So here’s the deal with SoFi Technologies (SOFI): this fintech darling is absolutely crushing it right now, and everyone’s wondering if they should jump on the bandwagon or if this party’s about to end.
Let’s break down the numbers because they’re honestly pretty wild. SOFI stock is up about 2% just today, which might not sound like much until you zoom out. We’re talking 8% gains in the past week, 20% in the past month, and—get this—the stock has nearly doubled since January, sitting pretty at a 96% gain for the year. Over the past 52 weeks? A jaw-dropping 281% increase. Yeah, you read that right.
Now, before you start frantically opening your trading app, let’s talk about why this is happening. The Federal Reserve just cut interest rates by 25 basis points last week—the first cut since December. In theory, cheaper borrowing costs should be great news for a lending-focused company like SoFi. When money gets cheaper, people borrow more, and fintech companies should benefit.
But here’s where it gets interesting (and a bit concerning). The economy isn’t exactly firing on all cylinders right now. We’ve got a weakened job market and inflation that’s being more stubborn than a cat refusing to get in its carrier. This creates a weird situation where SoFi’s stock is partying like it’s 1999 while the broader economic backdrop is giving off more “meh” vibes.
Here’s a fun fact that might explain some of the rocket ship action: short interest in SOFI has plummeted from nearly 23% of the float in late March 2024 to just 8.6% in early September 2025. Translation? A lot of people who were betting against the stock have thrown in the towel and covered their positions, which can create upward pressure on the price.
But here’s the thing about momentum stocks—they can be like that friend who’s really fun at parties but might not be the most reliable long-term. SOFI has now posted eight consecutive up weeks and is on track for a ninth. That’s impressive, but it’s also the kind of streak that makes seasoned investors start side-eyeing the situation.
The reality check? This kind of run-up often leads to what we politely call a “correction” (aka the stock taking a breather and coming back down to earth). With SOFI having gained so much so fast, it might need to digest these gains before making its next move.
The silver lining? If SOFI does pull back, it might actually be healthy for the stock’s long-term prospects. Think of it like a runner who’s been sprinting—sometimes you need to catch your breath before the next leg of the race.
So should you buy SOFI right now? That depends on your risk tolerance and whether you believe in the long-term fintech story. Just remember: what goes up fast can also come down fast. If you’re thinking about jumping in, maybe don’t bet the farm on it.
The bottom line: SoFi is having its moment in the sun, but smart money knows that even the best parties eventually wind down.