Why SoFi Technologies Stock Is Falling
Portfolio Pulse from Henry Khederian
SoFi Technologies Inc's shares are trading lower by 3.9% amid overall market weakness and concerns about future rate hikes. Rising interest rates can lead to higher borrowing costs for the company, impacting its margins and profitability. The Federal Reserve maintained the federal funds rate within the 5.25% to 5.5% range at its September meeting. SoFi's 52-week high is $11.70 and a 52-week low of $4.24.
September 21, 2023 | 6:49 pm
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SoFi Technologies' stock is trading lower due to concerns about future rate hikes. Higher interest rates could lead to increased borrowing costs, impacting the company's profitability.
SoFi Technologies, being a financial technology company, relies on lending and borrowing activities. The potential for future rate hikes could increase the company's borrowing costs, thereby affecting its margins and profitability. This has led to a decrease in the company's stock price.
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