HOOD vs SOFI: How Robinhood Markets and SoFi Technologies Compare (2026)
Last updated July 2026
Short answer
HOOD is the larger of the two ($97.84B market cap): the incumbent the market prices for continued execution (36.67x forward earnings, beta 2.35). SOFI is the smaller challenger ($23.16B), cheaper on forward earnings (22.21x): more room to run, but more to prove. The real question is which set of drivers you believe, and whether owning one (or both) leaves you over-concentrated.
HOOD vs SOFI: the tie-breaker metrics
Same yardstick, side by side (as of July 2026). Valuation lined up like this is most meaningful for two names in the same corner of the market, which these are. Figures are approximate; verify before investing.
| Metric | HOOD | SOFI | What it tells you |
|---|---|---|---|
| Market cap | $97.84B | $23.16B | Size. The larger name is the incumbent; the smaller has more room to grow and more to prove. |
| Forward P/E | 36.67 | 22.21 | Valuation on next year's expected earnings, the same yardstick for both. Lower is cheaper for that growth; higher means the market is paying up. |
| Trailing P/E | 52.74 | 40.12 | Valuation on the last 12 months. A big drop from trailing to forward means the market expects earnings to jump, so more growth is already in the price. |
| Beta | 2.35 | 2.15 | Volatility vs the market. Above 1 swings harder than the index; below 1 is steadier. Higher beta means bigger drawdowns to hold through. |
| Price vs 52-week range | 50% of range | 18% of range | Where today's price sits between the 52-week low and high. Near the high is momentum with less margin of safety; near the low is out of favor or a discount, depending on why. |
| Price / book | 10.51 | 2.14 | How much you pay over book value. Very high can signal an asset-light, high-return business or a rich price. |
Reading it: SOFI is the cheaper of the two on forward earnings, but cheaper is not the same as better. Pair the valuation with growth (how far the forward P/E sits below the trailing P/E) and risk (beta) before you decide.
Before you buy: how HOOD and SOFI affect your concentration
The metrics above tell you which is the marginally better business. The bigger risk for most people is not picking the slightly worse stock, it is over-concentrating. HOOD and SOFI share themes, so owning both, or adding either to what you already hold, can quietly push a large share of your portfolio into one bet.
This is the part a generic comparison page cannot answer, because it depends on what you own. Connect your brokerage and Walnut shows your real, combined HOOD and SOFI exposure, flags overlap with your existing positions, and tells you if adding one would tip you past a concentration you are comfortable with, read-only by default, with your login staying at your broker. Walnut is not an investment adviser.
What does Robinhood Markets (HOOD) do?
Robinhood Markets (HOOD) is a financial-technology company best known for its commission-free trading app that popularized zero-commission stock investing among younger, first-time investors. Through its app, customers trade stocks, ETFs, options, and cryptocurrency, and the company has expanded into retirement accounts, a cash and debit card product, a premium Robinhood Gold subscription, and a securities-lending and yield offering. Robinhood makes money in several ways: payment for order flow and transaction-based revenue from equities, options, and crypto trading; net interest income on customer cash, margin lending, and securities lending; and subscription revenue from Gold. Its results are sensitive to trading activity, especially in options and crypto, and to interest rates, which drive its net interest income. Founded in the 2010s and headquartered in the US, Robinhood went public in 2021. It is widely viewed as a high-growth, higher-volatility consumer fintech leveraged to retail-investor engagement, market activity, and the broader adoption of investing and crypto among younger users.
What does SoFi Technologies (SOFI) do?
SoFi Technologies is a digital-first financial services company built around a mobile app that bundles lending, banking, investing, and credit cards, and it holds a national bank charter that lets it fund loans with lower-cost deposits. Its three reporting segments are Lending (personal, student, and home loans), Financial Services (checking and savings, SoFi Money, invest, credit card, and the Loan Platform Business that originates loans on behalf of partners), and the Technology Platform (Galileo and the Technisys core-banking stack, which provide payments and banking rails to other fintechs and brands). Total members reached roughly 14.7 million and total products about 22.2 million as of Q1 2026.
HOOD vs SOFI: how do they differ?
Both fit overlapping themes, but they are not interchangeable. The useful comparison is which set of drivers and risks you want exposure to.
- HOOD drivers: Growing customer base and products; Net interest income.
- SOFI drivers: Member and product growth flywheel; Shift to fee-based, capital-light revenue.
Which fits which kind of investor
A faster-growing, richer-valued name usually swings harder, so it suits a longer horizon and a higher tolerance for volatility; a steadier, more cash-generative business suits a more conservative or income-minded investor. The honest test is which set of risks you could hold through a drawdown: Robinhood's transaction-based revenue is sensitive to retail trading activity, which can fall sharply when markets quiet down, hurting results. For SOFI, soFi carries meaningful consumer-credit exposure, so a weaker economy or rising unemployment could lift charge-offs on personal and student loans and pressure earnings.
HOOD or SOFI: which should you pick?
Growth-minded investors who believe the theme has years to run tend to accept the richer multiple for more upside; value-minded investors lean toward the cheaper forward earnings and steadier profile. Pick HOOD if you believe its drivers more; SOFI if you believe its. Many investors hold both, but since they share themes, that is a concentrated bet, not diversification. Decide deliberately and check overlap. For the full detail, see the HOOD and SOFI guides.
HOOD vs SOFI: the full fundamentals
HOOD. Robinhood is valued as a high-growth consumer fintech rather than a mature broker, so its multiple is often elevated and tied to growth in customers, balances, and trading activity. Earnings can swing meaningfully with retail trading volume (especially options and crypto) and with interest rates that drive net interest income. The stock tends to trade on engagement and growth trends as much as trailing fundamentals. Figures are approximate and move with results and the share price; verify current numbers before relying on them.
SOFI. SoFi trades at a clear premium to the consumer-finance industry, where forward P/E averages closer to 10x, reflecting expectations of continued 30-percent-range revenue growth. Full-year 2026 guidance points to adjusted net revenue of roughly $4.655 billion and adjusted EPS near 60 cents. The valuation embeds strong execution, so figures should be checked against the latest filings.
Headline figures (approximate, early 2026): HOOD shows revenue (ttm) ~$3 billion (varies with trading activity), revenue mix transaction-based, net interest income, and subscriptions, net interest income substantial, sensitive to interest rates and balances, net income swings with trading activity and rates; profitable in active markets; SOFI shows revenue (ttm) ~$3.9 billion, q1 2026 net revenue ~$1.1 billion (adj. +41% YoY), net income (ttm) ~$577 million, market cap ~$22 billion.
The bottom line: HOOD vs SOFI
HOOD and SOFI are related but distinct: same themes, different businesses and risks. Neither wins in the abstract; the right pick is whichever thesis you actually believe, sized so you are not over-concentrated in one theme. Walnut can show your combined HOOD and SOFI exposure against your real portfolio. It is not an investment adviser.
Build a basket around HOOD with Walnut
Use Robinhood Markets as one constituent in a thematic basket Walnut's AI helps you assemble. Describe a thesis you believe in, the AI proposes the holdings and weights, and you approve before any broker order.
FAQ
What is the difference between HOOD and SOFI?
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Robinhood Markets (HOOD) is a financial-technology company best known for its commission-free trading app that popularized zero-commission stock investing among younger, first-time investors. SoFi Technologies is a digital-first financial services company built around a mobile app that bundles lending, banking, investing, and credit cards, and it holds a national bank charter that lets it fund loans with lower-cost deposits. They show up together because they share investment themes, but they are different businesses, so the better fit depends on which thesis you are expressing.
Is HOOD or SOFI the better stock?
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Neither is universally better. HOOD is the larger incumbent; SOFI is the smaller challenger and looks cheaper on forward earnings. Walnut is informational, not investment advice. Compare what each does, the tie-breaker metrics above, and the risks, then decide which fits your thesis and what you already own.
Which is cheaper, HOOD or SOFI?
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On forward P/E (as of July 2026), HOOD trades at 36.67x and SOFI at 22.21x, so SOFI is the cheaper of the two on next year's expected earnings. A lower multiple is not automatically the better buy: a richer valuation can be justified by faster growth, and a lower one can reflect real risk. Weigh the multiple against how fast each business is compounding.
Should you own both HOOD and SOFI?
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Because they share themes, owning both concentrates you in that theme. That can be intentional (a focused bet) or accidental (less diversification than it looks). Walnut can show your combined exposure across both, and whether adding either over-concentrates you, before you buy.
What are the risks of HOOD vs SOFI?
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HOOD: Robinhood's transaction-based revenue is sensitive to retail trading activity, which can fall sharply when markets quiet down, hurting results. It relies meaningfully on payment for order flow, a practice that has drawn regulatory scrutiny and could face restrictions. Net interest income depends on interest rates, which can decline. The company faces regulatory and legal risk, competition from established low-cost brokers and other fintech apps, and reputational risk from past outages and controversies. Crypto exposure adds volatility and regulatory uncertainty. It is a higher-volatility, activity-driven stock, not a defensive holding. SOFI: SoFi carries meaningful consumer-credit exposure, so a weaker economy or rising unemployment could lift charge-offs on personal and student loans and pressure earnings. The stock trades at a premium to consumer-finance peers (a trailing P/E in the roughly 40 range), which leaves little room for growth disappointment or margin compression. Technology Platform growth has at times been slower than hoped, and heavy reliance on lending revenue means interest-rate swings and funding costs matter. Regulatory scrutiny of fintech banking, competition from large banks and other neobanks, and execution risk on new partnerships round out the picture.
Walnut is informational, not investment advice. This page is descriptive and not a recommendation to buy or sell HOOD or SOFI; figures are approximate and dated (as of July 2026). Verify current data before investing.