SoFi Stock Is Getting Absolutely Crushed This Year. Is It Finally Time to Buy?

Last year was a huge one for SoFi Technologies (NASDAQ: SOFI), which saw its stock soar 71%. However, 2026 has been a different story. Shares of the online financial services company have been crushed so far this year, slumping 55% from their high despite pretty fantastic growth.

Is the stock oversold at the current price? And is this a buying opportunity?

Another fantastic quarter

SoFi reported robust growth in the 2026 first quarter. It was another quarter of record new members, adding 1.1 million in the quarter, a 35% increase over last year, for a total of 14.7 million. That means it's still firmly in high-growth mode, with accelerated add-ons. Its unaided brand awareness is still fairly low at 10%, but it's increasing. That means its marketing campaigns are doing their job, but the growth runway is still long.

Image source: Getty Images.

Although SoFi is "just a bank," it has created a platform that meets the needs of today's young consumer. It's all digital, and it offers a large assortment of services, including access to some initial public offerings (IPO) and private equity funds -- even a fund that invests in SpaceX. CEO Anthony Noto said it has "unquestionably the most comprehensive set of digital financial tools and resources."

The company's growth strategy involves attracting younger consumers who might be in college or just starting out in their careers. SoFi has an easy-to-use interface that appeals to a younger crowd, especially newbies who might find a large bank intimidating. These consumers, who are upwardly mobile, grow with SoFi as their financial needs evolve, so they might start out with a bank account, then move to a credit card, and eventually open an investment account. Cross-buy increased 43% in the first quarter. Adjusted net revenue growth accelerated to 41% in the first quarter, and earnings per share (EPS) rose from $0.06 to $0.12.

What's going on with SoFi stock?

SoFi stock dropped after the report. There were a number of factors, starting with management's decision not to raise guidance. Noto said the previous guidance was based on the expectation that there would be two rate cuts, so maintaining the guidance despite no expectations of any rate cuts is essentially the same as raising it.

Its tech platform, the segment that accounts for its wholesale financial infrastructure, also performed poorly, down 27% from last year. Management said that was due to the loss of a large customer. Lending revenue was up 55% year over year, while the third segment, financial services, was up 41%.

Finally, SoFi stock was already trending down following a short-seller report alleging improper accounting practices. At its current price, SoFi stock is much cheaper.

SOFI PE Ratio data by YCharts

If investors were worried that SoFi stock was expensive, it looks reasonably priced right now, considering its growth and opportunities. If you've been waiting for an attractive entry point, now could be the right time.

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