Better Buy: SoFi Stock or Nu Stock?
Fintech continues to become a way of life for many people around the world who rely on smartphones and digital technology to run their finances and make purchases. While it's already the norm, in many ways fintech companies are just cracking open long-term opportunities in banking, investing, shopping, and myriad other financial activities.
SoFi Technologies (NASDAQ: SOFI) and Nu Holdings (NYSE: NU) are two of the hottest fintech stocks. There's a lot to like about both, and they each come with their own set of risks. Which one is the better buy today?
SoFi has made the jump from niche fintech player to fully loaded online financial services provider. That's no easy feat in the competitive arena of digital banking. Investors who bought into its potential early haven't necessarily been rewarded, though. SoFi stock burst onto the investing scene with a high valuation at the end of a bull market, and it's off 68% from its highs just after its initial public offering (IPO). It's a good illustration of the risks associated with buying an IPO stock.
Source Fool.com
