Could Buying This Beaten-Down Fintech Stock Today Set You Up for Life?

In 2025, SoFi Technologies (NASDAQ: SOFI) was firing on all cylinders. It maintained its profitability streak, and investors liked what they saw, with shares jumping 70% for the year.

The start of 2026 has been a different story, as SoFi stock has traded significantly lower this year.

The company's Q1 2026 earnings report, however, could shift momentum, making now a good time to consider whether the fintech operator could be a long-term fit for your portfolio.

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The rocky road

SoFi has faced a few broad and specific issues this year. Some of the broad issues have been worries about artificial intelligence (AI) disrupting financial companies, cryptocurrencies dropping in price and potentially affecting fintech operators' revenue, and investors rotating out of growth stocks amid economic and geopolitical uncertainty.

The specific issues seemed to include some overhang over a secondary stock offering in December 2025, as well as allegations against SoFi from the investment research firm Muddy Waters Research. It asserted SoFi made "a material misstatement of at least $312 million of unrecorded debt."

Compounded, those factors seem to have contributed to SoFi's price drop so far in 2026. In recent days, the stock has rebounded with the rest of the market ahead of its April 29 earnings report.

Net income can move the stock

In its upcoming earnings report, net income will be important to watch. SoFi expects net income in the first quarter to increase 125% from a year ago to a total of $160 million. For the full year, net income is expected to reach $825 million, a 72% increase from 2025's totals.

If SoFi can meet its net income projection for this upcoming report, it should offer a bright spot, showing the company is right on track to meaningfully increase profitability in 2026. If it exceeds or misses those projections, that will determine in the short term whether SoFi stock extends its rally or falls further.

Owning SoFi for the long term

The issues many people have had with fintech providers and traditional finance companies over the last several years have been that you need to sign up for multiple services across different companies. Where you did your banking may not offer investing; where you invested may not offer banking services, leading to a bunch of different accounts to keep track of.

That's changing, especially with companies like SoFi, which says it's a "one-stop shop for all your finances." It lets users invest, apply for loans, set up bank accounts, and more, bringing more of their financial life under one roof.

That makes it an increasingly financial ecosystem stock, where it keeps feeding itself as it offers more services. If someone takes out a loan with SoFi, they may check out the company's banking and credit card services to simplify things. The fintech operator is also generating recurring monthly revenue through its SoFi Plus membership, which offers various perks.

With its forward price-to-earnings ratio of 33, shares aren't cheap. But that is the price to pay for a growth stock that could offer significant returns over the next few years if SoFi can increase revenue growth and margins and truly become a one-stop shop for someone's financial life.

Jack Delaney has positions in SoFi Technologies. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.