Student loan demand is below what it would be with lower rates: SOFI CEO

Shares of SoFi (SOFI) are dropping as the company reported its first quarter earnings. The results included revenue of $645 million, a 37% increase year-over-year, beating estimates of $556 million. However, the results were overshadowed by SoFi's adjustment to second quarter revenue: between $555 million and $565 million, well below analyst expectations of $590 million.
The better-than-expected first quarter revenue comes as the company experienced strong growth in loan originations, double-digit gains in personal and student loans and triple-digit gains for home loans. SoFi CEO Anthony Noto joins Wealth! to give insight into where demand for loans remains strong.
"We have seen really strong demand for unsecured personal loans, the term out revolving debt, with variable rates, fixed rate, and fixed term. On the home loan side of the equation, it's largely been purchase demand, not refinancing demand, given how high rates are and then on student loan or financing, I would say the demand is well below where it would be if rates were two to 300 basis points lower," Noto explains.
About Yahoo Finance:
Yahoo Finance provides free stock ticker data, up-to-date news, portfolio management resources, comprehensive market data, advanced tools, and more information to help you manage your financial life.
- Get the latest news and data at finance.yahoo.com
- Download the Yahoo Finance app on Apple (apple.co/3Rten0R) or Android (bit.ly/3t8UnXO)
- Follow Yahoo Finance on social:
X: / yahoofinance
Instagram: yahoofinanc...
TikTok: www.tiktok.com/@yahoofinance?...
Facebook: / yahoofinance
LinkedIn: / yahoo-finance

[@dougb8207]

Good interview. I liked Mr. Noto's discussion about students educating themselves before looking for funding. That's something that isn't always explained well in school. As he said, every situation is different.

[@robertoc.j.5563]

Great results and long term guidance. I am adding to my position at this levels.

[@AnthonyNoto69]

buying.

[@TRIMARTheatres]

All these billions and the stock is dropping below $7.

[@dougb8207]

It's a growth stock that just became profitable, and doesn't have much institutional ownership yet. That will change.

[@chartedtravel1776]

🙏, and when it does strap your seatbelt tight

[@UMAD666]

@@dougb8207 is growing and the stock not showing makes no sense

[@christopherfu3251]

No vitamins. Get a cup of coffee there.

[@christopherfu3251]

Coffee and Vitamins

[@christopherfu3251]

Whoa?!?!

[@christopherfu3251]

Cmon!

[@christopherfu3251]

Yeah

[@christopherfu3251]

Shaman!

[@christopherfu3251]

🥊

[@christopherfu3251]

World 🌎

[@christopherfu3251]

Better get your vitamins