Best Year In Company History. Stock Down 30%

SoFi (SOFI) just had the best operating year in its history, and the stock is down 30%.

They reported in July with revenue up 42% to $1.2 billion, record loan originations of $14.8 billion, and earnings of 12 cents against 11 cents expected. Then they raised full-year guidance on top of it.

The stock spent the year going nowhere, even as the business went vertical.

That gap has started closing over the past two weeks.

SoFi became the first nationally chartered bank in the country to offer crypto trading, and they launched their own stablecoin. SoFiUSD, backed by their banking arm, and they've already started settling their own trading business in it.

Which is a strange asset to be sitting on at the exact moment Washington can't stop talking about stablecoin legislation.

So, this thing has been trading with the crypto complex all week, up 6% one session, up 5% another, up again yesterday on the stablecoin trade. Piper Sandler initiated coverage on the 17th with a $22 target and said the rebound has only just begun.

The chart is where it gets clean.

$19 has capped it four of the last five sessions. Every time it gets there, sellers show up and knock it back.

The options market is betting that ends. There's been real activity in the September $20 calls, and that's not a position you take if you think this stays stuck at $19.

$20 matters on its own too. That was the level that stopped SoFi back in April, so you've got round-number resistance sitting directly above the level it's fighting now.

And this one has room to work.