Future Investing
SoFi Stock Huge Earnings Review & Nvidia $200 Update | Tech Frenzy
10/28/2025, 9:55:24 PM
Economic Summary
- SoFi (SOFI) reported a beat with 35% member growth, ~38% revenue growth, record deposits (~$33B) and raised 2025 guidance, implying stronger-than-expected consumer fintech traction and improved profitability (28.8% adjusted EBITDA margin).
- SoFi is diversifying away from lending: non-lending revenue rose, cross-sell improved (~40% cross-buy record), and management is launching crypto custody, a stablecoin, SoFi Pay rails, and a premium Smart Card — expanding addressable market and fee opportunities.
- SoFi's technology platform has low contribution margins (declined toward ~28%), while core financial services and lending maintain higher margins (~53–54%), highlighting concentration of profitability risk within product segments.
- NVIDIA (NVDA) signaled enormous AI demand: Jensen Huang referenced roughly $500 billion of potential deals over the next six quarters, driving upward valuation bets but also creating concentration and geopolitical exposure (China export controls).
- Two simultaneous tech supercycles noted: AI and blockchain. Examples include PayPal+OpenAI payments integration and SoFi building blockchain rails for cross-border pay, implying disruption and new payment rails development.
Bullish
- SoFi delivered strong member, product, deposit, and revenue growth with improved profitability.
- NVIDIA is seeing massive enterprise demand and guidance comments implying huge near-term AI revenue potential.
- SoFi expanding products (crypto custody, stablecoin, SoFi Pay, Smart Card) broadens revenue streams and cross-sell.
- NVIDIA strategic investments and partnerships (including a $1B Nokia investment) reinforce its AI ecosystem leadership.
Bearish
- SoFi's technology platform has compressed contribution margins, posing profitability risk if financial services growth slows.
- NVIDIA faces export/China restrictions risk that could limit addressable market and future revenue.
- AI startup bubble risk: quick prototyping can replicate or outperform small AI companies, threatening valuations.
- Macro downside (recession or job losses) could reduce consumer demand and hurt fintech loan products like SOFI.
Bullish tickers
NVDASOFINOKSHOP
Bearish tickers
SOFINVDAOPENAI
NVDA
2 price targets
250220
Bullish
Dominant AI accelerator supplier with massive near-term enterprise demand and strategic investments, driving large revenue upside.
Bearish
Geopolitical/export restrictions (China) and very rich valuation could constrain upside if access to key markets is limited.
SOFI
Bullish
Strong member/product growth, record deposits, improved cross-sell and adjusted EBITDA, plus new crypto/stablecoin and payment products.
Bearish
Tech platform margins are weak and valuation remains high; consumer/job-market weakness could worsen loan performance.
NOK
1 price targets
6.01
Bullish
Receives $1B investment from NVIDIA to accelerate AI plans, which could catalyze AI-related revenue and partnerships.
Bearish
NVIDIA's $1B stake is relatively small (≈2.9%), leaving strategic impact and long-term benefit unclear.
PYPL
Bullish
Partnership with OpenAI to enable payments within ChatGPT opens new payment rails and commerce integration opportunities.
Bearish
PayPal flagged U.S. consumer worries; partnerships with AI platforms could still disrupt incumbent financial flows.
SHOP
Bullish
Hit all-time highs and provided strong performance in the speaker's portfolio.
Bearish
Concentration risk in a personal portfolio; no specific transcript concerns beyond exposure.
CRWD
Bullish
Highlighted positively in the context of AI/cybersecurity momentum at large tech events.
AMZN
Bullish
Cited among large cloud/data center customers driving NVIDIA demand.
GOOGL
Bullish
Named as a major enterprise buyer in NVIDIA's large-deal commentary.
META
Bullish
Included in large AI procurement expectations that support NVIDIA demand narrative.
AAPL
Bullish
Mentioned as part of the big tech earnings cadence; no detailed bull/bear arguments provided.
PLTR
Bullish
Mentioned tangentially among AI and partnership news.
JOBY
Bullish
Partnering with NVIDIA on autonomous flight systems for eVTOL, signaling aerospace AI applications.
BE
Bullish
Bloom Energy jumped on earnings; noted as a positive mover in the market day.
People mentioned
Anthony NotoJensen HuangTimothy SweeneyChris LapointeTom LeeDonald TrumpXi JinpingDevin RyanDan DolovEvanTannerRichHongSteve