SoFi Technologies (NASDAQ:SOFI) shares are up on Tuesday as the company announced an enhanced partnership with Mastercard Incorporated (NYSE:MA) to enable SoFiUSD as a settlement option across Mastercard's global payments network.
This news comes as broader markets experienced declines, with the Nasdaq dropping 1.88% on the previous trading day.
Yesterday, SoFi CEO Anthony Noto bought approximately $1 million of company stock.
Noto disclosed in an SEC filing that he bought 56,000 shares of SoFi common stock at an average price of $17.88 on Monday.
The SoFi chief made multiple purchases ranging from $17.50 to $18.21 for a total cost of approximately $1 million.
Noto now owns approximately 11.68 million shares of SoFi common stock, according to the filing.
Stablecoin Settlement Push
SoFi's fully reserved U.S. dollar stablecoin, SoFiUSD, is set to support settlement across the Mastercard network, including for SoFi Bank, N.A.
The partnership aims to enhance interoperability between digital assets and traditional forms of money, allowing for faster transaction settlements and unlocking new use cases such as cross-border remittances.
The integration of SoFiUSD into Mastercard's Multi-Token Network is expected to facilitate the settlement of card-based transactions, providing a more efficient payment solution for businesses.
This move positions SoFi as a key player in the growing stablecoin market, which has seen significant transaction volumes, reportedly around $30 billion daily.
Technical Analysis
Currently, the stock is trading 15.5% below its 20-day simple moving average (SMA) and 18.2% below its 100-day SMA, indicating a bearish trend in the short to medium term. Over the past 12 months, shares have decreased significantly and are positioned closer to their 52-week lows than highs.
The RSI is at 50.00, which is considered neutral territory, indicating indecision among traders. Meanwhile, MACD is at -0.05, below its signal line at 0.02, suggesting bearish pressure on the stock.
The combination of neutral RSI and bearish MACD indicates mixed momentum, reflecting uncertainty in the stock's direction.
- Key Resistance: $20.00
- Key Support: $15.00
Earnings & Analyst Outlook
SoFi is slated to provide its next financial update on Apr. 28, 2026.
- EPS Estimate: 12 cents (Up from 6 cents)
- Revenue Estimate: $1.05 billion (Up from $770.72 million)
- Valuation: P/E of 47.2x (Indicates premium valuation)
Analyst Consensus & Recent Actions: The stock carries a Hold Rating with an average price target of $24.72. Recent analyst moves include:
- Truist Securities: Hold (Lowers Target to $21.00) (Feb. 18)
- Citizens: Upgraded to Market Outperform (Target $30.00) (Feb. 9)
- JP Morgan: Upgraded to Overweight (Target $31.00) (Feb. 3)
SOFI Price Action: SoFi Technologies shares were up 3.15% at $18.97 at the time of publication on Tuesday, according to Benzinga Pro data.
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