New SoFi Price Target After 'Aggressive' AI Announcement

I'm increasing my target price for SOFI again. Let's hope that we can keep doing this.

Yes, this is based upon further technical development since I last reiterated my old $29 target price for SoFi Technologies on August 21. It's not just technical though. It's about CEO Anthony Noto's leadership and where that leadership is taking this online fintech firm. 

Earlier this week, Noto appeared at the Goldman Sachs Communacopia & Technology Conference. He was interviewed by William Nance, who works in Goldman's Research Division. I found some of the give and take not only interesting but encouraging as a shareholder. Have a look for yourself:

The Interview 

(Excerpted for reasons of brevity)

William Nance: Let's kick it off. I mean, you have had a very impressive first half of the year. You significantly increased originations through your loan platform business. You've also been beginning to reintroduce your crypto platform. As you look out at the business, like what are your main strategic priorities from here over the next 12 to 18 months?

Anthony Noto: We launched SoFi Plus in January of 2025. And it's proven to be what we were really hoping for, a product that helps our members do more with us. And so, it's a subscription product where we're giving them premium services and 90% of our new SoFi Plus members are existing members and 75% of them are taking out another product after they open SoFi Plus. We're also investing meaningfully in the tech platform side to drive that business and drive new adoption from new partners.

Nance: How are you thinking about the health of the consumer based on what you have seen year-to-date? And how do you think about the outlook?

Noto: We're seeing really strong consistent demand that's helped us drive the growth that we've been achieving last quarter. We had 44% revenue growth, 29% margins, really strong. (I'm) probably the most optimistic I've been in my eight years at the company in terms of the growth of our current businesses and what they can produce and then layer on top of that, the initiatives that I mentioned that would be incremental over the next couple of years.

Nance: Well, maybe from there, we can talk about other product initiatives within the organization beyond crypto, stablecoins and remittances, what other products could we see SoFi launch over time?

Noto: You could see us be more aggressive on the offensive side of AI. We've also launched with Sierra as a partner in our chat app on SoFi Money, solving problems with AI, which has shown really strong improvement in containment rates as opposed to abandonment rates. That's all on the cost side, but it also builds trust, and it builds confidence in people and their ability to solve problems in real time.

Nance: I want to hit on the regulatory environment. One of the major things of this new administration has been a deregulatory focus across numerous industries, including financial services. Could you just talk about kind of before and after how things have changed in your day to day from a regulatory perspective?

Noto: I think the environment obviously has changed. There's more decisiveness. There is clear path to getting to where you want to go. You'll see a bunch of crypto companies or crypto centric companies that offer stablecoins or that often buy, sell and hold apply for OCC licenses, and they'll apply for non-depository insured trust, that will limit what they can do. It will not limit what we can do. We have insured deposits as an OCC license bank. So, it is a huge advantage. That's a benefit that we have in not only launching the businesses ourselves, but when we go and market our tech platform capabilities to consumer companies and nonfinancial institutions, we could say to them, this is going to be part of our bank as a service and will be under that regulatory regime or will be part of the bank holding company under the Fed regime. So, the regulatory environment providing that clarity actually gives us a competitive advantage given the licenses that we have.

The Stock​

I have shown readers this chart before. Since breaking out from an inverse head-and-shoulders pattern of bullish reversal this past spring, the shares have largely been guided in a northerly direction that ​mostly respected the boundaries of this Andrews' pitchfork model. There was a minor threat of the double top along the way that appears to have passed without being realized. 

Now, a new and bullish pattern has appeared. Check this out:

Over the past three weeks or so, SOFI has put together an ascending triangle pattern of trend continuance. The new pattern is the resistance level that has developed just below the $27 level. The rest is simple mathematics.

SoFi Technologies (SOFI)

Target Price: $33 (up from $29)

Pivot: $27 (up from $25)

Add: Between the 21-day EMA and the 50-day SMA

Panic: Loss of the 200-day SMA

At the time of publication, Guilfoyle was long SOFI equity.