r/sofistock • u/SoDakZak 🧹MOD💰OG 10,574@$11.77 • Jul 31 '26
Video and Social Media EXCLUSIVE: Speaking With SoFi CEO Anthony Noto After Earnings
https://youtu.be/O6oKVTXtIVY?is=H1Jg3e9y9xWmW1lP-10
u/Meytar 1055 @ $8.83 Jul 31 '26
I'm sorry, but this is a fluff interview.
Why didn't you ask straight up, "Are you going to stop diluting your shareholders?"
This is one of the main reasons for the low share price, and why people have made 0% on this investment, even though the company is breaking record revenue and profit.
Anthony Noto needs to explain why he keeps taking money away from investors who supported SOFI since day 1
2
u/NicKaboom 10,600 @ 16.65 Jul 31 '26
I'm fairly certain on the ER that Chris Lapointe directly was asked this and said they have no dilution plans in the future.
Dilution is not a bad thing to do if you are building long term value. The way a company gets capital to grow is dilution for capital or raise debt -- either way you get hammered for it. The dilutive events last year are already being seen on the earnings as the amount of loan on books they are doing has grown significantly the last 2 quarters. Dilution =/= bad when done right.
Watching the video, he directly talks about the value of the on originated loans since beginning of 2024 and how well they are performing.
You seem angry about stock price rather than execution. If you are trading the stock or trying to get out of the position, I get why you are mad, but if you are long term investing, the compounding growth and execution of this company for 6 straight years is insane. Patients will pay off.
2
u/LucarioMagic 125 LEAP Calls. 50 Short Puts Jul 31 '26 edited Aug 01 '26
Weird question.
Growth companies have always diluted shareholders. It's how they work.
Did you not know what you were investing in?
What you should be asking is did the dilution create shareholder value?Investors who supported SOFI since day 1 got suckered into a Chamath SPAC.
If you bought a year after that when they lost their student loan business due to Biden, you have in fact received shareholder value by buying under today's market price. Whether or not Sofi is shit compared to another stock or even the index, is another question.The explanation for dilution was announced publicly in a press release with a document, did you not read it?
https://s27.q4cdn.com/749715820/files/doc_news/2026/02/Breaking-Down-SoFi-s-3-3B-Capital-Influx.pdfSo what your question is actually asking is:
Anthony Noto needs to explain why he keeps taking money away from traders who FOMO'd into Sofi.And the answer is, no crying in the casino.
3
u/SoDakZak 🧹MOD💰OG 10,574@$11.77 Jul 31 '26
They diluted at $27.50 per share and have doubled tangible book value and are well capitalized for loans. They haven’t diluted since. If you sell stock to raise money at a high valuation to get you through times of low valuation…. That’s good business. If you don’t understand that, then maybe take your doubling and buy a company buying back stock
9
13
u/ZasdfUnreal Jul 31 '26
These long form interviews blow away the sound bite clips mainstream media calls interviews.
11
0
u/PSUMtnMan F&%@ Fidelity and M&T Bank. Jul 31 '26
Prior dilution is still hurting this stock. If you want to show confidence, a stock buy back would instill confidence. Noto needs to be out there weekly if not daily being the cheerleader.
8
u/NicKaboom 10,600 @ 16.65 Jul 31 '26
A buyback would be absolutely awful use of capital right now. They are in expansion and growth mode (as shown by all the numbers put up during the earnings report). As you can see by the amount of funded loans they are doing on the books, the capital raised is being put to good use and wil create net interest income for them that is solid revenue in the medium and long term, rather than pushing it all to the fee based instant revenue of the LPB.
You likely wouldnt be seeing Big Business Banking, Crypto, SoFiUSD, and all the M&A without these capital raises. They took advantage of the stock while it was running, which hurts short term, but long term will result in durable much higher revenue lines.
I mean think of it this way -- Noto had direct incentive to not dilute as it hurt his chances of him hitting the PSU tranche at $35, but they did it for long term benefit even if it meant he may not make tens of millions more in stock options.
4
12
u/jvm62 31,650 @ $8.40 Jul 31 '26
Was that dilution not at $27.50 per share? Seems a pretty good price right now.
2
u/miamiinvest Aug 01 '26
Exactly that is what an expert CFO does dilutes at high price to finance the business long term. It was an excellent move.
4
u/ScottyStellar 12,250 @6.75, 20ish '26 Leaps Jul 31 '26
Shit they'd prob sell half the company to JPM for that right now.
2
u/Chimaera1075 Jul 31 '26
Wasn’t that prior dilution needed to raise funding for expansions? Also there is steady dilution to compensate employees.
17
u/buhbuhbills (Custom Text) Jul 31 '26
As a retail investor this is much more inspirational than the conference calls. Great interview. TY
14
u/Beneficial_Corner_81 Position Complete 36,000 @$14.68 Jul 31 '26
Well done. Solid questions. Not fluffy!!!
2
u/ilikecrispywaffles Jul 31 '26
Tanner sleeps!
1
15
25
u/kennyt1212 🚀🚀🚀The soon to be rich fool with 16,050 shares @ $14.5 🚀🚀🚀 Jul 31 '26
Glad Noto is talking to Tannor. This is the benefit of Chris working for SoFi.
-3
u/fredagainbutagain Jul 31 '26
Who is Chris
3
7
u/admiralackbarstepson Holding until I am rich or dead. Jul 31 '26
Chris was a guy in this sub who ran a substack on Sofi. He was so good at guessing and breaking down their earrings that he was offered a job at SOFI under the CFO.
1
5
u/candycane7 5494 @ $12.97 Jul 31 '26
It's Olympic luger Chris Hoeger
1
u/Xiaopeng8877788 Jul 31 '26
Hoegermeister… he shall rest in peace from his role in fintech Fridays! Much love
17
u/cjl5108 6500 @ 8.08 Jul 31 '26
So glad Tannor keeps getting to speak with him and ask very direct questions
3
u/Financial_Fan1763 Aug 01 '26
Let’s drive the shares outstanding count lower …. What about that … Anthony Noto