SoFi shares jump after analysts hike price targets
SoFi Technologies bounced up Thursday, its third straight day of big moves. The company posted strong Q2 numbers and a guidance hike early Tuesday, sending it up nearly 7%. Then on Wednesday it moved to sell additional shares, and dilution fears initially clobbered the stock.
Today the shares are back up, roughly 4.5% at last glance, after SoFi got a pair of price target hikes from analysts. Deutsche Bank moved its target to $21 from $14 a share, while Mizuho pushed its target to $26 from $20 — citing, in particular, SoFi’s growing mortgage origination business. Mizuho’s Dan Dolev wrote:
“While home lending origination grew over 90%, we view this as simply the beginning as it was done on the backdrop of a still weak housing mortgage market. Following strong 2Q and YTD results we are meaningfully raising our estimates.”
The consensus price target for the shares has moved up by about 15% since the company’s earnings report, to $19.62, but it’s still trailing the market price of nearly $23.
