3 Hot Financial Stocks I'm Buying This Summer
Financial services stocks have been a hot commodity this year. As measured by the Dow Jones U.S. Financial Services Index, the sector is up about 25% so far through Wednesday's close, compared to 17% for the S&P 500.
Much of the financial index's gain can be attributed to traditional banks and financial institutions recovering from the effects of the pandemic in 2020. But for Upstart Holdings (NASDAQ: UPST), SoFi Technologies (NASDAQ: SOFI), and SVB Financial Group (NASDAQ: SIVB), the story isn't about recovery. It's about all-out growth as consumers demand a new type of financial service business built for the digital age. Here's why I've been buying (or planning to buy) more of all three this summer.
A lot has been said about Upstart this year. The hot IPO stock that made its public debut just eight months ago is up more than 700% since it first opened trading. The company's investment thesis revolves around its artificial intelligence (AI) platform, which helps its bank partners make better loans to consumers, a simple enough story that has delivered tremendous results -- and could continue to deliver for many more years to come.
Source Fool.com
