During CNBC's Mad Money episode on August 5, a caller questioned the near-term trajectory of SoFi Technologies, Inc. (NASDAQ:SOFI), pointing out that the stock has remained stuck in a tight trading band between $16 and $19 over the past six months. The long-term shareholder asked whether host Jim Cramer maintains a positive outlook on the company despite its stagnant price action. Cramer responded:<\/p>\n
Okay, look, SoFi, Robinhood, a bunch of these fintech companies have kind of been in the doldrums, as people said, "You know what? We're focusing, we're going to go right back to the old, JPMorgans and Bank of Americas and Bank of New Yorks. So, I think what you're doing is you're seeing a shift toward the old. It'll come back to the new. Take your time. SoFi is good. I would own it.<\/p>\n
SoFi Technologies, Inc.'s (NASDAQ:SOFI) six-month range-bound pattern between $16 and $19 reflects a digestion period following prior expansion waves. For long-term shareholders, Cramer's advice centers on patience rather than panic. By advising investors to "take your time" and confirming that he "would own it," Cramer emphasized that SoFi Technologies, Inc.'s (NASDAQ:SOFI) long-term growth thesis remains intact.<\/p>\n
The frustration over SoFi's range-bound share price contrasts with its performance. The company delivered strong second-quarter 2026 financial results, beating Wall Street expectations across top-line and bottom-line metrics. Non-GAAP earnings per share came in at $0.12, beating estimates by a penny, while adjusted net revenue surged 40% year-over-year to $1.21 billion, outperforming consensus of $1.12 billion. Total loan originations reached a record $14.8 billion during the period.<\/p>\n
Furthermore, customer acquisition and product cross-selling also expanded significantly during the quarter. Total membership grew 35% year-over-year to a record 15.8 million, while total products increased 42% to 24.4 million. SoFi Technologies, Inc.'s (NASDAQ:SOFI) financial services productivity loop gained further traction, with existing members opening 51% of new products added during the quarter.<\/p>\n
Driven by this operational momentum, management raised its full-year 2026 adjusted net revenue guidance to between $4.75 billion and $4.85 billion, surpassing the $4.70 billion consensus estimate. For the full year, management continues to project adjusted EBITDA of approximately $1.6 billion, representing a 33% to 34% margin, and adjusted net income of $825 million, representing a 17% margin. This yields full-year adjusted EPS of approximately $0.60 based on an estimated 22% effective tax rate.<\/p>\n
Institutional positioning shows a cautious stance among Wall Street money managers despite SoFi Technologies, Inc.'s (NASDAQ:SOFI) operational progress. Data tracked by Insider Monkey shows that hedge fund ownership dipped to 47 elite funds in the first quarter of 2026, down from 56 funds holding positions during the final quarter of 2025. Nevertheless, its most prominent hedge fund holder, D E Shaw, remained bullish on the stock as the firm maintained its position as the top hedge fund holder after increasing its position in the stock for three straight quarters.<\/p>\n
Similarly, short interest remains notable, sitting at 14.61% of the public float. The combination of declining institutional ownership and elevated short volume highlights that while retail adoption and quarterly metrics remain strong, institutional traders continue hedging against macroeconomic rate uncertainty and broader fintech valuation headwinds.<\/p>\n
While we acknowledge the potential of SOFI as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.<\/p>\n
READ NEXT: Jim Cramer Says Kimberly-Clark's Acquisition of Kenvue Creates a High-Margin Powerhouse and Jim Cramer Says Buy CrowdStrike (CRWD) as AI Agents Go Rogue.<\/p>\n
Disclosure: None. Follow Insider Monkey on Google News.<\/p>\n