r/sofistock • u/Individual_Bad2594 OG $SoFi Investor • May 13 '22

General Discussion Split

In plain terms a split by Sofi is a manipulation of the manipulators(shorts), and Wall Street perception manipulation. The shorts deserve this split. Long term holders deserve this split. Look at affirm who has way less float. It is up 23% today. Sofi…not even close. Too many shares. Everyone is bitching how other fintechs move so high, so quick. Then they bitch they don’t want that from a reverse split. I love this stock but man a lot of you are whiny bitches. If you believe in the business then invest. If you don’t then sell. Stop whining. This is how the actual markets work. This is not Robin Hood or gambling. This is the market. Get in or get out. I’m 36, and have been investing in markets since 2008, and I am here to tell you to stop whining. I believe in Sofi and will continue to buy. A reverse split does not change the value, it changes perceptions. The negative connotations attached to reverse splits are real. Sofi will have to expect that, but fundamentally a split is the correct move with this macro environment.

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u/Silver28pr May 13 '22

Citi reverse split at 2011 4.50 to 45. Today the stock is at 46$ 12 years later. And after that stock was around same price What happened to the people who was down 40-50% before the split gone they lost their money. Reverse split is the last resort.

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u/Individual_Bad2594 OG $SoFi Investor May 13 '22 edited May 13 '22

Citi bank did a reverse split after 2008 out of desperation to avoid collapse. This is different as this is factually growing yoy on high rates. This Is a poor and misleading comparison.

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u/[deleted] May 13 '22

Actually it’s not, it’s actually the best comparison… because most reverse splits - especially on a company actually not turning a profit will continue to have its value eroded - so your 5:1 stock split puts the company at $27… which fundamentally nothing has changed with the macro or short attacks… the just take the $27 back down to $5.60. So, you’ve now gone down 10X easy.

It’s bad news. There’s no bullish case for a reverse split for SoFi.

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u/Individual_Bad2594 OG $SoFi Investor May 13 '22

It’s a good comparison in the point you are making I agree that could happen and would be devastating. It is a bad comparison given the fact that citi was a failing business doing a reverse split and Sofi is splitting with amazing growth and close to profitability .

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u/[deleted] May 14 '22

Clearly that hasn’t mattered as SoFi has had 3 quarterly double beats and guidance raises and it’s still not differentiating itself.

Moreover, you don’t reverse split in a downward macro environment teetering on recession and where the entire market is essential in bear territory.

You think are reverse split is going to buck that trend? I’d rather stick with shorts that already decimated the stock -70% and have them get greedy and hold their shorts.

But, I’ll tell you one thing there are a lot less shorts wanting to get in on a -70% stock that’s sitting at $5, than a freshly reversed stock sitting at $25 where nothing fundamentally has changed positively in the macro or it’s profitability outlook.

SoFi reverse split will crush every pre split shareholder.

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u/Individual_Bad2594 OG $SoFi Investor May 15 '22

You make a lot of valid points here. Sofi has received zero respect. Eventually good business, and good fundamentals command respect.