SOFI Stock Surges To Its Best Day Of 2026 After Record Q2 Revenue — Why Is Wall Street Slashing Price Targets?

• BofA analyst Mihir Bhatia lowered the price target on SoFi to $16 from $17 and kept an ‘Underperform’ rating on the shares, as per TheFly. 
• Needham lowered the firm's price target on SoFi Technologies to $24, citing muted loan platform volumes even as the company continues to put more loans on its own balance sheet.
• SoFi reported Q2 earnings on Wednesday, posting record revenues of  $1.21 billion. 

Shares of SoFi Technologies (SOFI) soared about 8% at close on Thursday, marking its steepest climb in 2026, as it rode the broader market wave, bolstered higher by its second-quarter (Q2) revenue beat. 

However, multiple Wall Street analysts cut the price target on the company. 

Why Is Wall Street Lowering Targets On SoFi?

Morgan Stanley lowered the price target on SoFi to $15 from $16 and maintained an ‘Underweight’ rating on the shares, saying that while the Q2 revenue beat by 7%, growth is becoming more capital intensive.

BofA analyst Mihir Bhatia lowered the price target on SoFi to $16 from $17 and kept an ‘Underperform’ rating on the shares, as per TheFly. 

The analyst said that while SoFi reported better-than-expected Q2 results, shares were down as investors are likely disappointed with the lack of revenue upside flowing through to the bottom-line. 

While the analyst maintained its 2026 earnings per share (EPS) estimate and increased its 2027 estimate, it lowered its target multiple to account for higher near-term investments and added that it believes investors can find better risk-reward elsewhere in the fintech sector.

Needham lowered the firm's price target on SoFi Technologies to $24 from $25 and maintained a ‘Buy’ rating on the shares. The firm cited loan platform volumes remaining muted even as the company continues to put more loans on its own balance sheet to optimize earnings and capital ratios for the target cut. 

Goldman Sachs and Wells Fargo also lowered their targets on SoFi. 

SoFi Q2 Snapshot

The fintech company posted record Q2 revenue of $1.21 billion, a 43% increase from a year earlier, beating Street expectations. Meanwhile, earnings per share came in at $0.12, in line with consensus estimates. 

SoFi also raised its full-year 2026 revenue outlook to $4.75 billion to $4.85 billion, indicating a growth of about 32% to 35% year-over-year. 

However, SoFi maintained its forecast for adjusted earnings before interest, tax, depreciation, and amortization (EBITDA) of about $1.6 billion, and adjusted EPS of around $0.60 for 2026.

SOFI Stock: What’s Retail Saying?

On Stocktwits, retail sentiment around SOFI stock remained in the ‘extremely bullish’ territory over 24 hours amid ‘extremely high’ message volumes. 

One user said, “$SOFI I’ll just leave this right here 50% growth yoy and price is lower than last year?  This is going much higher.”

Meanwhile, another user said, “$SOFI well the banks are running scared and just issued a rerating of the SOFI price targets. Wells Fargo and Morgan Stanley just don’t get it. They’ll work for SOFI some day.”

Another user said, “$SOFI anyone who knows how to actually read earnings reports is buying a ton of this.”

SOFI stock is down 40% so far in 2026. 

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