Why Shares of SoFi Are Falling Today
Shares of the one-stop-shop financial services company and digital bank SoFi Technologies (NASDAQ: SOFI) traded close to 10% lower today after a scathing research report and downgrade by analysts at Wedbush.
Wedbush cut its rating on SoFi's stock from neutral to underperform and lowered its price target to $2.50, which implies material downside from the stock's current roughly $4.50 share price.
At the crux of the argument is SoFi's accounting treatment of its loans and capital position. SoFi has leaned heavily into personal loans since the student loan moratorium but the company also has a bank charter.
Source Fool.com
