If it walks like a bank and talks like a bank, should its stock be valued like a bank's?
That’s the issue at hand for Morgan Stanley analyst Jeffrey Adelson as he evaluates SoFi Technologies Inc. SOFI.
“We previously valued [SoFi] on a growth-adjusted basis, given strong growth well above most banks/consumer lenders,” Adelson wrote Thursday. “But as [SoFi] looks increasingly like a bank, we believe it needs to be valued more like a bank.” In addition, he noted that SoFi’s stock price implies a 2.1-times valuation for the bank on the basis of tangible book value per share.
Additionally, he joined several other analysts in voicing concerns over elevated assumptions about SoFi’s ability to benefit from recent policy developments around student loans. While SoFi estimates a $200 billion total addressable market for refinancing once the moratorium on student-loan payments ends, Adelson thinks the market opportunity is roughly half that.
Indonesia Berita Terbaru, Indonesia Berita utama
Similar News:Anda juga dapat membaca berita serupa dengan ini yang kami kumpulkan dari sumber berita lain.
Most Reliable SUVs: Top Picks for Long-Term Value and DependabilityShopping for an SUV but not sure which models maximize dependability? These top-ranked vehicles combine reliability and overall quality.
Baca lebih lajut »
Tesla challenger Rivian's market value nearly doubled in 2 weeksTesla challenger Rivian's market value almost doubled in 2 weeks as its stock price hit a 2023 high
Baca lebih lajut »
HBO’s Emmy Dominance Proves the Value of Risk Despite Turbulent Cable Company and LeadershipHBO dominating the Emmy nominations is hardly a surprise, given both historical trends and the year they’ve had. But it couldn’t have come at a more crucial time. Amid endless media speculation aro…
Baca lebih lajut »
Credit Suisse gives its top stock picks for the second halfThe firm listed its top investment ideas from each sector.
Baca lebih lajut »
Cava Group's stock soars as analysts remain bullish after near-doubling in price since IPOAt least four of the banks that were underwriters on Cava's IPO rate the stock a buy, while Morgan Stanley opts for equal weight.
Baca lebih lajut »
U.S. Bancorp stock rises after B of A upgrade to buy from neutralU.S. Bancorp was up by 3.3% after B of A analyst Ebrahim H. Poonawala upgraded the bank to buy from neutral and raised his price target by $2 to $40 a share...
Baca lebih lajut »