SOFI vs. V: A Head-to-Head Stock Comparison
UpdatedHere’s a clear look at SOFI and V, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Overview
V’s market capitalization of 666.59 billion USD is significantly greater than SOFI’s 16.98 billion USD, highlighting its more substantial market valuation.
SOFI’s beta of 1.83 points to significantly higher volatility compared to V (beta: 0.94), suggesting SOFI has greater potential for both gains and losses relative to market movements.
| Symbol | SOFI | V |
|---|---|---|
| Company Name | SoFi Technologies, Inc. | Visa Inc. |
| Country | US | US |
| Sector | Financial Services | Financial Services |
| Industry | Financial - Credit Services | Financial - Credit Services |
| CEO | Mr. Anthony J. Noto | Mr. Ryan M. McInerney |
| Price | 15.36 USD | 343.75 USD |
| Market Cap | 16.98 billion USD | 666.59 billion USD |
| Beta | 1.83 | 0.94 |
| Exchange | NASDAQ | NYSE |
| IPO Date | January 4, 2021 | March 19, 2008 |
| ADR | No | No |
Historical Performance
This chart compares the performance of SOFI and V over the past year by tracking the growth of an initial $10,000 investment in each (starting one year ago).
Data is adjusted for dividends and splits.
Profitability
Return on Equity
SOFI
7.64%
Financial - Credit Services Industry
- Max
- 34.05%
- Q3
- 19.45%
- Median
- 11.90%
- Q1
- 5.95%
- Min
- -10.63%
SOFI’s Return on Equity of 7.64% is on par with the norm for the Financial - Credit Services industry, indicating its profitability relative to shareholder equity is typical for the sector.
V
51.26%
Financial - Credit Services Industry
- Max
- 34.05%
- Q3
- 19.45%
- Median
- 11.90%
- Q1
- 5.95%
- Min
- -10.63%
V’s Return on Equity of 51.26% is exceptionally high, placing it well beyond the typical range for the Financial - Credit Services industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.
Return on Invested Capital
SOFI
1.81%
Financial - Credit Services Industry
- Max
- 43.98%
- Q3
- 24.84%
- Median
- 8.71%
- Q1
- 2.00%
- Min
- -16.20%
Return on Invested Capital is often not a primary measure of capital efficiency in the Financial - Credit Services industry.
V
29.89%
Financial - Credit Services Industry
- Max
- 43.98%
- Q3
- 24.84%
- Median
- 8.71%
- Q1
- 2.00%
- Min
- -16.20%
Return on Invested Capital is often not a primary measure of capital efficiency in the Financial - Credit Services industry.
Net Profit Margin
SOFI
17.36%
Financial - Credit Services Industry
- Max
- 54.97%
- Q3
- 28.54%
- Median
- 13.95%
- Q1
- 7.52%
- Min
- -16.70%
SOFI’s Net Profit Margin of 17.36% is aligned with the median group of its peers in the Financial - Credit Services industry. This indicates its ability to convert revenue into profit is typical for the sector.
V
52.86%
Financial - Credit Services Industry
- Max
- 54.97%
- Q3
- 28.54%
- Median
- 13.95%
- Q1
- 7.52%
- Min
- -16.70%
A Net Profit Margin of 52.86% places V in the upper quartile for the Financial - Credit Services industry, signifying strong profitability and more effective cost management than most of its peers.
Operating Profit Margin
SOFI
11.33%
Financial - Credit Services Industry
- Max
- 77.26%
- Q3
- 47.78%
- Median
- 24.15%
- Q1
- 8.74%
- Min
- -14.94%
SOFI’s Operating Profit Margin of 11.33% is around the midpoint for the Financial - Credit Services industry, indicating that its efficiency in managing core business operations is typical for the sector.
V
63.68%
Financial - Credit Services Industry
- Max
- 77.26%
- Q3
- 47.78%
- Median
- 24.15%
- Q1
- 8.74%
- Min
- -14.94%
An Operating Profit Margin of 63.68% places V in the upper quartile for the Financial - Credit Services industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.
Profitability at a Glance
| Symbol | SOFI | V |
|---|---|---|
| Return on Equity (TTM) | 7.64% | 51.26% |
| Return on Assets (TTM) | 1.28% | 21.42% |
| Return on Invested Capital (TTM) | 1.81% | 29.89% |
| Net Profit Margin (TTM) | 17.36% | 52.86% |
| Operating Profit Margin (TTM) | 11.33% | 63.68% |
| Gross Profit Margin (TTM) | 97.15% | 80.09% |
Financial Strength
Current Ratio
SOFI
--
Financial - Credit Services Industry
- Max
- 9.02
- Q3
- 4.32
- Median
- 2.45
- Q1
- 1.06
- Min
- 0.15
For the Financial - Credit Services industry, the Current Ratio is often not the most suitable measure of short-term liquidity.
V
1.08
Financial - Credit Services Industry
- Max
- 9.02
- Q3
- 4.32
- Median
- 2.45
- Q1
- 1.06
- Min
- 0.15
For the Financial - Credit Services industry, the Current Ratio is often not the most suitable measure of short-term liquidity.
Debt-to-Equity Ratio
SOFI
0.47
Financial - Credit Services Industry
- Max
- 3.11
- Q3
- 2.17
- Median
- 1.11
- Q1
- 0.53
- Min
- 0.00
Falling into the lower quartile for the Financial - Credit Services industry, SOFI’s Debt-to-Equity Ratio of 0.47 points to a conservative financing strategy. This results in lower financial risk but potentially limits strategic investments compared to more leveraged competitors.
V
0.55
Financial - Credit Services Industry
- Max
- 3.11
- Q3
- 2.17
- Median
- 1.11
- Q1
- 0.53
- Min
- 0.00
V’s Debt-to-Equity Ratio of 0.55 is typical for the Financial - Credit Services industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
Interest Coverage Ratio
SOFI
0.29
Financial - Credit Services Industry
- Max
- 12.83
- Q3
- 6.98
- Median
- 1.74
- Q1
- 0.34
- Min
- -7.77
The Interest Coverage Ratio is often not a primary indicator of debt servicing capacity in the Financial - Credit Services industry.
V
43.24
Financial - Credit Services Industry
- Max
- 12.83
- Q3
- 6.98
- Median
- 1.74
- Q1
- 0.34
- Min
- -7.77
The Interest Coverage Ratio is often not a primary indicator of debt servicing capacity in the Financial - Credit Services industry.
Financial Strength at a Glance
| Symbol | SOFI | V |
|---|---|---|
| Current Ratio (TTM) | -- | 1.08 |
| Quick Ratio (TTM) | -- | 1.08 |
| Debt-to-Equity Ratio (TTM) | 0.47 | 0.55 |
| Debt-to-Asset Ratio (TTM) | 0.08 | 0.22 |
| Net Debt-to-EBITDA Ratio (TTM) | 2.69 | 0.35 |
| Interest Coverage Ratio (TTM) | 0.29 | 43.24 |
Growth
The following charts compare key year-over-year (YoY) growth metrics for SOFI and V. These metrics are based on the companies’ annual financial reports.
Revenue Growth (YoY)
EPS Growth (YoY)
Free Cash Flow Growth (YoY)
Dividend
Dividend Yield
SOFI
0.00%
Financial - Credit Services Industry
- Max
- 14.51%
- Q3
- 4.53%
- Median
- 0.95%
- Q1
- 0.00%
- Min
- 0.00%
SOFI currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.
V
0.67%
Financial - Credit Services Industry
- Max
- 14.51%
- Q3
- 4.53%
- Median
- 0.95%
- Q1
- 0.00%
- Min
- 0.00%
V’s Dividend Yield of 0.67% is consistent with its peers in the Financial - Credit Services industry, providing a dividend return that is standard for its sector.
Dividend Payout Ratio
SOFI
0.00%
Financial - Credit Services Industry
- Max
- 169.58%
- Q3
- 40.96%
- Median
- 15.77%
- Q1
- 0.00%
- Min
- 0.00%
SOFI has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.
V
22.28%
Financial - Credit Services Industry
- Max
- 169.58%
- Q3
- 40.96%
- Median
- 15.77%
- Q1
- 0.00%
- Min
- 0.00%
V’s Dividend Payout Ratio of 22.28% is within the typical range for the Financial - Credit Services industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
Dividend at a Glance
| Symbol | SOFI | V |
|---|---|---|
| Dividend Yield (TTM) | 0.00% | 0.67% |
| Dividend Payout Ratio (TTM) | 0.00% | 22.28% |
Valuation
Price-to-Earnings Ratio
SOFI
35.01
Financial - Credit Services Industry
- Max
- 46.96
- Q3
- 24.64
- Median
- 10.93
- Q1
- 8.04
- Min
- 1.15
A P/E Ratio of 35.01 places SOFI in the upper quartile for the Financial - Credit Services industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.
V
33.71
Financial - Credit Services Industry
- Max
- 46.96
- Q3
- 24.64
- Median
- 10.93
- Q1
- 8.04
- Min
- 1.15
A P/E Ratio of 33.71 places V in the upper quartile for the Financial - Credit Services industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.
Forward P/E to Growth Ratio
SOFI
0.54
Financial - Credit Services Industry
- Max
- 2.14
- Q3
- 1.31
- Median
- 0.76
- Q1
- 0.48
- Min
- 0.03
SOFI’s Forward PEG Ratio of 0.54 is within the middle range of its peers in the Financial - Credit Services industry. This suggests a reasonable balance between the stock’s price and its expected growth, aligning with sector valuation norms.
V
2.72
Financial - Credit Services Industry
- Max
- 2.14
- Q3
- 1.31
- Median
- 0.76
- Q1
- 0.48
- Min
- 0.03
V’s Forward PEG Ratio of 2.72 is exceptionally high for the Financial - Credit Services industry. This suggests its stock price is very high relative to its expected earnings growth, signaling significant overvaluation risk.
Price-to-Sales Ratio
SOFI
6.12
Financial - Credit Services Industry
- Max
- 3.80
- Q3
- 2.74
- Median
- 1.43
- Q1
- 0.75
- Min
- 0.28
The P/S Ratio is often not a primary valuation tool in the Financial - Credit Services industry.
V
17.72
Financial - Credit Services Industry
- Max
- 3.80
- Q3
- 2.74
- Median
- 1.43
- Q1
- 0.75
- Min
- 0.28
The P/S Ratio is often not a primary valuation tool in the Financial - Credit Services industry.
Price-to-Book Ratio
SOFI
2.53
Financial - Credit Services Industry
- Max
- 3.55
- Q3
- 2.50
- Median
- 1.14
- Q1
- 0.80
- Min
- 0.07
SOFI’s P/B Ratio of 2.53 is in the upper tier for the Financial - Credit Services industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.
V
17.63
Financial - Credit Services Industry
- Max
- 3.55
- Q3
- 2.50
- Median
- 1.14
- Q1
- 0.80
- Min
- 0.07
At 17.63, V’s P/B Ratio is at an extreme premium to the Financial - Credit Services industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.
Valuation at a Glance
| Symbol | SOFI | V |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | 35.01 | 33.71 |
| Forward PEG Ratio (TTM) | 0.54 | 2.72 |
| Price-to-Sales Ratio (P/S, TTM) | 6.12 | 17.72 |
| Price-to-Book Ratio (P/B, TTM) | 2.53 | 17.63 |
| Price-to-Free Cash Flow Ratio (P/FCF, TTM) | -8.40 | 32.50 |
| EV-to-EBITDA (TTM) | 46.08 | 26.15 |
| EV-to-Sales (TTM) | 6.50 | 17.96 |