10 Best Financial Stocks to Buy for the Long Term

5. SoFi Technologies, Inc. (NASDAQ:SOFI)

Potential Upside: 39.86%

Number of Hedge Fund Holders: 44

Despite beating Wall Street estimates in the fourth quarter, SoFi Technologies, Inc. (NASDAQ:SOFI) has seen several price target cuts from analysts following the earnings report. On February 2, Needham analyst Kyle Peterson reduced the firm’s price target on the stock from $36 to $33 while reaffirming a Buy rating.

The adjustment follows the company’s fourth-quarter results that exceeded Wall Street expectations on both earnings and revenue. The analyst highlighted solid performance and sustained growth in the company’s core on-balance-sheet lending business, alongside faster-than-expected scaling of its capital-light loan platform. According to the firm, the management’s ongoing focus on high-margin growth areas within FinTech and capital-light was also cited as a positive.

Moreover, on February 2, TD Cowen also lowered its price target on SoFi Technologies, Inc. (NASDAQ:SOFI) from $25 to $24 while keeping a Hold rating. The firm’s price target reflects an additional 8.7% upside from the current levels. According to the firm, the company’s fourth-quarter earnings beat was supported by a higher take rate and stronger-than-expected loan platform business originations. Additionally, the analyst said that  SoFi’s 2026 guidance came in above consensus expectations.

SoFi Technologies, Inc. (NASDAQ:SOFI) provides financial services across Canada, the United States, Hong Kong, and Latin America. The company operates in the Technology Platform, Lending, and  Financial Services segments. It provides the SoFi Credit Card, SoFi Relay, SoFi Protect, SoFi Travel, SoFi At Work,  Lantern Credit, and others.