SoFi CEO Clears Up 'Misperception' About Student Loans, Says Lender Has Competitive Advantages Driving Growth
Portfolio Pulse from Adam Eckert
SoFi Technologies Inc reported better-than-expected Q3 financial results, beating estimates on both the top and bottom line. The company also raised its full-year outlook. CEO Anthony Noto clarified a 'misperception' that student loans were a major driver of the company's quarterly performance, stating that 67% of the company's revenue growth in the quarter was non-lending driven. SoFi's student loan business is not expected to return to pre-pandemic levels until around 2025, but the company's tech platform is seeing robust demand.
October 30, 2023 | 5:48 pm
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SoFi reported strong Q3 results and raised its full-year outlook. Despite this, the stock price fell by 1.17% after the announcement. The company's student loan business is not expected to return to pre-pandemic levels until 2025.
SoFi's strong Q3 results and raised full-year outlook would typically be positive for the stock. However, the stock price fell after the announcement, possibly due to the CEO's comments about the student loan business not returning to pre-pandemic levels until 2025. This could have led investors to adjust their expectations for the company's future performance.
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