SoFi (SOFI) stock recently experienced a notable downturn after a period of strong gains. The stock had benefited significantly from consecutive interest rate cuts in 2024, which created a favorable environment for its lending platform to thrive. Despite this boost, concerns over the company's valuation and broader economic uncertainties triggered a substantial sell-off, resulting in a sharp 24.1% decline over just one month. Furthermore, the stock has retreated roughly 36% from its 52-week high.
This downturn has somewhat alleviated previous valuation worries, prompting questions about whether SoFi is now a bargain buy. The answer hinges on the company’s future growth trajectory.
