SOFI Technologies (SOFI)
Down 41% year to date, SOFI is comes highly rated among analysts and it’s looking like the perfect time to buy the dip thanks to it’s potential. We are expecting 79% EPS growth over the next year, and at their current earnings multiple of 37 this gives SOFI a PEG of 0.5 which is an incredibly good proposition.
SOFI has beat all 4 of their last earnings calls and there is an upward trend in the fintech industry in general right now with industry growth forecasts of around 7.2% over the next few years. SOFI currently enjoys record levels of membership growth as well which they will need to keep up in order to meet their forecasted estimates.
Analysts on average hold a one year price forecast of +27% with a Buy rating. We put SOFI as medium risk, high reward and we have rated it a Strong Buy with a +22% one year price projection which is a price of $19.76 for May 2027.
Nu Holdings (NU)
With a 25 PE and EPS growth forecasts of +63%, Nu Holdings currently has a great PEG ratio of just 0.4. They’ve met or beat it’s last 4 earnings calls and have been able to grow their customer base by over 31% in the last quarter and revenue is up 37% last year.
Analysts have rated Nu Holdings a Buy with a one year average forecast of +26%. We put NU as a medium risk, high reward stock and have rated it a Strong Buy with a +36% one year forecast for May 2027 which would put it at $19.26. It’s down 16% year to date which makes this a great time to get in or average down, particularly given our bullish price target.
So when it comes to SOFI or NU holdings, we rate each of them highly and think either would be a great choice for investors. That said, we believe that NU holdings does offer a better upside but at the cost of some risk given their operations are predominantly in Mexico, Brazil, and Columbia whereas SOFI’s operations span the world.
Topics: SOFI stock prediction, NU stock review
