Better Growth Stock: SoFi Technologies vs. Nu Holdings

One of the most exciting secular trends has been the intersection of financial services and technology, otherwise known as fintech. There might be no two companies that are riding the wave quite like SoFi Technologies (NASDAQ: SOFI) and Nu Holdings (NYSE: NU). Investors are winning, with the former's shares rising almost 190% in the past 36 months (as of March 10), while the latter's shares are up about 260%.

Between these two growth stocks, which one presents the better buying opportunity right now?

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SoFi's profits are skyrocketing

SoFi has had zero problems increasing its top line over the years. Between 2022 and 2025, adjusted revenue soared 140%. This was driven by the customer base expanding from 5.2 million during that time to 13.7 million (as of Dec. 31). The company's all-digital offerings are clearly very popular, with SoFi leaning on its product development efforts to better serve members.

These days, however, SoFi is proving that its business model works. There are no issues on the profitability front, as the bottom line is exploding.

In 2022, SoFi reported a net loss of $320 million. Last year, there was an adjusted profit of $481 million. And between 2025 and 2028, management believes that adjusted earnings per share will increase at a compound annual rate of between 38% and 42%. That's an exciting outlook.

Nu is looking at global expansion

As of year-end 2025, Nu had 131 million customers, up 15% year over year. It had 14 million in Mexico and 4.2 million in Colombia. But in its home country of Brazil, the company counts 62% of the adult population as customers, indicating a dominant presence.

However, Nu wants to keep pushing forward. It's worth paying close attention to the latest expansion plan, which is to start U.S. operations sometime next year.

Although the U.S. banking industry is mature, developed, and extremely competitive, Nu's management team deserves the benefit of the doubt. Perhaps they intend to target the U.S. Hispanic population, estimated to represent about 20% of the country's residents.

This can help keep the already impressive growth going. Revenue surged 45% in 2025, with net income up an even better 51%.

How much fintech exposure do investors want?

It's clear that both of these companies are thriving right now. So, it can be difficult to pick just one. Investors who want more exposure to the fintech secular trend can initiate positions in both of these stocks.

During the next five years, I think SoFi and Nu can be winning investments. That view is supported by ongoing fundamental gains.

Neil Patel has no position in any of the stocks mentioned. The Motley Fool recommends Nu Holdings. The Motley Fool has a disclosure policy.