"I Would NEVER Trust SoFi's Management" | Feat. Gary Gordon
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- Опубликовано: 28 май 2024
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Chapters:
0:00 - Intro
1:16 - Gary Gordon SoFi Conversation
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He lost me at "I really didn't drill into the numbers"... at exactly 2 minutes into the conversation.
HAHAHAH
No doubt, but he can write an article on it. Ass
Exactly my thoughts lol@@cbmecheng
Seriously. Just sounds like a hater because sofi is for the youth with money.
After you account for Tannor's two intros, it's less than 30 seconds into Gary talking.
This guy definately got paid to bash the stock. It's all part of the MM to lower stock to allow institutions to procure more shares at a lower price. Garbage article he wrote (on purpose)
If this guy is indicative of the average sofi bear, we're looking so good lmao
Agree 😂
No kidding. This dinosaur belongs with Warren buffet. We ain’t got 60years left. Need moon now 🚀
honestly that was my take too. I am genuinely looking for a succinct bear argument but havent seen one. the best argument i have heard is they could be a takeover target which i agree is true. in that case i would be out; i have no interest in holding a legacy bank stock. I'd take my money and increase holdings in other fintechs.
@@kane99560 here one
sofi revenues from it's tech side only holds 20 percent of sofi total revenue growing at speed of 10 percent per quarter.Contribuition profit is even lower standing at 11 percent.In summary,sofi is currently a lending company not a tech company
100%
I'm as old or maybe older than Gary Gordon. One massive thing that Gordon did not see is the disservice legacy banks have for their customers. That is why folks like me moved to banks like SoFi. NextCard had a terrible management group. That was why it failed. Apples and oranges.
Bullseye 🎯!!!!
Agree
Loved the fact you interviewed those taking the opposing view! More please🧡👌
Yes, exactly. Echo chambers lead to blind spots. Well done getting some alternative views.
It's like watching an interview about how Ford will crush Tesla in 2015
That's exactly how I feel
Lmao
I'm very proud of your composure. Very professional @@futurenvesting
TSLA is a whole lot more mature than SOFI...TSLA went through hell...SOFI has not put into test just yet
@@theresamorgavi9196 Having student loans ripped away wasn't a test!?!
You can't teach an old dog new tricks
Right off the bat he said he was not to familiar with the Q4 numbers on Sofi. He did not seem well versed. Good job Tonnor on showing restraint. “Don’t pay attention to guidance”! What the heck!
that gary guy seemed clueless on sofi all together
Love this interview. This guy clearly didn't research SOFI all the way, but his ideas and cautiousness are overall very sound. He's right that unsecured consumer loans are a risk for SOFI. Very good idea to get a bear on the channel.
He spoke a lot about not trusting people, but at the end when asked about his portfolio, he says he gives his money to somebody else to invest. To me that kind of contradicts his whole thesis on not trusting.
Gary has that flat earth kinda distrust
The history Gary points to dismisses the new paradigm where it’s impossible for big banks to compete with SoFi and still offer investors a healthy dividend. SoFi will continue to take share until another online rival comes into play or SoFi is bought.
I think it might be bought.
You showed a lot of patience and respect Tannor, good for you. This guy doesn't understand what sofi is doing
Thank you, differing viewpoints is no reason for disrespect.
Excellent work getting one of these bears on the show tannor, its very reassuring having heard his opinions that he doesnt know what hes talking about
Even when you checkmate him he still holds on to his bear thesis,
This makes me more confident holding sofi shares
Makes me more bullish on my convictions, when he is clueless on the company
Nice, thanks for coming on the show Gary! Just starting the video so will edit if my first impressions from skimming the comments change but what comes to mind is "If you didn't dig into the numbers, and you don't put any stock in management's projections, how do you value this stock?" -- EDIT --
I enjoyed the interview and appreciate the bearish and conservative voice on this topic. His dismissal of growth in favor of actual earnings and profits is a little refreshing (most of my holdings are value holdings rather than speculative ones). I'm excited to see how SoFi does at boosting its profits, my fundamental argument is that there is a LOT of value in this sector (consumer lending, banking, etc.) and that SoFi has built up a good reputation, is taking market share from big banks, and has a lower cost profile due to their online-only model. We'll see who is vindicated!
Fire video bro. Awsome job getting analysts on
Glad you like them!
Respect to this guy for having this discussion but he hasn’t done enough research in SoFi to support his own claims. His thesis is based on past experiences (that don’t relate to SoFi) and feelings
SoFi has and is continuing to differentiate itself.
Like Gary said, this was not a full review of SoFi and he needs to do more work on the company
What is the difference other than the high APY? Thoughts ?
He needs to do much more research on the company. Shouldn't put opinions out when he is so unfamiliar with the company
@@leeheemeng3799 higher FDIC insurance, early paycheck, better UX.
Dude knows NOTHING. He should not have come on the show 😢
It’s actually pretty interesting to hear his thoughts on why sofi has no moat. That makes me think that most analyst think like him. If sofi can increase eps and maintain growth the stock is going to fly. They are all on wait and see stance.
Exactly; I had the same impression.
Great conversation! Glad to hear more neutral/bearish points of view to. Thanks!
Kudos to you Tannor!!! Really loved that you brought someone who has an opposing view than yours. Will appreciate more such conversations.
Excellent video and perspectives. Thanks alot.
Thanks Gary! I'm long Sofi, but always interested in hearing other people's opinion on Sofi
After watching the video and reflecting on Gray's points, I acknowledge that there are some valid arguments to consider....while I initially disagreed, I appreciate the perspective offered in the video. There are some key points to ponder for the long-term viability of online only banks.
Correct,not sure why the people in the comments are so insulted by Gary point of view.
Intersecting discussion. I would enjoy seeing this type of look at more companies. BTW, I’m a current cautious SOFI shareholder.
Did Gary Gordon invest in Amazon or was he a skeptic? Cause he is probably the same age as Bezos and older than Elon.
Connor - EXCELLENT job in discussing a contrary position. No table-flipping, just pointing out your data and letting him add his opinion and just letting him say his piece.
Thank you, the name is Tannor though haha
Berkshire Hathaway may never pay a dividend. Almost $400 per share
why are we talking about a dividend for sofi? 10 years away from that..
He mentions starting a restaurant business and never paying a dividend. Gary doesn't understand valuations
My finance teacher in community College said do not invest in fb when it first came out as ipo so I didn't and invested in ford and ge that didn't age well
I get the sense the Gary Gordan still has the 2008 crash top of mind, talking about how SOFI might be tested in a hard macro. I imagine its unlikely have a test resembling 2008 on the horizon, and people like Gordan are overestimating this possibility.
This interview gives me so much confidence in Sofi as a company and as a stock. If al the bear articles are written by guys like Gary, we are golden. Man writes articles without crunching numbers and dismissing whole aspects of the business.
100% agreed. The entire interview is an “Okay, Boomer…” experience.
Curious,do you know then how did sofi archived 80 mil profits this quarter?
"I didnt' calculate the numbers"....the tech "I have no idea about it"....that kinda sums it up
Thanks Tannor , really interesting to hear the bear thesis, I’m happy to hold on to my shares 😉💪
Tannor owned him. Shows the difference between knowing the numbers and thinking you just know it all...Well done Sir!. 👏👏👏
The company literally redid their entire model and platform during COVID. This isn’t a “normal occurrence when you have money to spend”…. lol. Insane. Sofi has pivoted so insanely well, beating and growing at an insane pace. They will continue being profitable moving forward
Yeah, that was a bit disingenuous. Mr. Gordon admitted he didn't have a full picture of SoFi, to which I agree completely. There seems to be a lot about SoFi he's unaware of. I'd like him to get more educated, and then come up with another article. But, his fundamental investing philosophy won't change.
One of the main reasons I started investing in SoFi was there ability to pivot and change with whatever macro issues there are. Truly one of the best management teams I’ve ever seen.
He doesn’t understand and you didn’t bring up the youth movement. One of my kids asked me the other day what a building was in our town, I told her a bank. She didn’t understand why they had a building. I haven’t set foot in one in half her lifetime. She’ll probably never set foot in one. All she knows is my sofi app, that’s where the money, credit card, loans, ect.. are. That’s where I scan my checks to when they still appear occasionally and that’s where my company deposits my check to.
Explain passbook savings accounts. :)
Gary Gordon’s career was on Wall Street, where he was a stock analyst covering the housing, mortgage and consumer finance industries. This is all you need to know about Gary. He doesn’t understand Fintechs. He wrote Sofi as a regular bank.
Thank you for coming Gary. You said you don’t believe anybody and verify and then you say you did not read the report to close. Question for you :how do you verify the numbers without looking at them closely? I will patiently wait for your response.
I trust the numbers
He ignored the technology revenue completely. Didn’t take into account sofi doesn’t engage in subprime loans. They have the financially healthiest customers. And he also didn’t ’verify’ the Q4 financial result but he has a strong sell rating? What a smuck
GREAT video!
Glad you enjoyed it!
Gordon is correct about his thesis around trusting management. Look at many of the SPAC's who touted huge growth forecasts but never had to provide actual, factual numbers by going that route vs. traditional IPO. Not saying SOFI's management won't deliver but it's important to gauge the risk/reward and that's his perspective.
Sofi has been kicking ass and taking names in every earnings report so far, even after they got knee capped by being stripped of student loans revenue so I say they probably won't disappoint.
They always find reason to put out a sell rating 4 AM on Monday 🙃
btw, could we please have a ZIM stock review, any outlook for them since the shipping fares are on the rise? 👀
2nd that request on Zim shipping
The lan line phone ringing has me questioning this guys ability to adapt. That alongside valuing and writing articles about a company without any understanding of a large business segment that can simply be googled to get a better sense of. Great work Tannor, i think this bear mindset is exactly what holds the stock price back. Management just needs to continue their track record and prove it.
I’ll also say he didn’t “drill down” into any of SoFis numbers in the segments he claims to understand. He’s applying logic on SoFi to past companies he thinks they are comparable to without even understanding the whole. I dont get it.
I think he also fails to see high quality credit box “recruiting” through student loans. High earners already have a relationship with SoFi and that cross sell becomes much easier. Its a hook really. To think thats a small business is interesting, it only proliferates from there.
Numbers never lie.
People can absolutely fudge numbers through outright fraud or through clever manipulation of what figures you see and how they are presented. So far though SoFi's numbers look great and I have no reason to believe they are fraudulent.
The problem with Gary he doesn’t believe in a company that can function without bank branches. A lot of SoFI deposits have come from customers who sold their stocks during the Fed hikes where they can find a higher APY than owning stocks that keep going down on rate hikes. but in order to have that higher APY, you have to have direct deposit and people are still adding money into their SoFI savings account to get that higher APY. This isn’t coming the stimulus money.
Thanks for the interview Tannor. This guy made me all the more bullish on SOFI. He had zero real arguments against SOFI. Kept saying distrust everyone, distrust everything, didn't drill into the numbers. The only thing I could really get from this is that he doesn't feel SOFI is more than a bank AND he doesn't feel that system can be disturbed or run more efficiently. Seems to be the only thing the bears keep saying and it's reflected in the multiple the stock gets. I disagree with him. This space CAN be disturbed and it CAN run more efficiently, especially Gen Z and future generations want nothing to do with conventional banking. If at least he would back himself with data, I'll tend to consider his opinion more, but all he kept saying is "don't trust management". That's not good enough. Thanks for the interview Tannor. Made me all the more bullish on SOFI !
Hope he joins us. Lets go sofi baby!
This is a great conversation. I read and liked Gary's article on Seeking Alpha (I "like" articles I disagree with because I respect their views). In my opinion, SOFI is the wave of the future. Additionally, I really like that they underpromise and over-deliver. With respect, I think Gary is wrong on this. Time will tell. Thank you both for the conversation. I'm long SOFI and the American and Canadian economy.
I really respect this view. Gary was great, just not of the same perspective as myself.
Other than the technology platform, I believe one of the most potentially influential attributes for SOFI's growth is their focus on the Gen Z demographic who tend to spend a lot compared to previous generations, mainly acquired through student loans. Conversely, legacy banks typically attract an older population, while Gen Z prefers using platforms like SOFI for their convenience, as they lack patience with traditional banking methods.
He mentions the big banks having the same technology as Sofi and would be working on it as well. The problem with that logic is that it is difficult change course quickly on a big ship with a lot of entrenched interests. Big auto learned that lesson from Tesla.
I'm 50. What Mr. Gordon doesn't understand is that times are changing. Sofi isn't for me or him, its for millennials and Gen Z who do things differently. I am taking a position, not a big one but a position for sure in Sofi just for the potential upswing.
Im a millennial,i dont think our banking needs are different.Even if its different,its not something sofi could differentiate without costing them.As gary said, to get market share you either charge less or pay more for deposit
That deposit bonus for capital one though. x2 250 transfer deposits(not DD) within 60 days. Paid out in. Only 3 days. That was the best thing .
Kudos to Gary for coming onto your channel. I respect him for that. Still, I don't get what his message is. It sounds like, "Don't believe the projection of the company, don't believe management, don't invest money in the stock market. Have someone else do it for you!" Lol. Why write an article about sofi at all? Where is his Upstart article or the one on Afirm?
Never listen to a boomer about a technology company, especially when he starts out the interview with "I have no idea about the technology", "I didn't calculate the numbers" and "I'm very skeptical, that's a problem I have".
But sofi revenues from it's tech side only holds 20 percent of sofi total revenue growing at speed of 10 percent per quarter.Contribuition profit is even lower standing at 11 percent.What is there to be excited about sofi technology part??
Will a multi millionaire do business with Sofi and move accounts from JP Morgan to Sofi? I don't think so as Sofi could be more like a regional bank and not a player in the corporate market. It is growing so its a tradeable stock.
I saw this video 3 weeks later, and learned the lesson in a hard way.
A healthy dose of skepticism is always good. But as we have hit or beaten forecasts for the last 3 years, I am leaning towards trusting the numbers than not.
Glad to see a substantive 'both sides' discussion like this. Absolutely love this content.
Would love to see something similar with Ram Ahluwalia, but doubtful he wants to talk to someone that closely follows SoFi
Gordon makes some good and valid points, enjoyed the dialogue
Good talk. The og clearly needs to do more due dillie but he made some good points with lack of knowledge
I will have missed something... and he says he can't look at Galileo because he doesn't understand it but other companies are spending more so sofi can't have any special sauce. More dollars better tech. Native digital doesn't matter. Jp Morgan building more branches.. amex is a dinosaur.. sofi is a very unique company. This was a great talk and this guy is very smart and I appreciate his skepticism. I think management will prove him wrong.
Well said Danny, I think he's wrong too, but good to hear others perspectives
Looking forward to your commentary on this interview over at Un Poco Mas.
I want to know this guys opinion on paypal
On top of my previous comment: How can he say he "wants to see SOFI handling a tough environment" (whatever words he used). You kidding me. They changed their business model and thrived on a very tough macro environment with the steepest rate increases in history. How can he say that? Also, the company shows beating on all segments in all quarters again and again and again and this person ignores all of it. If he can't believe Noto, then I don't know how he can trust any public company at all. At some point we need to have faith in the public system and these reports. Of course the companies make the reports highlight their narratives, but that doesn't mean they are all total scum and scams. In any event, I'm glad I watched this, I truly got more bullish on SOFI after this. Now I realize there is really nothing substantial the bears argue.
Thx Tannor for the interesting & different interview with Gordon re: SoFi. Hard to take him seriously bc he hasnt't done due diligence on Galileo & admitted that he hasn't dug much into the Q4 results. Tannor, you were nice to him while wrecking his bear cases against SoFi. There is competition for SoFi and SoFi is strong competition for other companies as well plus he is wrong about the industry not growing for SoFi's industry: digital banking & fintech are indeed growing as are bank deposits.
Galileo is only contrubuiting 20 peecent of revenue to sofi total revenue and only 11 percent in its contribuiting profit.Growing at a rate of 10-15 percent annually,what is there to be excited about Galileo numbers?
very interesting
Hard to debate someone, who in his own words doesn't know...
Wow, why write an article on a company you know nothing about!!??? Like what
Sign up bonus with SOFI is $300...Wells Fargo used to do this to attract new users...I know so many people sign up and then leave for $300. If I love SOFI and invest in SOFI...I want to hear what the bear has to say...SOFI and UPST are great swing trade for now though
Thank you for doing this. As a bull, I love hearing bearish arguments from bearish people.
I mean, he does make good points. Especially when you ignore a large part of the business... Which of course does not make any sense
Which large part of the business ?Tech?
Sofi profits currently still largely comes from the lending segment .in fact, 89 percent of Contribuiting profits comes from lending segment still
Best evidence is “trust me” and companies in the past. Not much research went into his analysis
America is great because of technology and innovation. Some succeed some fail. That is the way, keep seeking and take calculated risk to seek the best.
I like this exchange 👍👍
Thanks Sonny!
But they are taking market share....
I just don't see Sofi with a competitive edge that can't be copied by the big banks. Although i do think Sofi will do well financially if they can hang on until interest rates come down again.
Tannor, you know damn well when we saw this title we was bout to get on his azz 😂😂😂
Back in my day…
i thought it was a very good debate. It was civil and very informative to hear the bear arguments, as sometimes the bear arguments make me even more bullish. and there’s nothing wrong with being skeptical until you’ve seen a track record of success. I just think he’s not as informed into all aspects of Sofi’s businesses so he’s reacting off a limited amount of information. and he admits that he hasn’t really looked into the technology platform. but i thoroughly enjoyed the dialogue.
yeah.. but he kinda didnt have any bear arguments :') He was just being old most of the time :''')))
I’ve applied for 1 home loan and 1 personal loan through Sofi and I got denied for both loans even though I think I had the current income to pay. The personal loan was out of curiosity but I actually wanted the home loan
Because of current economic conditions SOFI is being extra cautious when giving out loans, also they always been the type that won't approve a loan unless you got excellent credit. Oh and don't ever apply for 2 straight loans at once or within 6 months of each other, in your credit report that's a red flag when applying for a loan or credit card.
This dude didn't create an ounce of fear in me. Great video and it is good to have conversations like these, but he did not convince me at all in his thesis. Go $oFi baby!
Guys, I’m a bull on SOFI and it makes up about 80% of my portfolio. But it’s still nice to hear bear arguments. Yes this guys a boomer with a boomer POV but he still makes some good points that are worth thinking about.
If it wasn't for the fact that sofi currently doesn't buy/sell penny stocks then I would've transferred all of my investments from fidelity to sofi
The landline is all I needed to know
He said don't trust but verify. Tanner you should've asked him how do you verify if he doesn't believe the numbers nor does he even dig into the numbers. If he can't believe anything and when he says verify but he doesn't believe in the numbers, then how does he invest? He seems to trust others to invest for him when you asked him what he invests in. He was vague in his answers, no specific stock. He said dont trust anybody but he trusts someone else to invest for him.
#InNotoWeTrust
He is the epitome of trust me bro, he kept bringing up the history of companies going broke when talking about the potential growth of Sofi without actually stating his problems that could hinder future growth on the tech side or on loans. His main argument seems to be that if Sofi is so smart, you don’t think Chase has similar thinking.
Lol he was the exact opposite of a "trust me bro", countless times he said don't trust anyone and do your own research. Anyhow, it's good to see opposing viewpoints as well.
This dude needs to talk to SOFI customers. I don’t use sofi but after hearing their customers talk great about them, that’s what made me start looking at and buying the stock. I truly believe sofi is the bank of the youth and that’s solid cos as people start banking with sofi in their teens and 20s, they will most likely stick with sofi their entire lives. That alone a strong bull case. This man is missing a lot about this company
Age and guile will always overcome youth and exuberance. (UK Royal Air Force Strategic backfire nuclear bombing fleet motto...i believe) Anyway, fascinating interview and he has been around a lot and see innumerable companies fail. Heard an interesting quote the other day. 'Its not the price of entry that's important it's the price at which you exit that's more important'. I`m happy to let my position ride meantime. If Notto can get his bonus if the stock reaches $45 i`ll be seriously considering cutting and moving on to something else like Starlink IPO, Redwood Materials IPO where there is clear differentiation and an uncontestable moat.
He made some good points, and he gets a few points for having been in the space for three decades, (see what I did there?). Whether I agree with him or not, that counts for something, it just does.
Ok so he is not including the tech side and didn’t take a good look at the numbers. Basically he don’t know what he’s talking about, his price target is basically thrown out the window because it has no grounds.
Have you look into the numbers ?Sofi technology platform only contributes 20 percent of sofi total revenue.
@@leeheemeng3799 “only” 20%? Not including it is a huge mistake and in professional. That price target is for at least 1 year by your logic we may not include all forms of revenue.
@@X.Gabriel the tech side is only growing around lower double digit with a share of 20 percent of revenue.Its not going to be a major contribution to sofi earnings .
@@leeheemeng3799 you are excluding the tech platform for at least 4 quarters that is growing Q over Q. You are not making sense here. If I tell to only swim with one arm how do you think that will go?
@@X.Gabriel Gary is not talking about valuations here.They are speaking in the context of busines model.How much do you think sofi technology aspects contributed to the total recent quarter earnings of 80 million?
What does sofi management stand to gain by inflating or overestimating future earnings when their PSUs are tied to stock price in 2026? Management has consistently beat and raised every quarter theyve been public. This is what you want to bet against? These shorts have some balls. Same people who hit on 20 at the casino.
What’s with the crap about COVID money. That was three years ago and spent long agony. There is no COVID saving today.
Consumers savings have only just recently been going down. So the point is, any wealth that was caused by the stimy checks seems to be vanishing.
@@matthewhammond859 those checks have been gone along ago. People have sold some of their slow growth stocks and put most of the money in high flyers and the rest in savings that pay 4.60% APY or more.
Yeah I’m so confused by this
That's what was said. Wuhan virus money that was saved, is leaving the banks. Ergo, less opportunity for savers to save with SoFi. Not my comments, those were Mr. Gordon's.
@@dougb8207 The money in Sofi savings started in 2022 after the bank charter started. In June 2022, Sofi started upping the APY. People started selling their stocks as the Feds were hiking rates and looking for higher APY. The savings built up in Sofi deposits isn’t the COVID money.
The fact that the management has achieved what they said they would achieve each quarter IS THE VERIFICATION!
Tannor, wish you push a little harder with these people...
The thing that got me was when he talked about all the stocks he recommended shorting back in the day, regailing us with how far they all went up after his short calls, and how now, far down the road from his short calls the stocks are now finallly down where he thought they'd be when he made the short calls. How many people lost massive amounts of money heeding his short calls? The fact that he thinks those were successful calls is just delusional. Years from now, maybe he's proven correct on SOFI, but until then, SOFI is a massive opportunity that I'm actively exploiting.
The nascent offerings of Sofi offer more features for consumers. Trad banks are working to reduce services and stick you will a monthly fee while paying 0.01% interest. I guess we are all still using floppy discs and compact discs after listening to Gary
That more features and high APY comes at a cost in the form of interest expense.
@@leeheemeng3799 Your premise does not make sense. Sofi offers more features and pays better interest
@@kenderosa8528yes and what I'm saying that for offering that Sofi is paying it lowering their profit margins
@@leeheemeng3799 The features and interest are delivered at considerably less cost than building and staffing thousands of banks across the country
This guys case is absolutely incoherent. You notice that he never refers to any numbers, statistics, or results that Sofi has actually produced and whenever Tannor mentions an actual fact about the company Gary just shrugs and says something like "Well, I don't think Sofi can continue this trend" with no explanation.
It's like he thinks the last two yeas of absolutely consistent growth and margin expansion was just a fluke, that Sofi got "lucky" somehow by producing these amazing fundamentals.
This is actually quite sad, he's literally missed every innovative company due to his methodology.... He clearly has something that works for him though, great interview Tannor, we need more like this!
Agreed, can't look for any growth company without some level of trust & future products being based on more than price.
He is the embodiment of: "Trust me, bro"
Yes sure. All companies growth might reach a plateau or slow down, profitability can be still there but slowed. But if you purchase microsoft, tesla, google, amazon at their budding stage, wouldnt you be happy? When they are at their budding stage, there are Ford, IBM, AOL around to scrutinize these great names.
Tanner have presented this point,Gary counter argument was that these companies continue to grow because they have moats and are in oligopolies.The banking sector is not and to attract customer either you pay more or charge less as a bank as Gary have said
@leeheemeng3799 the concept of 'bank' is locked in most mindset on SoFi. This concept of banking will only limit the way this sector can scale profitability. SoFi is certainly not scaling profitability just by loan. Gary sees value and profitability in a BANK is only one macro way and he labelled SoFi just as a bank.
@@violinbite But sofi revenues from it's tech side only holds 20 percent of sofi total revenue growing at speed of 10 percent per quarter.I don't think sofi technology holds any significant currently or until 2026.What are your thoughts?
@leeheemeng3799 SoFi is a hybrid Fintech. Its stands between a loan service company and a bank. If you look at fintech like Upstart, Affirm, these are unprofitable and trade at far higher PE and PS ratio. When interest rates decrease in times to come, if there are reasons for these to rise, more so for SoFi. SoFi holds more data on its own customers (depositors) than loaners that is outside in the open market in which other fintechs need to serve when creating loans. Every banks make interest income from depositors, I believe SoFi does so. As long that is profitable, the tech has only one direction, opportunity for further profit.
To say right at this moment, SoFi is a failure and overprice, is definitely a unfounded bearish statement. On the whole, I don't see it to be 25.0, but with good execution and fundamental, it can be 10.0-12.0 easily mid term. To call it a sell at 7+ or 8.0 for a profitable stock is overskeptism to me
@leeheemeng3799 Personally, I see that most bears wanted to label SoFi or at the least, measure SoFi using the metrics of bank valuation. The tech in SoFi certainly going to be the extra edge it has.
Banks profitability mainly comes from deposit interest spread. As long SoFi can maintain deposit-interest profitability, they already wins some way. The tech will add extra profitability. Look at Upstart and affirm. Fintechs that are unprofitable and with high PE, PB and PS ratio compare to SoFi. SoFi just turn profitable in Q4. To label at a sell at 7+ or 8.0 is certainly skepticism bear. Yes. SoFi can't go 25.0 for now, but 10.0-12.0 is vert approachable in near term. Furthermore, by facts, institutional funds are adding their holding recently. What more should I consider to see in order for me to be a bear.
He didn’t really have any substance in his argument and he hasn’t analyzed the company in its totality. How can he even decide to write an article to sell the company without actually understanding the entire business model. Knowing that he didn’t look into the entire company gives him no credibility when reading his article. Notto has navigated a tough environment already when SoFi lost student loans and he prevailed! Great video Tannor keep up the hard work!
Gray still has a landline! There's no chance he grasps online banking.
Funny. I do all my banking online. What is there to know?
@@garygordon1302”What is there to know?” Mr. Gordon - there are plenty of banking fiduciaries that are operating on archaic tech stack. SoFi is cornering the market on banking as a service which will modernize the industry. This isn’t another NextCard scam.