SoFi Technologies Inc. (SOFI) experienced a significant pre-market surge, with its stock price rising by 5.03%. This movement occurred during the pre-market trading session on Tuesday, reflecting heightened investor interest.
The sharp increase is primarily attributed to J.P. Morgan upgrading SoFi's stock rating to "overweight" from "neutral." The brokerage cited the company's "undeniable execution," a "more tenable valuation" following a recent price decline, and a better-than-expected fourth-quarter earnings report. Additionally, J.P. Morgan highlighted SoFi's record pace in adding customers and deposits while other fintechs struggled, expressing a long-term bullish view that the company could become a major player akin to American Express in the fintech space. Positive analyst sentiment was further bolstered by Mizuho Securities reiterating a Buy rating on the stock, contributing to the optimistic market reaction.
Comments