ETFs & Funds
Home›ETFs & Funds›ETFs›Direxion Daily SOFI Bull 2X ETF bets on a SoFi rebound
Direxion Daily SOFI Bull 2X ETF bets on a SoFi rebound
SoFi stock has fallen nearly a third year-to-date, but Piper Sandler initiated coverage with an outperform rating and a $22 price target.
ETF Trends highlights Direxion Daily SOFI Bull 2X ETF as a short-term trading tool tied to SoFi Technologies (SOFI), noting that retail enthusiasm for the fintech early in the year has not played out as expected. The outlet says SoFi shares are down nearly a third year-to-date, even as they are up 12.4% over the past 90 days.
The ETF is designed to seek 200% of the daily performance of SoFi stock, and ETF Trends cautions that it should be treated as a geared instrument for the near term rather than a long-hold position. The piece also points to sell-side sentiment that has generally been tepid, with many analysts viewing the stock as a hold.
ETF Trends cites Piper Sandler initiating coverage on August 17, giving SoFi an outperform rating and a $22 price target, implying more than 20% upside from the stock’s level at the time. The article links that bullish view to SoFi’s transition toward a broader financial services platform that spans banking, credit cards, insurance, and investing.
The article also says SoFi is emphasizing cross-selling, and it references a statement attributed to CEO Anthony Noto that existing clients accounted for more than half of all new products opened in the second quarter. ETF Trends frames the cross-selling momentum as central to the potential upside case for both the stock and the leveraged ETF.