SoFi Technologies, Inc.

Where It Passes

Where It Falls Short

• Profitability0% pass✓ 4✗ 31▾

  No clean pass — all 16 investors flag at least one profitability criterion

  Positive EPS (10 years)2/8 years positive

  ✗GrahamPositive EPS every year for 10 years

  EPS Growth (3-yr avg, 10-yr window)

  ✗Graham>= 33% growth

  Net Income Positive (10+ years)2/8 years positive

  ✗BuffettPositive every year for 10+ years

  ROE (up to 5-year arithmetic mean)-2.1%

  ✗Buffett> 15% arithmetic mean (app rule)

  Operating Margin (10-yr trend)

  ✗BuffettStable or rising over 10 years

  Free Cash Flow Proxy$481.3M

  ✓BuffettPositive and growing

  Earnings Variance (10-yr CoV)

  ✗BuffettCoV < 0.3

  Retained Earnings Effectiveness

  ✗Buffett$1 retained -> > $1 market value created

  Basic earnings-growth PEG (dividends excluded)P/E 39.5x (growth N/A)

  ✗Lynch< 1.0 (ideally < 0.5)

  3-5 Year EPS CAGR

  ✗Lynch15-30% (Fast Grower); > 0% to pass

  ROE6.5%

  ✗Lynch> 15%

  Net Income / Total Assets0.95%

  ✓PiotroskiROA > 0

  ROA Change YoY1.38% -> 0.95% (delta: -0.43%)

  ✗PiotroskiCurrent ROA > Prior ROA

  (CFO / Total Assets) vs ROACFO/Assets=-7.39%, ROA=0.95%

  ✗PiotroskiCFO/Assets > ROA

  Pre-Tax Income / Revenue147.1%

  ✓Dreman>= 8%

  Net Income / Shareholders' Equity6.5%

  ✗Dreman> 12%

  Return on Equity6.5%

  ✗Munger> 15%✗AkreROE > 20% (3-year avg)

  Margin of SafetyP/E=39.5x, P/TBV=2.2x

  ✗PabraiP/TBV < 1.5 or P/E < 15

  ROE (high and growing)FY2023: ROE=-5.7%; FY2024: ROE=7.6%; FY2025: ROE=4.6%

  ✗AkreLatest 3 consecutive FYs: ROE > 15% in each

  Discount to Intrinsic Value

  ✗Marks>= 20% below intrinsic value

  Positive Net Income Frequency2/7 years positive

  ✗MarksPositive net income in >= 7 of last 10 years

  Operating Income / Revenue

  ✗Ackman>= 15%

  Net Income / Shareholders Equity6.5%

  ✗Ackman>= 15%

  5-Year EPS CAGR

  ✗Templeton> 0% (5-year EPS CAGR)

  Operating Margin Trend

  ✗TempletonNon-negative operating-margin trend over 3 years

  Revenue growth vs. gross and operating margin trend

  ✗SleepRevenue rising; gross margin flat or falling; operating margin holding

  ROE (5-year)0/5 years above 12% (latest 4.6%)

  ✗SleepROE > 12% in a majority of years

  Net income / market capitalization+3.69%; #2142/6340 (top 33.8%)

  ✗AsnessTop 30% of eligible cross-section✗OshaughnessyTop 10% of eligible cross-section

  Gross profit / total assets+0.02%; #3472/3702 (top 93.8%)

  ✗AsnessTop 30% of eligible cross-section

  Net income / positive book equity+6.53%; #2279/5226 (top 43.6%)

  ✗AsnessTop 30% of eligible cross-section

  Negative 5-year standard deviation of ROA-0.0237; #1634/5884 (top 27.8%)

  ✓AsnessTop 30% of eligible cross-section

  3-5 Year Diluted EPS CAGR

  ✗Neff7%-20% annualized

  Positive Diluted-EPS Years2/7 years positive

  ✗Schloss>= 70% positive over 5-10 observed years (app rule)
• Valuation0% pass✓ 1✗ 25▾

  No clean pass — all 12 investors flag at least one valuation criterion

  Price / 3-yr avg EPS

  ✗Graham<= 15x

  Price-to-Tangible-Book Ratio2.2x

  ✗Graham<= 1.5x

  P/E x P/TBV

  ✗Graham<= 22.5

  Basic earnings-growth PEG (dividends excluded)P/E 39.5x (growth N/A)

  ✗Lynch< 1.0 (ideally < 0.5)

  Price / EPS39.5x

  ✗Dreman< 12x✗Templeton< 12x (fixed ceiling; proxy for the market's cheapest 40%)

  Price / (CFO / Shares)N/A (negative CFPS)

  ✗Dreman< 8x

  Price / Tangible Book Value per Share2.2x

  ✗Dreman< 1.2x✗SchlossP/TBV <= 1.00x (app cutoff)

  Valuation ReasonablenessP/E=39.5x, OE Yield=2.4%

  ✗MungerP/E < 25 or Owner Earnings Yield > 5%

  P/E or FCF YieldP/E=39.5x, FCF Yield=-19.9%

  ✗PabraiP/E < 15 or FCF Yield > 10%

  P/B or P/E vs. Historical AverageP/E=39.5x, P/B=1.9x

  ✓MarksP/E < 15 or P/B < 2.0

  Discount to Intrinsic Value

  ✗Marks>= 20% below intrinsic value

  Price / FCF per ShareN/A (negative FCF)

  ✗Ackman<= 25

  Price vs. Trailing Low133% of trailing low ($11.63)

  ✗Templeton<= 120% of trailing low (certified split-adjusted live window)

  Price / Book Value per Share1.9x

  ✗Templeton< 1.5x✗SchlossP/B <= 0.80x (app cutoff)

  Net income / market capitalization+3.69%; #2142/6340 (top 33.8%)

  ✗AsnessTop 30% of eligible cross-section✗OshaughnessyTop 10% of eligible cross-section

  Positive book equity / market capitalization+0.5644; #2629/6449 (top 40.8%)

  ✗AsnessTop 30% of eligible cross-section

  Price / Diluted EPS39.5x

  ✗NeffP/E <= 15x (app proxy for a P/E 40%-60% below the market)

  (EPS CAGR % + Dividend Yield %) / P/E

  ✗Neff> 0.7 (Neff's published traditional edge)

  Book Value per Share Change

  ✗SchlossLatest BVPS >= earliest BVPS over >= 3 years (app rule)

  Revenue / market capitalization+0.0308; #4692/5247 (top 89.4%)

  ✗OshaughnessyTop 10% of eligible cross-section

  (Operating cash flow - capex) / market capitalization-19.91%; #3516/4519 (top 77.8%)

  ✗OshaughnessyTop 10% of eligible cross-section

  Trailing six-month price return through the evaluation date-4.93%; #3129/6202 (top 50.5%)

  ✗OshaughnessyTop 10% of eligible cross-section
• Growth0% pass✓ 2✗ 10▾

  No clean pass — all 8 investors flag at least one growth criterion

  EPS Growth (3-yr avg, 10-yr window)

  ✗Graham>= 33% growth

  Basic earnings-growth PEG (dividends excluded)P/E 39.5x (growth N/A)

  ✗Lynch< 1.0 (ideally < 0.5)

  3-5 Year EPS CAGR

  ✗Lynch15-30% (Fast Grower); > 0% to pass

  EPS Growth Direction

  ✗DremanPositive over recent years

  EPS CAGR

  ✗Dreman> 5% annualized

  Positive Net Income Frequency2/7 years positive

  ✗MarksPositive net income in >= 7 of last 10 years

  3yr Median Revenue Growth19.4%

  ✓Ackman>= 5%

  Positive EPS Growth Frequency

  ✗AckmanPositive EPS growth in >= 3 of last 5 years

  5-Year EPS CAGR

  ✗Templeton> 0% (5-year EPS CAGR)

  Revenue growth vs. gross and operating margin trend

  ✗SleepRevenue rising; gross margin flat or falling; operating margin holding

  5-year Revenue CAGR43.1%

  ✓SleepCAGR > 7%

  3-5 Year Diluted EPS CAGR

  ✗Neff7%-20% annualized
• Efficiency0% pass✗ 3▾

  All 3 investors flag SOFI's efficiency

  Revenue / Total Assets Change YoY0.01x -> 0.01x

  ✗PiotroskiImproved YoY

  Reinvestment Rate x ROIC4.6% (RR=100% x ROIC=4.6%)

  ✗AkreReinvestment Rate * ROIC > 10%

  ROE (5-year)0/5 years above 12% (latest 4.6%)

  ✗SleepROE > 12% in a majority of years
• Verdicts0% pass✗ 15▾

  Split decision: 15 FAIL · 1 NEUTRAL

  Overall verdict

  ✗GrahamFAIL (1/7)✗BuffettFAIL (1/6)✗LynchFAIL (0/4)✗PiotroskiFAIL (F-Score 2)✗DremanFAIL (2/9)✗MungerFAIL (0/3)✗PabraiFAIL (0/3)✗AkreFAIL (0/5)✗MarksFAIL (1/4)✗AckmanFAIL (3/8)✗TempletonFAIL (2/8)✗SleepFAIL (1/6)✗AsnessFAIL (Rank #1646/2370 (Top 69.5%))✗NeffFAIL (1/6)✗SchlossFAIL (1/7)•OshaughnessyNEUTRAL (Not ranked)
• Valuation models0% pass✗ 3▾

  SOFI overvalued: all 3 models price fair value below $15.42 (median $7.86)

  Graham fair value$8.50

  ✗Graham-81.5% margin vs $15.42

  Buffett fair value$4.46

  ✗Buffett-245.7% margin vs $15.42

  Pabrai fair value$7.86

  ✗Pabrai-96.2% margin vs $15.42
• Cash Flow10% pass✓ 1✗ 11▾

  9 of 10 flag SOFI's cash flow — Lynch, Piotroski, Dreman +6 more

  Free Cash Flow Proxy$481.3M

  ✓BuffettPositive and growing

  FCF Positive and Growing$-4.0B

  ✗LynchPositive and growing

  Operating Cash Flow$-3.7B

  ✗PiotroskiCFO > 0

  (CFO / Total Assets) vs ROACFO/Assets=-7.39%, ROA=0.95%

  ✗PiotroskiCFO/Assets > ROA

  Price / (CFO / Shares)N/A (negative CFPS)

  ✗Dreman< 8x

  P/E or FCF YieldP/E=39.5x, FCF Yield=-19.9%

  ✗PabraiP/E < 15 or FCF Yield > 10%

  FCF Positive0/7 years FCF positive

  ✗MarksPositive FCF in majority of recent years

  (OCF - CapEx) / Market Cap-20.3%

  ✗Ackman>= 4%

  Price / FCF per ShareN/A (negative FCF)

  ✗Ackman<= 25

  Positive Operating Cash Flow frequency0/7 years positive

  ✗SleepPositive OCF in >= 70% of available years

  Operating Cash Flow - Capital Expenditures$-4.0B

  ✗Neff> $0 (app proxy for a strong fundamental case)

  (Operating cash flow - capex) / market capitalization-19.91%; #3516/4519 (top 77.8%)

  ✗OshaughnessyTop 10% of eligible cross-section
• Debt & Leverage50% pass✓ 3✗ 2▾

  2 of 4 pass — Asness and Schloss object

  LT Debt / Total Assets Change0.00% -> 0.00%

  ✓PiotroskiDecreased YoY

  Total Debt / Shareholders' Equity0.34

  ✓Templeton< 1.0 (fixed cap; proxy for below-sector-median leverage)✓SchlossD/E < 1.00x

  Negative debt-to-equity (higher means less debt)-0.3420; #2115/4210 (top 50.2%)

  ✗AsnessTop 30% of eligible cross-section

  Current Assets / Current Liabilities

  ✗SchlossCurrent ratio >= 1.50x (app cutoff)