SoFi nologies (SOFI 2. 83%) stock jumped 37% in June, according to data from S&P Global Market Intelligence.
Investors were feeling good the economy, and toward the end of the month, SoFi made an exciting announcement cryptocurrency.
Everyone is banking online SoFi started out as a loan co-operative for university students, but it didn't take long for it to expand and offer a growing number of services on its all-digital platform.
It caught the wave of digital banking as it was rising, and it's been well positioned for high growth. Image source: Getty Images.
There are many digital banking options today, but SoFi stands out because it targets a younger clientele and understands what its customers are looking for.
Its platform features easy-to-use ducts with lots of explanation and an interface that's simple and user-friendly.
It also has a strong marketing plan that reaches its customers, such as naming arenas and hosting sporting events, and it offers innovative services that open up financial services to this young population, such as access to some initial public offerings and a membership gram.
That's paying off in incredible growth rates. It added a record 800,000 new members in the 2025 first quarter, and it's upselling and cross-selling its loyal customer base as well, adding 1.
2 million new ducts in the quarter. That's translating into robust earnings results. Adjusted net revenue was up 33% year over year in the first quarter, and adjusted earnings per increased from $0.
Some of the renewed interest in SoFi stock is coming from a rebound in the loan, which is still its core segment.
Loan segment revenue increased 25% over last year in the first quarter, with strength across, including student loans, housing loans, and personal loans.
But the expanded platform continues to pull more weight. The financial services segment has been outstanding, with a 101% increase in the quarter, plus a 299% increase in contribution margin.
This low-cost, fee-based segment continues to outperform.
The bank of the future SoFi stock is rising along with the market, but it got an extra boost after it announced that it's adding new cryptocurrency-enabled features on its platform.
It plans to launch international money transfers that will be as easy as sending standard digital payments, and it will do so by sending the money digitally on stable and secure blockchains.
That's a concrete and useful way to leverage blockchain nology to vide real value to clients, rather than trying to get into crypto by offering risky or generic services.
It makes sense that the market is applauding these efforts. Jennifer Saibil has positions in SoFi nologies. The Motley Fool has no position in any of the stocks mentioned.
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