Future Investing
The BEST Setup for SoFi Stock Yet (Don’t Miss This)
9/17/2025, 9:07:15 PM
Economic Summary
- The Fed announced a 25 basis point cut today and signaled two additional 25bp cuts later in 2025, which should lower funding costs across consumer lenders and support increased loan origination demand — directly benefiting lenders like SOFI.
- SoFi’s internal guidance assumed only 25–50bp of cuts, GDP growth of 1–2% (roughly 1.6% today), and unemployment normalizing toward ~5%; if the Fed’s cuts and lower unemployment exceed these conservative assumptions, SOFI can accelerate growth, take more credit risk, and sell more loans to institutional buyers.
- Observed demand indicators show record website visits in July–August and a large Q3 uptick in Google Trends for SoFi-related products, implying stronger customer acquisition and potential record new-customer inflows for SOFI.
- Market structure note: SOFI’s elevated short interest (~8.5%) increases the likelihood that rising prices produce forced short-covering, amplifying upside volatility and buying demand.
Bullish
- Multiple 25bp Fed cuts in 2025 lower funding costs and boost SOFI’s margins and loan demand.
- Record website traffic and Google Trends indicate accelerating customer acquisition for SOFI.
- High short interest (~8.5%) could trigger short-covering and additional upward price pressure on SOFI.
Bearish
- If the Fed doesn’t follow through with cuts, SoFi’s funding costs and margins could remain constrained.
- Elevated short interest can cause volatility and forced selling if sentiment suddenly flips.
Bullish tickers
SOFI
SOFI
1 price targets
27
Bullish
Fed rate cuts, record web/Google Trends demand, and reduced funding costs should boost SOFI’s margins and loan growth.
Bearish
If Fed cuts don’t materialize as signaled, SOFI could face higher funding costs and slower margin improvement.
People mentioned
Jerome Powell