SoFi Stock Is Up More than 80% So Far Year to Date

SoFi has been the biggest position in my portfolio that is not an ETF for some time now. I've always really believed in this stock. If one searches my blog for SoFi, they'll see many different posts announcing that this stock was undervalued. I have been preaching this stock for a while now, and it has been frustrating. The reason for my frustration is that I have seen SoFi post amazing quarterly reports that have shown amazing growth for well over a year now, and yet the stock has not responded. Every time I saw this, I bought more shares because I believed that the market had lost its mind concerning the stock. This was such a clear winner to me, yet it seemed that no one else saw this. This year, however, that has changed.

SoFi has increased by 86.55% year to date so far at time of writing. A lot of that growth has been seen in the last month though as SoFi has increased 80.67%. That is absolutely amazing. This has happened largely because it was announced that the student loan payment extension would not be extended. Because SoFi makes money on student loan refinancing on its platform, investors took that as a huge win for the company. Now, I do believe that the market may have overreacted to this news, but I am very happy as an investor in SoFi.

SoFi now trades at around an $8 billion valuation. They have been growing very quickly both in revenue and users, and while the company is still unprofitable, SoFi does plan to be profitable likely by the end of the year. Since SoFi is growing so quickly, I am fine with SoFi using all its revenue to help grow the platform further. That said, I am happy to see SoFi reaching profitability. 

Since I still want to buy more shares of SoFi, I am a little sad to see it trading so much higher as I want to buy more shares as cheaply as possible. That said, SoFi was trading at around $5 a share for a lot of 2022, and I did try to buy as many shares as I could during that time. 

While SoFi's stock is up quite a bit right now, I am still long on this stock. I think the company has so much potential, and I am very happy with its current leadership. I believe that this is a really good company, and I want to own it for a very longtime.

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