SoFi's Remarkable Improvement in This Metric Shows Why It May Be a Smart Buy Right Now
Following a brutal year for most unprofitable yet theoretically promising stocks, it has never been more critical for businesses to show a clear path to profitability for investors. With stock-based compensation (SBC) and adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) figures running amok, income based on generally accepted accounting principles (GAAP) has come back into vogue.
SoFi Technologies (NASDAQ: SOFI), which offers diversified digital finance products, is hoping to highlight its impending GAAP profitability. While optimism around SoFi's stock is nothing new, GAAP profits would be a boon for the young upstart.
Already delivering the goods in terms of high revenue growth, let's see why the company's improving net income margin could send its share price skyward.
Source Fool.com
