SoFi Technologies (SOFI)
SOFI is now down around 40% year to date and is looking like a serious buying opportunity because SOFI stock is still highly rated among analysts with an average one year price forecast of +47%. Analysts are still rating SOFI a Strong Buy and right now a lot of important indicators are pointing to SOFI being undervalued.
For instance, they’ve beat all 4 of their last earnings calls and despite a high 42 price to earnings, their stellar forecasted EPS growth of almost 80% gives them an incredible PEG ratio of just 0.5. There seriously just aren’t that many stocks out there that have such a great PEG ratio right now, which says a lot because this is a very powerful indicator of a stocks future performance.
With industry growth forecasts of 7.2% to 7.6% over the next few years, SOFI is already well positioned to take advantage of this and has already been seeing record levels of membership growth lately. Such a low PEG in an industry with decent growth is a very good sign and as such we have rated SOFI a Strong Buy with a 23% one year price projection. We rate SOFI Technologies stock as medium risk, high reward.
Nu Holdings (NU)
We have rated NU very highly over the past few years and for good reason, as NU is now up around 36% in this past year. With a PE ratio of 25 and EPS growth forecasts of +58% for the next year, Nu Holdings represents incredible value when compared to its industry peers. Like SOFI, NU currently has a very low PEG ratio of 0.4, which is significantly better than the broader S&P’s PEG ratio of around 1.8 – and given that NU has beat it’s last 4 earnings calls I think we can be confident that they are going to continue meeting their EPS forecasts at least in the short term.
Nu Holdings has been able to increase their customer base by over 31% in the last quarter and revenue is up 37% last year. Right now appears to be a perfect buying opportunity as it’s currently down over 12% year to date. And if you take the average analyst EPS forecast of $1.20 by Dec 2027 and multiply that by their current PE valuation of 25, we can expect NU stock to hit the $30 mark by then which is a staggering +102% increase over where it trades today.
And then there is the fintech industry in general which itself is expected to enjoy a 25% Compound Annual Growth Rate (CAGR) out to 2033 by some estimates. Analysts have rated Nu Holdings a Strong Buy with a one year average forecast of +44%. We put NU as a medium risk, high reward stock and have also rated it a Strong Buy with a +39% one year forecast for the end of 2026.
POET Technologies (POET)
POET stock is now up 59% in the past year and presents a great buying opportunity given its projected $10M revenue estimate for Dec 2026 which would mean a $0.07 revenue per share at the end of the year. A $0.07 revenue per share is a 558% upside to revenue when compared to it’s current revenue per share of just $0.01, which is exactly the incredible growth it needs to justify their eye watering 608 PE.
| POET | |
| Share Price | $ 6.08 |
| Revenue Per Share | $ 0.01 |
| Price to Sales | 608.0 |
| Revenue Growth (Forward 1yr) | 557.9% |
| PSG | 1.1 |
Whether they hit that $10M mark doesn’t really matter though, because all they need to do is get close. Given they have only just cracked the $1M revenue mark on a TTM basis we expect revenue to absolutely explode over the next couple years which will eventually bring that price to sales down to reasonable levels.
Their PSG ratio of 1.1 at this time is really quite good, and so we put Poet Technologies as a Buy and have a +70% one year forecast. The average analyst estimate for POET right now is a Buy with a +38% one year growth forecast at a projected $8.40 share price. We have rated this a high risk, high reward stock.
Topics: SOFI stock price projection, NU stock analysis, POET stock review and price forecast
