AXP vs. SOFI: A Head-to-Head Stock Comparison
UpdatedHere’s a clear look at AXP and SOFI, comparing key factors like performance, valuation metrics, dividends, and financial strength. It’s built for investors or anyone curious to see how these two stocks match up.
Company Overview
AXP dwarfs SOFI in market cap, clocking in at 200.37 billion USD—about 14.16 times the 14.15 billion USD of its counterpart.
SOFI dances to a riskier tune, sporting a beta of 1.85, while AXP keeps it calmer at 1.24.
| Symbol | AXP | SOFI |
|---|---|---|
| Company Name | American Express Company | SoFi Technologies, Inc. |
| Country | US | US |
| Sector | Financial Services | Financial Services |
| Industry | Financial - Credit Services | Financial - Credit Services |
| CEO | Mr. Stephen Joseph Squeri | Mr. Anthony J. Noto |
| Price | 286 USD | 12.8 USD |
| Market Cap | 200.37 billion USD | 14.15 billion USD |
| Beta | 1.239 | 1.855 |
| Exchange | NYSE | NASDAQ |
| IPO Date | June 1, 1972 | January 4, 2021 |
| ADR | No | No |
Performance Comparison
This chart compares the performance of AXP and SOFI over the past year by tracking the growth of an initial $10,000 investment in each (starting one year ago).
Hover over the lines to see the investment’s value and total return (%) at specific dates.
Data is adjusted for dividends and splits.
Valuation Metrics Comparison
The section examines key financial ratios to assess the valuation of AXP and SOFI based on earnings, cash flow, sales, and book value. Pay attention to the following notable points where extreme values stand out.
- SOFI has a negative Price-to-Free Cash Flow of -7.00, indicating it’s spent more cash than it’s brought in over the past year—a cash flow shortfall that raises questions about its operational sustainability. Meanwhile, AXP at 17.71 maintains a positive cash position.
| Symbol | AXP | SOFI |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | 19.51 | 29.17 |
| Forward PEG Ratio (TTM) | 1.83 | 0.43 |
| Price-to-Sales Ratio (P/S, TTM) | 2.66 | 5.10 |
| Price-to-Book Ratio (P/B, TTM) | 6.43 | 2.10 |
| Price-to-Free Cash Flow Ratio (P/FCF, TTM) | 17.71 | -7.00 |
| EV-to-EBITDA (TTM) | 13.57 | 38.85 |
| EV-to-Sales (TTM) | 2.67 | 5.48 |
| EV-to-Free Cash Flow (TTM) | 17.74 | -7.52 |
Dividend Comparison
AXP’s 1.02% yield offers steady income while retaining earnings for growth, unlike SOFI, which pays none, reinvesting fully—likely in expansion or R&D—for investors eyeing future gains. This pits AXP’s balanced approach against SOFI’s long-term focus.
| Symbol | AXP | SOFI |
|---|---|---|
| Dividend Yield (TTM) | 1.02% | 0.00% |
Financial Strength Metrics Comparison
This section dives into the financial resilience of AXP and SOFI, spotlighting key metrics like liquidity, leverage, and debt coverage. Check out the standout observations below where notable differences or extremes pop up.
- For both AXP (0.32) and SOFI (0.00), current ratios sit below 1. With current assets trailing short-term liabilities, they might tap into cash flow or borrowing to stay afloat—a setup not uncommon in certain sectors, though it bears monitoring if cash gets tight.
- AXP (0.32) and SOFI (0.00) both clock quick ratios under 0.8. Without inventory, their liquid assets don’t match short-term debts, so they might lean on sales or loans to cover the difference—doable if cash keeps flowing.
- SOFI’s 0.29 sits under 1.5, where earnings hug interest costs too closely—a squeeze if income dips. Meanwhile, AXP at 1.59 has room to breathe.
| Symbol | AXP | SOFI |
|---|---|---|
| Current Ratio (TTM) | 0.32 | 0.00 |
| Quick Ratio (TTM) | 0.32 | 0.00 |
| Debt-to-Equity Ratio (TTM) | 1.69 | 0.47 |
| Debt-to-Assets Ratio (TTM) | 0.19 | 0.08 |
| Interest Coverage Ratio (TTM) | 1.59 | 0.29 |