12, which included a negative impact of roughly $0.05 due to a higher-than-expected tax rate. This was our 11th consecutive profitable quarter. Turning now to our segment performance, starting with Financial Services. For the second quarter, Financial Services net revenue was $466 million, up 29% year-over-year. Contribution profit was $213 million, up 13% from last year, and contribution margin was 46%. Net interest income for this segment was $249 million, up 29% year-over-year, which was primarily driven by growth in member deposits. Noninterest income grew 28% to $217 million for the quarter. During the quarter, we achieved record interchange fee revenue, which was up 67% year-over-year and 25% from just last quarter. This was driven by more than $28 billion in total annualized spend across money and credit card. We also achieved record brokerage fee revenue, which was up 2.4x year-over-year and 20% from just last quarter. During the second quarter, our loan platform business generated $143 million of revenue, driven by the $3.1 billion of personal loans originated on behalf of third parties as well as referrals. This includes $2 million of servicing income recognized in our Lending segment. Our loan platform business helped us achieve another quarterly record in total personal loan originations of $10.7 billion, meeting incremental demand from our members beyond what we would put on our balance sheet. Note that during the second quarter, we had significant demand from LPB partners over and above what we decided to fulfill, but we did fill all demand from our contractual commitments and more. We have also recently made several positive advancements with our loan platform business. First, we've reached an agreement with a new partner, Sixth Street, to invest in personal loans totaling up to $1 billion. Second, we've expanded our offering to include our new SMB loan product and have agreed to terms on a 3-year $3 billion agreement with Basepoint Capital. Third, we've just further expanded our offering to include our home equity loans with the first loans being transferred in the coming days to a leading global bank. Adding 2 new loan types to the loan platform business is a significant achievement that will not only provide opportunities to grow our capital-light fee-based revenue, but it will also allow us to serve more members generating more cross-buy over the long term. LPB is a great example of how we can build highly scalable tech-driven platform businesses. Shifting to our Tech Platform segment. For the second quarter, we delivered net revenue of $85 million, up 13% from the prior quarter. Contribution profit was $12 million at a contribution margin of 14%. Revenue growth was driven by further monetization of existing clients as well as contributions from new clients. Turning to our Lending segment performance, which was very strong during the quarter. For Q2, adjusted net revenue for the segment was $712 million, up 59% from the same period last year. Contribution profit was $399 million with a 55% contribution margin. These strong results were primarily driven by growth in net interest income, which increased 54% year-over-year to $573 million. The balance of the growth came primarily from loan origination fees, which were up 64% year-over-year. During the quarter, we saw continued record member demand for our lending products. For personal loans, we delivered record originations of $10.7 billion, of which $7.6 billion was originated for our balance sheet. The ability to hold loans on our balance sheet is a key differentiator for SoFi, allowing us to generate predictable recurring net interest income and to efficiently deploy our capital to generate strong risk-adjusted returns. For example, our core personal loan product generated a roughly 6.1% risk-adjusted margin in Q2. This consisted of a weighted average coupon of 12.9%, a funding cost of 3.1% and annualized losses of 3.7%. Our ability to generate loans with attractive risk and return profiles supports our strong revenue growth through both balance sheet lending and our loan platform business. In addition to the record personal loan originations, we also saw record originations in student and home loans. Student loan originations were $2.7 billion, up 2.7x from the same period last year. Home loan originations were $1.4 billion, up 74% from the prior year. Turning to capital markets, where activity continued to be strong in the second quarter. During the quarter, we transferred $3.1 billion of personal loans through our loan platform business. We also closed $834 million in home loan sales at a blended execution of 101.6%. Consistent with prior quarters, we sold $90 million of late-stage delinquent personal loans. In addition to these loan sales, we executed 2 securitizations of loans originated on behalf of our partners through the loan platform business totaling $1.37 billion. These transactions priced at an industry-leading cost of funds levels with weighted average spreads of 91 basis points and 86 basis points, respectively. In fact, 86 basis points was our best ever pricing, reflecting exceptional demand for SoFi originated loans. I would also note that our most recent deal was meaningfully upsized from the original deal size. Turning to credit performance. Our credit performance remains very strong overall, performing in line with our expectations and driving attractive returns across all loan types. For personal loans, we saw a very strong credit performance during the quarter. Excluding the impact of delinquent loan sales, the estimated all-in annualized net charge-off rate was 3.7%. This 70 basis point decrease from last quarter was driven by an improvement in the underlying credit performance as well as growth in average loans on the balance sheet. Including the impact from the DQ sales, the net charge-off rate was 2.62%. This is down 41 basis points from the first quarter and 21 basis points from the second quarter of 2025. The on-balance sheet 90-day delinquency rate was 40 basis points, down 7 basis points from last quarter. For student loans, the annualized charge-off rate was 61 basis points, down 4 basis points from the prior quarter. The on-balance sheet 90-day delinquency rate was just 11 basis points, up 1 basis point from the prior quarter. Turning to our fair value marks and key assumptions. As a reminder, we mark our loans at fair value each quarter, which is done alongside an independent valuation specialist. This is based on actual loan level data and considers a number of factors, including the weighted average coupon, the constant default rate, the conditional prepayment rate and the discount rate comprised of benchmark rates and spreads. At the end of the second quarter, our personal loans were marked at 104.7%, down 71 basis points from the prior quarter. This was driven by an increase in the discount rate, which was up due to higher benchmark rates as well as a modest increase in the default rate and prepayment rate assumptions and a small decrease in WACC. At the end of the second quarter, our student loans were marked at 104.4%, down 85 basis points from the prior quarter. This was driven by an increase in the discount rate due to a higher benchmark rate, partially offset by a modest decrease in the prepayment rate. The WACC and default rate assumptions remained relatively consistent with the first quarter. Turning to our balance sheet. In the second quarter, total assets grew by $7.2 billion. This was driven primarily by $5.8 billion of loan growth and roughly $800 million of growth in cash, cash equivalents and investment securities. Total company-wide cash at quarter end was $3.6 billion. On the liability side, total deposits grew by $5.3 billion to $45.5 billion, which included strong growth in member deposits. Our net interest margin was 5.98% for the quarter, up 4 basis points sequentially. This included a 7 basis point increase in average asset yields, partially offset by a 1 basis point increase in cost of funds. We continue to expect a healthy net interest margin above 5% for the foreseeable future. In terms of our regulatory capital ratios, we are very well capitalized. Our total capital ratio of 18.8% at quarter end is well above the regulatory minimum of 10.5% as well as our additional internal stress buffer. Over the medium term, we expect to efficiently deploy our excess capital into high-returning assets while letting our risk-based capital ratio normalize toward the low to mid-teens. Tangible book value grew $4.2 billion year-over-year to $9.5 billion. The tangible book value per share at quarter end is $7.34, up from $4.72 a year ago, a 56% increase. Let me finish by providing our outlook for the year and some longer-term thoughts. In line with market expectations, we now expect an interest rate outlook consistent with the Fed funds futures and 1 to 2 hikes in 2026 versus the expectation of 2 rate cuts when we first provided our 2026 guidance. Now for our specific guidance. For the full year 2026, we now expect to deliver adjusted net revenue of $4.75 billion to $4.85 billion, which equates to year-over-year growth of approximately 32% to 35%. This is up from our prior guidance of approximately 30% year-over-year growth. We continue to expect to deliver adjusted EBITDA of approximately $1.6 billion, which equates to an adjusted EBITDA margin of approximately 33% to 34% adjusted net income of approximately $825 million, which equates to a net income margin of approximately 17% and EPS of approximately $0.60. Our EPS guidance now includes a tax rate of 22%, which is approximately 700 basis points higher than our original guidance. At the same mid-teens tax rate as our original guidance, our new guidance today would have actually been $0.65 in EPS instead of our actual guidance of $0.60 in EPS. As we look out over the longer term, we are on a path to generating returns on tangible common equity in the 20% to 30% range. ROTCE is the product of net income margin times the amount of revenue generated per dollar of tangible equity. For example, a 25% to 30% net income margin, combined with approximately $1 of annual revenue for every dollar of tangible common equity produces roughly a 25% to 30% ROTCE. Achieving both the net income margin of 25% to 30% and the revenue of equity ratio of 1 is embedded in our strategy with a very visible path from where we operate today. First, we expect continued expansion in the net income margins due to both higher-margin businesses becoming a larger part of our mix, and we continue to realize operating leverage. Second, we're increasingly generating more revenue without a commensurate increase in equity by growing more capital-light fee-based businesses. We have high visibility and confidence in our target net income margin because our incremental net income margin has already been approximately 30% while growing revenue more than 35%, demonstrating that these margin levels are achievable. As the business matures and incremental margins increasingly become overall margins, we believe the path to a 25% to 30% net income margin is highly probable. Revenue to equity is a function of revenue mix and capital efficiency. We believe both of those outcomes are achievable over time through execution of the strategy we're already pursuing, which is why we have confidence in our long-term return profile. Overall, Q2 was a strong quarter, and we continue to have strong momentum in our business. Let's now begin the Q&A. Operator: [Operator Instructions] Your first question comes from Devin Ryan with Citizens Bank. Devin Ryan: First off, congratulations on the Notre Dame partnership, my alma mater. So good to see that yesterday. You got a lot of attention. Question just on loan platform and really want to focus on some of the new capabilities with SMB and home equity and the new agreements that you guys have recently announced. Can you just give a little bit of context around the capacity that you see in kind of some of these newer categories and also how quickly SoFi can build origination volume into that capacity? And just also how we should think about kind of the fee economics in these new categories as you kind of expand beyond personal loans? Chris Lapointe: Yes, absolutely. Thanks, Devin. So in terms of loan platform business, that was originally started a few years ago, primarily as a referral channel where we were sending all of our declines to a marketplace and generating a fee. That evolved over time to where we started to originate on behalf of others in meaningful scale from an unsecured personal loan perspective. I would say, and I've said this consistently, the Nirvana state for the LPB business is to be able to go to investors with a menu of options and asset types that allows them to pick and choose exactly what they would like from both the risk and reward and return profile perspective. And one of the key things that we needed to achieve was to start expanding the loan platform business into other asset types. And this is the first quarter where we were able to do so by introducing the SMB partnerships. There are 2 of them. One is with Basepoint Capital for $3 billion over 3 years, and the other is with an undisclosed party for several hundred million dollars. And then we are also introducing home equity lines of credit to the mix as well in the coming days. In terms of the overall size and scale and opportunity and our ability to originate into that, we're just starting to originate in meaningful scale on the SMB side. There's considerable demand from an application start perspective, and you would expect to see economics in the range of where we're executing today to maybe slightly better. On the closed-end seconds and mortgage side, similar story. We're already originating at a pretty good clip right now on a monthly basis. And the partnerships that we're talking about are in the $100 million to $200 million per month, but we're talking to several parties. But we certainly have the ability to originate into that. And again, from an economics perspective, we don't disclose that by party, but you could expect it to be similar to where we're executing today. Anthony Noto: The other thing I would add is that as we continue to build out a more diversified portfolio of loan platform businesses, we build new relationships that can benefit existing loan platform businesses. The SMB business is one that we think we can be incredibly competitive on. Similar to personal loans and credit cards, most SMB lenders are charging exorbitant rates of over 30%. We think we can operate meaningfully below that and take significant market share. If you think about our portfolio of loans and originations more broadly, we are really taking massive market share from high, high, high-return, high profit margin types of products. So in personal loans, we're underwriting WACC at about 12% compared to credit card at 25%. That's an incredibly compelling value proposition for any individual consumer. In SMB, as I mentioned, we could be 10 points below where the pricing is on SMB. Closed end also, we can be more competitive than others. And because we're more competitive on price, we get higher quality borrowers, which will only reinforce the productivity loop of originating high-quality borrowers, delivering great return assets to our partners, putting great return assets on our balance sheet, driving capital that can continue to fund that. And we're very close to that whole equation playing out. Operator: Your next question comes from Andrew Jeffrey with William Blair. Andrew Jeffrey: Great to see the momentum you have in the business. Anthony, kind of a high-level question for you. I know the company has been sort of hyper focused on driving members given the size of the TAM. And now it seems that cross-buy reached a pretty important inflection point. Is this the time to sort of focus on monetization sort of at the margin versus member growth? Or do you think you walk and chew gum and we see both metrics rise over the next couple of years? Anthony Noto: It's an important point that you bring up. It was an important inflection point for us in this quarter. It started in Q1. We didn't want to overemphasize it in Q1 relative to Q2, but make no mistake about it. This is -- the first half of this year has proven that our broad-based everything app strategy is working. We've seen improvement in products per member in Q1 and Q2. We continue to expect that to happen for the foreseeable future. We have the right portfolio of products where people are organically acquiring the next product. And so if you think about Relay and you think about SoFi Money, those are tip-of-the-sword products that are broadly appealing. We have over 7 million money members now, over 6 million Relay members. The more money members we bring in, the more Relay members we bring in, the more downstream benefit we get in SoFi Invest and SoFi Credit Card and SoFi SMB as well as all the loan products. And those acquisition costs are basically 0 on those other products, which basically doubles the profitability on the loan side. And so there's a great flywheel here at work. And what's changed this year is that the SoFi Plus product, the SoFi Crypto product are absolutely driving product per member organically. So as we mentioned in the remarks, SoFi Plus relaunched we're already at over 200,000 paying members, which is on a run rate basis, going to be over $24 million a year, and it's growing very rapidly. But the most important thing is that 85% of those new SoFi Plus members are existing members. And 1/4 of them are taking on another product after they take out SoFi Plus. So if an existing member takes out SoFi Plus, they have at least 2 products since they're existing and then 25% of them are taking out another product. And layer on top of that more broadly appealing products like Crypto and more broadly appealing products like SMB and now Big Business Banking, and you can see the flywheel really working. So our growth is going to be driven by members, by products per member and by revenue per product. So all 3 working for us, and you saw that in the quarter. Operator: Your next question comes from John Hecht with Jefferies. John Hecht: Anthony, I'm just -- I'm wondering if maybe you can give us an update on the competitive -- excuse me, the competitive environment and like customer acquisition costs and channels and how are those trends going? Anthony Noto: Yes. Outside the loan business, the competition is very benign. Our customer acquisition costs are staying pretty stable. The team is doing a great job of really optimizing unit economics and driving efficient scale in customers. The fact that we're driving 35% year-over-year growth in members and over 40% growth in products and really keeping CAC constant is a function of the great data analytics we have and the value prop that we have. Each one of our products, we absolutely designed to be the best-of-breed on its own, both from a value prop to the consumer as well as unit economics. So we're indifferent in what product they take first. But we're seeing continued strong demand in our channels at stable pricing in all of the financial services products. The lending products are definitely more competitive, but we have very unique products. So in personal loans, we're really not competing with big banks. They don't offer personal loans, primarily because they have these huge credit card businesses that they don't want to cannibalize. So we're kind of competing with the smaller companies that don't have as much capital and they have higher cost of funding than us. So we've competed really well. But don't get me wrong, like I'm focused on funnels and pricing every day in the PL business. The student loan business doesn't really have a competitor in the home loan business. So overall, a pretty benign environment at the top of the funnel, bottom of the funnel, nothing's changed, but it's always been competitive on pricing, and we're pretty nimble and have a significant advantage in lower funding costs than others. Not to mention a large percentage of home loans are cross-bought from existing members and increasingly a higher percentage of personal loans is cross-bought again without customer acquisition costs. Operator: Your next question comes from Dan Dolev with Mizuho. Dan Dolev: Really nice results. Congrats. Just wanted to ask maybe, Chris, can you walk us through the rationale of not raising the EBITDA? Obviously, results are super strong. Just some color on that. I think a lot of investors are asking. Congrats again. Chris Lapointe: Yes, absolutely. Thanks, Dan. So we ended up raising guidance from a revenue perspective, about $100 million to $200 million. That obviously reflects the continued strong execution and strong demand that we're seeing across the entire business. And as we've said before, when we see opportunities to deploy capital at attractive returns, we're going to lean into them. And that's what we're doing today. There are just too many large attractive growth areas for us to invest versus adding even more profitability. The profitability opportunity is not going to go away, but choosing not to invest today would come at the expense of capturing that growth opportunity in the future. The incremental revenue gives us, obviously, the additional flexibility to invest in initiatives that we believe will drive long-term growth while maintaining the EBITDA and EPS guidance that we've provided. Anthony Noto: Dan, the other thing I'd say is we don't want to over-optimize for the actual EPS that we hit or the actual EBITDA that we hit relative to these bigger growth opportunities. But we also do need to be balanced relative to the environment. And while we couldn't be more positive about the demand for our products, the performance that we're driving with them, the credit trends we're seeing, the spending trends we're seeing as well as the investing trends. All of those things are green and up and to the right. And so that's what's allowing us to drive such strong demand. It's not coming at higher cost, which I think is what a lot of people will point to. The incremental investment is on new growth opportunities. This year, we've launched a number of things that were never in our 2026 plan. We just launched Big Business Banking. We launched SMB. We launched SoFi USD. We launched SoFi Crypto. And we're leaning into SoFi Plus because of how well it's doing. So that momentum is absolutely continuing. The other thing I would just say is we entered the year expecting rate cuts. We're now expecting 2 rate increases. We've not only maintained our guidance for revenue and profitability, we've exceeded expectations on the revenue side. So when we think about the back half of the year, I don't know if there's going to be 2 rate cuts. If they are, we're going to be fine -- sorry, 2 rate increases. There are, we're going to be fine. If there are no rate increases, we probably have upside to the bottom line. But we have the cushion in our guidance to be prepared to deliver in regardless of the environment. Operator: Your next question comes from Kyle Peterson with Needham. Kyle Peterson: I wanted to talk on the Loan platform business. I think this is the second quarter in a row you guys have talked about the demand is really good from the buyers, but you guys aren't necessarily fulfilling some of the upsized requests based on like capital levels and unit economics for you guys. So I guess, how should we think about -- should that continue on the personal loan side moving forward as you guys still have really strong capital ratios? And I guess, like is any of that volume decision impacted by HELOC and SMB starting to get ramped up on the platform? Chris Lapointe: Yes, absolutely. Thanks, Kyle. So I'd say on how we're feeling about the PL business as it relates to LPB, we're happy with that level of volume. We're able to meet all of our contractual commitments and then some. And where you're going to start to see more meaningful growth is in some of these other asset types, and I walked through those earlier in the call during my prepared remarks and in the first question. As it relates to some of the capital consumption questions and how that pertains to LPB, what I would say is that we're self-funded through our guidance period and the medium-term operating plan that we've laid out. As our profitability continues to improve, our organic capital generation is going to continue to increase as well. Combined with continued growth in our capital-light businesses that Anthony has mentioned as well as the flexibility that we have in how we monetize our originations, whether that's through the LPB program or on the balance sheet, we believe that we can operate comfortably within our target capital range without the need to raise capital under our current operating plan. Operator: Your next question comes from Pete Christiansen with Citi. Peter Christiansen: Really nice results here. Anthony, I'm curious, with introducing some of these more commercial-like products, how should we think about the cross-buy flywheel here or I guess, in the future and putting it around some of these newer offerings? Is it, hey, this is a small business, we can connect to some of the proprietors there maybe for personal banking? Or do you envision some additional services that could serve that market to increase the cross-buy? Anthony Noto: Yes. What I'd say is the following. The most common sort of path or stage someone goes through is they come in through SoFi Relay or SoFi Money. They come through Relay, the most prominent next product is going to be SoFi Money. If they come in through SoFi Money, there's going to be a path to Relay or to SoFi Invest or to loans. SMB really was borne out of the fact that a large percentage of our members actually are small business operators. And back during COVID, when the government provided PPP loans, we got a significant amount of demand for applications on PPP loans, even though we were not in the SMB business. We actually stood up an application process that met the government's application criteria and help pass on that demand to lenders. And then on the back of that, we built a marketplace so that we actually get paid for that referral process that we're doing. So the SMB business is very much synergistic to the rest of our business. And I would think of it as just another use case for an individual to satisfy the needs they have from a borrowing standpoint. We'll obviously follow this up with checking and savings in SMB and other products that are ancillary to that. And so it will add to the flywheel. Big Business Banking, I don't think is truly appreciated by people outside the company. We were looking to partner with marketplaces and market makers in Crypto and everyone we talked to said, can you please be our actual bank? Can you build a fiat and crypto banking capability that's API-driven. And that's where that business was born out of. And so not only will it be a business on its own, it will drive second order benefits in driving more usage of SoFi USD. And the SoFi USD product is going to be driven obviously by the net interest income from leaving that cash at the Fed bank and earning Fed funds on it. And so we have a number of pieces of demand for SoFi USD. You have Big Business Banking, which is now up and running and people can use SoFi USD as a form of payment in those payment rails. We have our crypto business, which is actually settling in SoFi USD. On the consumer side, we have our debit credit card with Mastercard will begin settling in SoFi USD with Mastercard in the coming weeks. And so these businesses are starting to layer on top of each other, and there's synergies across them. Operator: Your next question comes from Will Nance with Goldman Sachs. William Nance: I wanted to ask a question on the SoFi Plus commentary that you had and some of the membership growth that you guys have seen. I was hoping you could maybe talk through just the profile of the customers that are adopting the product. What have you seen from a wallet share perspective or an engagement perspective? Have you seen things like average deposit balances increasing or engagement with the SoFi platform increasing on the back of some of those sign-ups? Anthony Noto: Yes. Our hope when we relaunched SoFi Plus is that it would increase the awareness of the other products that we offered that existing members may not be aware of or new members may not be aware of because SoFi Plus is meant to be the best of every individual product. So if you sign up for SoFi Plus compared to just SoFi Money, you get a higher interest rate, you get other bells and whistles. If you sign up for SoFi Plus compared to just SoFi Invest, you get a 1% match. And each product, credit card, better rewards, et cetera. So all of the 206,000 SoFi Plus members that we reported in the quarter, 85% of them are existing members. And so it's the same demographic of our member base already because they are members. And the 25% incremental purchases of a new product after SoFi Plus, it's primarily -- the thing that's benefiting the most is Invest. And that's really encouraging. That means we're getting -- we're increasing share of wallet. We have investors for the first time that are novice to new investors, but we're also getting investors that are transferring their money because of the match. Secondarily, the SoFi Money product is the product that benefits if SoFi Plus is in that 15% bucket. So SoFi Plus is the first product of a member. The second product that they're buying is SoFi Money. In terms of the actual second order effects of their existing activity, a SoFi Money member that takes out SoFi Plus, 1/4 of them are taking out a third product, but we're actually seeing increases in their deposits on the back of that SoFi Plus subscription sign-up, and we're seeing increases in AUM as well, and we're seeing increases in spending. So there is a benefit from more products being taken out from SoFi Plus and there's a benefit from more engagement as defined by more deposits, more AUM and more spending. Here's a really interesting data point. I looked back at the Q1 2021 cohort. Of the money members in the Q1 2021 cohort that became money members that quarter, with the launch of SoFi Plus, we increased the product per member of that cohort by one product in the quarter, which is, if you think about it, that's almost 5 years old, that customer that was acquired, and they added one product for the entire cohort in the quarter. So it's having a really strong impact, and that's why we mentioned in the earnings results and in my comments that we're seeing an inflection point benefiting from the flywheel. Crypto is also contributing to that flywheel as well as a new product. Operator: Your last question will come from Matt Coad with Truist. Matthew Coad: Anthony, I just wanted to ask about the spend down of that excess capital that you guys have talked about. So you're in that advantageous position where you have a really strong CET1 ratio, a lot of capital to spend, but you brought down that CET1 ratio pretty quickly over the past couple of quarters. So could you talk about just capital balance sheet growth and kind of the spend down and the pace of the spend down of that excess capital? Anthony Noto: Sure. I'll let Chris get into the numbers in more detail. One of the benefits of growing our balance sheet in Q1 and Q2 of this year is that we have very strong visibility into our revenue for 2027. And that visibility is going to continue because if we maintain our balance sheet at this size, it's going to produce the net interest income that's being delivered today consistently over time, barring a huge change in the economy or overall credit performance, we can kind of count on that revenue in the future. And that's a really stable thing to have, so we can, at a minimum, fund a significant amount of investments regardless of the environment that we're in. And so when people ask like why are you putting loans in the balance sheet, why are you not doing everything through loan platform business, it's because we want to make sure we have revenue in the future that's visible that can deliver no matter what, and it's 100% in our control. We layer loan platform business on top of that, not just in PL, but now SMB and closed-end seconds, and it's a very incremental additive return on top of something that's very visible, and we have 5 years of history. I don't know if people heard the numbers that I mentioned about over $5 billion of cash net interest income from what we generated in Q1 of 2024 through Q2 of '26. But that's an astronomical number, especially when it's 2x greater than what the noncash revenue was recorded as a premium over time, which shows that the loans are really performing. I'll let Chris talk about where the capital ratios will settle out, et cetera. Chris Lapointe: Yes. So we exited the quarter at an 18.8% total risk-based capital ratio, which is our binding constraint. That's well above the regulatory limit of 10.5%. As I mentioned in my prepared remarks, we believe that having a risk-based capital ratio in the low to mid-teens is appropriate for this business longer term. And like I said a few minutes ago, based on our current operating plan and the guidance that we've provided, we feel really good about being able to operate within those confines without the need to raise capital. As you know, as we continue to expand profitability, our organic capital generation will continue to increase. And by continuing to scale our capital-light fee-based revenue streams, that will help as well. Operator: At this time... Anthony Noto: I'd like to... Operator: My apologies. Anthony Noto: Operator, I'd like to end with some closing comments. In closing, Q2 marks a clear inflection point in our strategy where everything app is driving higher products per member, resulting in higher lifetime value, supporting superior levels of investment and our ability to offer more value to our members than anyone else and better rates, products and services. This continuous, reinforcing cycle of the financial services productivity fuels durable growth and high returns. The benefits of the strategy in our view, are no longer theoretical or leap of faith. They are 100% in our control via disciplined execution. I'm often asked why I buy the stock and the answer is simple. I believe we will achieve the returns that Chris walked through before of 20% to 30% return on tangible common equity, and it's just a matter of when, not if the market can connect the dots to the attractive return potential of our business. Until then, we're going to keep our heads down and continue to execute and deliver for our members and our shareholders. Thank you, and we look forward to talking to you next quarter. Operator: Goodbye. This concludes today's conference call. You may now disconnect. Before you buy stock in SoFi Technologies, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and SoFi Technologies wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $397,405!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,344,091!* Now, it’s worth noting Stock Advisor’s total average return is 953% — a market-crushing outperformance compared to 214% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors. See the 10 stocks » *Stock Advisor returns as of August 7, 2026. This article is a transcript of this conference call produced for The Motley Fool. While we strive for our Foolish Best, there may be errors, omissions, or inaccuracies in this transcript. As with all our articles, The Motley Fool does not assume any responsibility for your use of this content, and we strongly encourage you to do your own research, including listening to the call yourself and reading the company's SEC filings. Please see our Terms and Conditions for additional details, including our Obligatory Capitalized Disclaimers of Liability. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. SoFi (SOFI) Q2 2026 Earnings Call Transcript was originally published by The Motley Fool

In this episode of Motley Fool Hidden Gems Investing, Motley Fool contributors Travis Hoium, Lou Whiteman, and Rachel Warren discuss: SoFi’s results. Is SoFi just a bank? Visa’s strong growth. P&G Iis fine? Bloom Energy growth. The AI trade. To catch full episodes of all The Motley Fool's free podcasts, check out our podcast center. When you're ready to invest, check out this top 10 list of stocks to buy. Missed Nvidia in 2009? This Rare Signal Is Flashing Again. In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia. For the first time in years, that same "Total Conviction" signal is flashing for a company 1/100th the size of Nvidia. Continue » A full transcript is below. Before you buy stock in SoFi Technologies, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and SoFi Technologies wasn’t one of them. The 10 stocks that made the cut are built for long-term growth and could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $400,155!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,345,502!* That performance is why people listen. With a track record of beating the S&P 500 by 4x, Stock Advisor offers a distinct advantage. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built for the long haul. See the 10 stocks » *Stock Advisor returns as of August 7, 2026. This podcast was recorded on July 29, 2026. Travis Hoium: Earning season is in full swing, and Motley Fool Hidden Gems Investing starts now. Welcome to Motley Fool Hidden Gems Investing. I'm Travis Hoium, joined today by Lou Whiteman and Rachel Warren, and guys, we've got earnings on the mind today. We're going to get four different earnings reports, at least touch on them. Lou, the first one that I wanted to get your thoughts on is one that I'm sure a lot of Fools have in their portfolio, or at least their watch list. That is SoFi, the numbers looked pretty impressive. Total revenue was up 43%. Net income was up 61%, and yet, the stock is down almost 10% today. I think the stock is acting rationally. Again, I know I get a lot of hate for this, but you just don't like growth, Lou. Let's be honest. Lou Whiteman: I like growth. It's just the question of what you're paying for growth. One thing we learned from that short report, and I think it's important. The short report was mostly just nonsense, but one thing that I think it did highlight is SoFi loves to use mark-to-market and other adjustments to create non-GAAP earnings. That's fine. They disclose it. Again, the short report was overstated. But it makes apples-to-apples comparisons to other banks very deceptive, and I think it flatters SoFi in a lot of ways. On a GAAP basis, SoFi is trading at 40 times earnings. The average bank trades at 10-15 times earnings. I can find you really good ones right now where the dividend yield is at 4% or so, and they're on the lower end of that 10%-15%. The question is, yes, SoFi is growing faster than these banks, and I think they can justify a premium valuation based on that growth. But I don't think the market is wrong in saying, I ain't 40 times earnings, which, you know, and we can go deeper into it if you want. But I think for all SoFi tries to say it is, SoFi is a bank, and it should be judged as a bank. It's a fast-growing bank. Give it a premium, but I do think the valuation is still, I catch. Travis Hoium: Is that the criticism of the quarter and the stock right now still? Maybe this is a more attractive bank than other banks because it is growing more quickly. I still don't want to pay this price. And at what price do you think it becomes more intriguing? Lou Whiteman: My criticism is, why now, guys? We've known this for a while. I don't know why, maybe that there was hope that we were going to see different in the new quarter, but I mean, they are what they are. The fintech business, it's not nothing, but there are dozens of software vendors that'll give you banking as a service. Inevitably, these faux banks come and go left and right. There isn't really any differentiators. That software business always seemed a little suspect to me. If you want a great fintech bank story, buy Live Oak. Don't buy SoFi. SoFi is a retail bank, and at some point, we should value it like one. Travis Hoium: Rachel, do you see this quarter similarly, or do you look at these? Not only did they grow members, but they actually grew products faster than members, which tells you that their uptake on those products is a little bit higher. Getting more people in the ecosystem and getting them to use SoFi more. Rachel Warren: Yeah, I have a few thoughts on this. And I don't necessarily think you can value SoFi the same way you would legacy banks. But I do think there's a few very practical reasons why we've seen some of the pressure on the stock. I mean, going back to the quarter, they added over 1 million new members in the quarter alone. Their base is just shy of 16 million people on that banking side. Management raised SoFi is full-year revenue outlook, so that core machine seems to be resilient. Now, it was interesting. I think one of the things investors didn't like was, of course, the tech platform segment that dropped 23% in terms of revenue. That was largely because we saw a major enterprise client that had left the platform at the end of last year, so we've been seeing the impact since then. Full-year profit and earnings per share guidance remained the same. I think we're in a market where a lot of investors are hoping for not only a beat but a raise. The risk that I would be watching here is SoFi is leaning heavily into capital-intensive lending to fuel its growth story. We saw total loan originations hit a record $14.8 billion that included about $10.7 billion in personal loans. Their CEO is insisting that the borrowers are remaining resilient. Personal loan charge-offs and credit delinquency trends are creeping upward across the industry, however. The reason this matters is SoFi keeps these high-yield loans on its own balance sheet rather than instantly offloading them. If we see a macro downturn, which I'm not saying we will, but it's something to watch for, or even a spike in consumer defaults, that will hit the balance sheet. And we also saw that, you know, tech platform-enabled accounts actually dropped about 16% year over year. They have seen a bit of an impact from the loss of that major enterprise client. Fundamentally, I think this is a good business. I think it's a solid one, and I don't think there's anything wrong that is leading to the pressure on the stock. I think a lot of this is just the machinations of the market. I do think that these are elements to watch, though, if you own SoFi or even are thinking about buying shares. Travis Hoium: Lou, we have a name for companies that make loans and keep them on their balance sheet. You know what that is? I know where you're going at this, Lou. Lou Whiteman: It's a bank. Travis Hoium: Yeah. Let's talk about the products, because maybe I'm showing my ignorance here, but I was really surprised by one stat in there that they said the products per member reached 1.54, which is an all-time high. Now, I've been involved with banks for 30 years, and most banks don't break down the numbers. But if you hire a bank consultant to what they come in, the first thing they're trying to do is to get that number to two or three per member, or customer. Lou Whiteman: That's why they get you to open a checking account and a savings account. Travis Hoium: Right,1.54, maybe it just spread. I think it speaks to how much a SoFi is just paper-thin marketing, because that implies that a ton of their customers, relative to a community bank, only have one product. I don't know if that's the flex things is one stat we can use. JPMorgan says that 30% of their retail customers have two or more products. Again, that's not an apples-to-apples. Like I said, most banks don't list that, and it's kind of a weird thing to list, but I'm surprised they're flexing that number because I think there's community banks that I can walk to from my house that would really laugh at that number. It's funny you mentioned that because that is one of the metrics that I do watch with SoFi. But I have also opened accounts at all of these things. If you open, for example, we have a Wells Fargo account. They will charge you a credit, have a checking account unless you also have a savings account ,and you deposit, I think, it's $25 a month into that savings account automatically from the checking account that you also created. Lou Whiteman: Yeah, I don't want to be too hard on them. They are a good bank, but I do think as investors, and maybe a lot of investors don't look at banks, and so far it has kind of attracted the eye of growth investors just because of the story and where they're based and who runs them. I think there is a lesson here that maybe I am being too hard, but maybe also the market is being too generous. It is really, really hard for a bank to be anything other than a bank, and at some point, there is regression to the mean. I think investors, they both things can be true. It can be a very well-run company with growth that exceeds national averages and still overvalued based relative to the opportunity. Travis Hoium: Well, we will be keeping an eye on SoFi, and I'm sure Lou and I will keep arguing about the future of the company. We'll see who's right over the next 5 or 10 years. Listen on to this show. When we come back, we're going to check in on the health of the consumer. You're listening to a Motley Fool Hidden Gems Investing. ADVERTISEMENT: Abercrombie knows Denim better than anyone. Their Relax Jean was made for everyday plans, while their baggy jean comes through for the days. You need something different. Plus, they've got their original classic fits and athletic fits for guys who want a little more room in the fight and seat. Shop Abercrombie Denim and more in the app, online, and in stores. Travis Hoium: Welcome back to Motley Fool Hidden Gems Investing. Let's turn our attention to direct consumer spending. There's a number of different companies who are giving us an indication of how healthy the consumer is. Rachel, one that caught your eye was Procter & Gamble. Maybe not the most exciting company, but it's at least people telling us how much people are buying diapers and things, the necessities of life. Rachel Warren: Right. This is the company that's known for those household name products like Tide, Pampers, the list goes on. It does provide an interesting insight into how consumers are behaving. This is, I will note, not a company that is typically high growth even in the best of macroeconomic times. The margins are slim, a normal year of growth or a quarter, you might see 2% year-over-year gains. But Procter & Gamble actually missed Wall Street's revenue expectations by about 180 million for the quarter. They pulled in about 21 billion in this recent quarter. Volume was flat year over year. Operating margins were actually down. They actually saw profits decline by about 15%. Why does this matter? Their operating margins were compressed because you're seeing companies like this have to spend significantly on marketing to try to protect their share, and consumer staples operate on very thin incremental margins. Any drop in volume hits profits quickly. But I think what this tells us about the broader consumer is that a lot of average households are really reaching their financial limits. We're not seeing a dramatic economic crash where people stop shopping, but we are seeing very tactical retreats and approaches to how consumers are putting their money to work. They're looking at these legacy companies that put these household name brands forward, and they're not willing to absorb the higher costs. Companies like Procter & Gamble have implemented over the last few years. They're stretching out their existing household supplies. They're maybe switching to cheaper store brands. They're buying smaller packages. When you're a company like Procter & Gamble, they've certainly, you know, lasted through their fair share of market ups and downs, but it can really come in hard on the margins. I think, if anything, this yields continued ground to the likes of Walmart and Costco, who not only control the physical store shelves, but also have their own private label brands and really robust e-commerce presence as well. Lou Whiteman: I think Rachel's right. It is the store brands, and I don't know if this says anything about the consumer right now. That's a trend that was going well before this current. This is a denies a 15%-20% a year. I think it just speaks to, and we've seen this with Kraft Heinz. We've seen this with so many. I don't think P&G it's just a terrible place to be right now. Consumers have realized the store. I remember in the ‘80s one joked about it. Well, it's the same product. It's just a different label. That was kind of novel back then. Now it's table stakes. That vast middle, that big consumer brand with a logo has really suffered. Again, I am reluctant to read anything into the health of the consumer. I think what the consumer right now has showed us is they will pay up for select things, like maybe on shoes or something like that. But for most everyday purchases, the fact that it's tied and not Costco brand just doesn't matter. I think that's what we're seeing. We can talk about Visa, too [OVERLAPPING]. Travis Hoium: Well, I wanted to point out the store brand thing, I think is really interesting because that was one of the things when I started at 3M's biggest manufacturing plant in 2005. The interesting thing there was you would have Scotch tape rolling off the line, and then 5 minutes later, there would be Walmart tape rolling off the line. It was literally the exact same equipment. They make it a little bit worse, so it is not quite the same product. You want to have that other product be a little bit higher quality. There is a little bit of a premium there. But it's not like it doesn't hold a piece of paper on the wall. It's not like the diapers are going to be complete garbage. That is something that we've seen for a very long time is that those big companies, the Walmarts, the Costcos, the Targets of the world, have the power to say, Hey, you know what, if you want to be in our store, we want to have our label on. What do you think about Visa though, Lou? Lou Whiteman: This is another way to look at the consumer, and it's a much healthier look, which is maybe why I'm not sure how to read P&G, but Visa reported 10% U.S. volume growth in payments. That's the fastest growth rate since fiscal 2019. Transaction counts were up to about, say, 10%. This isn't just an inflation story or something like that. There is actual transactions happening. Visa also and Travis, is something we've talked about a lot, but the K-shaped economy. Visa said spending is not isolated to high earners. This is strength across the board. Just last week, the economists over at Bank of America said they believe the K-shaped trade may be reversing in a good way, more spending power across the board with kind of the lower end of that K kind of picking up. I mean, I don't think we know that yet, but Visa's results sort of back up that idea. Now, look, there was more I mean, I think the World Cup factored in here. There's international experiences, which it's kind of the upper end of [inaudible]. I'm not saying that it is all just perfect and fine. But the quarter was fine. They're forecasting basically status quo for the rest of the year. I continue to think both Visa and Mastercard are undervalued right now because of the disruption potential. I like Mastercard better, but I think that, look, status quo is really good here, and this was at worst a status quo quarter. Travis Hoium: Things seem to be OK for the consumer right now, and maybe that's OK for the market right now. When we come back, we're going to talk about an energy company that just grew revenue of 166%. You're listening to Motley Fool Hidden Gems Investing. ADVERTISEMENT: This episode is brought to you by Accenture. When your advertising operations fall out of sync, everything else follows. Spotify and Accenture are working together to reinvent the rhythm of ad sales, using automation, analytics, and smarter workflows to simplify campaign delivery and access better data across the business. The result, less time spent on operations, more time connecting brands with the moments and fandoms that matter most. Learn more at accenture.com/Spotify-UK. ADVERTISEMENT: The Meal Deal plus at McDonald's, bag yourself a mayo chicken or cheese burger with medium fries and select a drink on one of five bonus sides like four McNuggets or a mini McFlurry, all for 559. Now that saves a satisfaction. From 11:00 A.M. Not on delivery. Includes a selected saving menu bega, medium fries, selected drink, and a selected bonus side. Price and participation may vary. Travis Hoium: Welcome back to Motley Fool Hidden Gems Investing. Bloom Energy reported earnings last night. Rachel, this is one of the more interesting stocks out there right now. This stock has been absolutely on fire over the past year or two, because this is one of the few companies that can put energy into a data center at a relatively rapid clip. Revenue was up 166%. What do we need to know about the quarter? Rachel Warren: It was a great quarter for Bloom Energy. Their adjusted earnings per share also were double what Wall Street was guiding for. They raised the revenue outlook as well, looking ahead to the rest of the year. Obviously, as you noted, the stocks down from its recent peak. I think that this is one of those businesses that is very vulnerable to having volatility based on unrealistic hype cycles. This is a company that's executing well. Worth noting, just about every major AI hyperscaler has now approved their fuel cells to bypass utility grid bottlenecks. But I do think there is a question of when there might be periods where the AI power trade could run out of gas, where we could see the stock vulnerable to sector profit-taking. I think that might be something we're seeing right now. I mean, there's this question of when we're going to see this transition from buying a catchy AI narrative to really looking at the capital-heavy reality of physical infrastructure. Fuel cells are a physical manufacturing business. Generating energy requires real factories, massive upfront capital, very complex installation timelines. Now, Bloom's profit margins improved this quarter. Scaling up production to meet the demand that they're facing is a very expensive endeavor. It will limit their short-term cash flows. Now, I don't think that we need to worry that Bloom's business is broken just because they're down since their summer highs, but I do think that we might be coming towards a point where the market could force some of these AI infrastructure companies to justify their valuations with some real-world unit economics. That could be some of it. Travis Hoium: Lou, it does seem to be kind of a theme where a lot of these pick-and-shovel plays coming back a little bit, because investors are starting to go, Wait a second, how sustainable are these growth rates and margins that we see today? Lou Whiteman: Let's get that in a second because I think that's exactly right. But yeah, stocks down is 50% from its high, still up 400% over the past year. It's still a double in 2026, even if it is 50% since June, and it still trades at 75 times forward earnings for an industrial company is pretty amazing. Quarter is fine, Rachel's right. Given the AI power demand, anything short of fine would have been a real negative WOW factor, but they held SRV, and that's great. Remaining performance obligations, RPO, that was flat. Remember, Wall Street tends to pay for growth from here, not growth that has occurred. I think that is the easiest way to explain is coming back to Earth, kind of letting some of the air out of tires. It's great. If they can sustain at this level, and I think they probably can, given the demand, that's a fine company, but it doesn't make you a gross stock. Picks and shovels, I think it's really interesting because picks and shovels, it's so clever and everyone loves to look smart with picks and shovels trades, but they are imperfect trades. They are a trade you do because the underlying asset is overvalued. You know, why if you want to invest in hyperscalers but the hyperscalers are overvalued, how about investing in their suppliers? It is just a secondary way to play a trend. Right now, you can get the hyperscalers at much more attractive valuations than the vendors serving them. Why focus on the vendors? I think the market kind of looking away from somebody's picks and shovels. I think it's just over for now. Travis Hoium: It'll be interesting to see where that story goes because you're right, that has been a theme, but when a theme needs to become a fundamental reality, eventually for the market, fundamentals eventually drive stock market performance, and Bloom is doing extremely well, but the ROI that we see today may not be sustainable long term. As always, people on the program may have interest in the stocks they talk about, and The Motley Fool may have formal recommendations for or against, so don't buy or sell stocks based solely on what you hear. All personal finance content follows The Motley Fool's editorial standards and is not approved by advertisers. Advertisements are sponsored content and provided for informational purposes only. To see our full advertising disclosure, please check out our show notes. For Lou Whiteman, Rachel Warren, and Dan Boyd behind the glass, I'm Travis Hoium. We'll see you here tomorrow. Wells Fargo is an advertising partner of Motley Fool Money. JPMorgan Chase is an advertising partner of Motley Fool Money. Lou Whiteman has positions in Live Oak Bancshares and Walmart. Rachel Warren has no position in any of the stocks mentioned. Travis Hoium has positions in SoFi Technologies. The Motley Fool has positions in and recommends Bloom Energy, Costco Wholesale, JPMorgan Chase, Live Oak Bancshares, Mastercard, Target, Visa, and Walmart. The Motley Fool recommends 3M and Kraft Heinz. The Motley Fool has a disclosure policy. SoFi and Visa Earnings Point to Consumer Confidence was originally published by The Motley Fool

Dave Inc. DAVE is slated to release second-quarter 2026 results on Aug. 5, after market close. The Zacks Consensus Estimate for the to-be-reported quarter’s earnings per share (EPS) and revenues is pegged at $3.69 and $169.75 million, respectively. While the consensus mark for second-quarter 2026 EPS has been revised slightly southward over the past 30 days, it suggests a 17.52% improvement year over year. The Zacks Consensus Estimate for quarterly revenues implies a notable year-over-year increase of 28.89%.For the current year, the Zacks Consensus Estimate for Dave’s revenues is pegged at $714.10 million, indicating a rise of 28.85% year over year. The consensus mark for 2026 EPS stands at $16.80, calling for a 27.47% expansion from the year-ago period. Image Source: Zacks Investment Research Over the trailing four quarters, the company’s EPS surpassed the Zacks Consensus Estimate on each occasion, with an average beat of 45.78%. This is depicted in the graph below: Dave Inc. price-eps-surprise | Dave Inc. Quote Our proven model predicts an earnings beat for DAVE this season. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an earnings beat, which is the case here. You can see the complete list of today’s Zacks #1 Rank stocks here.DAVE currently carries a Zacks Rank of 2 and has an Earnings ESP of +1.42%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter. Dave’s second-quarter results are expected to show whether the post-tax-refund rebound became durable overall. ExtraCash demand is expected to have supported growth as average advance size and disbursement activity recovered from first-quarter softness. Continued member additions, reactivation and retention are also likely to have contributed to higher monthly transacting members and revenues.Monetization remains a key focus. Removing the $15 fee cap for new members and introducing a second draw may have benefited ExtraCash utilization, average advance size and ARPU. The completed rollout of the $3 subscription fee is expected to have improved revenue visibility, while Dave Card spending is likely to have added transaction-based revenues. Credit performance will be another test. CashAI v5.5 optimization, along with progress toward v6.0, is expected to have strengthened underwriting and kept delinquencies controlled despite higher originations. Management said second quarter momentum had remained favorable, so investors need to watch whether the 28-day past-due rate stayed near last year’s level or improved further again.Margins present a mixed setup. Better credit performance and the absence of the first quarter’s unusual reserve build are expected to have supported gross margin recovery. However, marketing spending, product-development hiring and Coastal funding fees are likely to have affected margins in the quarter under review, as revenue growth supported operating leverage.The Coastal funding transition may also have shaped the outlook. Lower funding needs could have strengthened liquidity, but related fees are likely to have affected margins in the quarter under review. Overall, the second quarter is expected to reveal whether Dave balanced originations, ARPU growth and credit control without allowing investment to weaken profitability. The stock has been a standout performer. Over the past three months, DAVE has rallied more than 51%. Meanwhile, peers like Upstart Holdings, Inc. UPST and SoFi Technologies, Inc. SOFI have shown a mixed trend. UPST has declined 5.6%, while SOFI has advanced 12.5%, while the S&P 500 composite has risen 2.3%. Image Source: Zacks Investment Research After the sharp rally, valuation is the biggest pushback on DAVE. The stock trades at 6.36X forward 12-month sales per share versus 2.80X for the Zacks sub-industry. This is no longer cheap, but it looks fair for a fintech growing revenues around 28% to 30%, producing strong adjusted EBITDA and buying back stock. On the other hand, SoFi Technologies trades at 4.29X forward 12-month sales per share, while Upstart Holdings trades near 1.67X forward 12-month sales per share. Dave deserves some premium because its margins and capital efficiency are improving quickly, especially after the Coastal funding transition. Image Source: Zacks Investment Research Dave’s second-quarter setup supports a constructive investment thesis. Recovering ExtraCash demand, higher advance sizes and continued member growth are expected to have supported revenues, while fee changes and second-draw functionality may have benefited ARPU. CashAI improvements are likely to have strengthened credit performance, though faster originations, heavier marketing and product hiring are expected to have affected margins in the quarter under review. The Coastal funding transition may have constrained gross margin initially, but it could improve liquidity and lower funding costs over time. With scalable growth, improving monetization and disciplined credit trends, the stock appears attractive for investors seeking upside at present. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Dave Inc. (DAVE) : Free Stock Analysis Report Upstart Holdings, Inc. (UPST) : Free Stock Analysis Report SoFi Technologies, Inc. (SOFI) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research