- The resumption of collections on defaulted federal student loans could impact financial companies like SoFi Technologies.
- SoFi's stock has an average analyst target price of $12.98, suggesting potential growth.
- GuruFocus estimates indicate a slight downside from current trading prices for SoFi stock.
The U.S. Department of Education has announced that collections on defaulted federal student loans will resume starting May 5. This decision impacts approximately 5 million borrowers, marking a significant shift as efforts to recover $1.6 trillion in debt recommence after the pandemic-induced pause. This development carries potential implications for financial companies, particularly SoFi Technologies (SOFI, Financial), which has been focusing on expanding its market presence.
Wall Street Analysts' Forecast
In a detailed analysis of SoFi Technologies Inc (SOFI, Financial), 15 analysts have set a one-year average price target of $12.98. Their predictions range from a high of $20.00 to a low of $5.00. This average target price suggests a notable upside potential of 21.42% from the current trading price of $10.69. For further insights into these estimates, you can visit the SoFi Technologies Inc (SOFI) Forecast page.
Brokerage Recommendations
The consensus among 18 brokerage firms currently positions SoFi Technologies Inc (SOFI, Financial) with an average recommendation of 2.9, indicating a "Hold" status. This rating is part of a broader scale from 1 to 5, where 1 is a "Strong Buy" and 5 is a "Sell."
GuruFocus GF Value Estimate
GuruFocus provides an estimated GF Value for SoFi Technologies Inc (SOFI, Financial) of $10.50 over the next year, implying a potential downside of 1.78% from its current price of $10.69. The GF Value is a unique estimate of the fair trading value, calculated based on historical trading multiples, past business growth, and future business performance estimates. For more detailed information, visit the SoFi Technologies Inc (SOFI) Summary page.
