SoFi Stock Drops After Muddy Waters Alleges Accounting Red Flags

SoFi Technologies Inc (NASDAQ: SOFI) experienced a 1.47% decline in stock price, closing at $17.37, following a report from Muddy Waters Research alleging significant accounting irregularities. The report claims that SoFi's projected 2025 Adjusted EBITDA of $1,054 million is inflated by approximately 90%, suggesting a more accurate figure of only $103 million. Additionally, it questions the company's reported personal loan charge-off rate, asserting it is more than double the reported figure, and highlights at least $312 million in unreported borrowings.