SoFi Technologies (SOFI) Stock Down Below $25 -- Time to Buy?

If you're interested in financial stocks, you've probably noticed SoFi Technologies (NASDAQ: SOFI), perhaps wishing that you bought it long ago. Check out its trailing returns:

Data source: Morningstar.com as of Jan. 27, 2026.

Image source: Getty Images.

Impressive, right? The fintech (financial technology) company only went public via an IPO in June 2021.

Take a closer look at its recent returns, though:

Data source: Morningstar.com as of Jan. 27, 2026.

The stock is actually down a fair amount recently! You might wonder now -- with shares recently below $25 apiece, is this a good time to pounce? Let's see.

Meet SoFi Technologies

SoFi is a nationally chartered online bank that offers a wide range of finance services, including personal loans, private student loans, mortgage loans, auto loans, student loan refinancing, investing, credit cards, travel services, and even cryptocurrency trading, among other things.

It began with a focus on student loan services, but it has clearly expanded. Still, it has retained younger people as its main customers, serving them via the SoFi app and website. Its wide range of services can help it weather an economic downturn better than some other financial companies. The company has also partnered with other companies to reduce its risk exposure.

SoFi Technologies has 12.6 million members (and counting), and as it has added services, it has aimed to be a one-stop financial shop. It recently boasted $73 billion-plus in funded loans and $34 billion-plus in debt paid off by members.

The company has been growing well, with its third-quarter report featuring:

• Record adjusted net revenue of $950 million, up 38% year over year
• Eight consecutive quarters of profitability
• 905,000 new members added, up 35% year over year
• Reached a record 9.1% in unaided brand awareness
• Net margin rose to 15% from 9% in 2024

Part of the company's success can be attributed to its use of artificial intelligence (AI) -- which, for example, powers its "Cash Coach" tool that offers personalized guidance to customers.

Why invest in SoFi Technologies?

So, should you invest in SoFi Technologies now? Well, while the stock price is down, it still doesn't exactly look cheap. Its recent forward price-to-earnings (P/E) ratio was 44.8, down from 181 in 2023, but still higher than 2024 and 2025 levels.

It doesn't necessarily mean you should stay away. If you have the risk tolerance for it and plan to be a long-term investor, hanging on for many years, you could do quite well buying now. Think twice if you're just looking to turn a quick profit, though, as anything could happen in the short term.

You might also just add the stock to your watch list, hoping for a lower entry point sometime. If you do, know that there are plenty of other compelling growth stocks you might consider.

Selena Maranjian has positions in SoFi Technologies. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.