SoFi Technologies (NASDAQ: SOFI) has been living under Wall Street’s microscope since its 2021 SPAC merger. It spent three years proving the skeptics wrong and finally rattled off six straight profitable quarters, capped by record Q1 2025 numbers.
Chime Financial (NASDAQ: CHYM), in contrast, only rang the Nasdaq bell on June 12, 2025 when shares popped 37% intraday, and briefly valued the company at $18 billion, before slipping back to the high‑$20s as IPO adrenaline wore off.
What each company actually does to earn a dollar
| Metric (FY 2024) | Chime | SoFi |
|---|---|---|
| Revenue | $1.67 B | $3.06 B |
| Core monetization | 72% debit & credit interchange | 59% net interest, 41% fee‑based |
| Active users/members | 8.6 M | 10.9 M |
| Q1 2025 net income | +$12.9 M | +$71 M |
Chime partners with two “Durbin‑exempt” sponsor banks whose assets under $10 billion, so it can collect ~0.95% debit‑card interchange instead of the ~0.30% big banks receive.
Every time a customer pays for pizza, Chime pockets a piece of the interchange pie, minus processing and fraud costs, and it’s one of the reasons Q1 revenue jumped 32% to $519 million with no credit risk for now.
SoFi has a revenue flywheel that is akin to a mini JPMorgan in a smartphone thanks to a plethora of products including loans, checking, brokerage, and robo‑advisor. Via its Galileo and Technisys subsidiaries, the embedded‑finance rails that power other fintechs.
Fee‑based revenue exploded 67% year over year to $315 million last quarter, lifting adjusted EBITDA margin to 27%. Deposits rocketed to $27.3 billion, letting SoFi fund loans at just 2.9% while charging consumers 11‑plus percent, all without the interchange‑cap headache.
Profitability inflection points
SoFi crossed into GAAP profitability in Q4 2024 and logged $71 million of net income in Q1 2025, its sixth profitable quarter. Management now guides to $875‑$895 million in 2025 adjusted EBITDA on $3.23‑$3.31 billion revenue.
Chime squeaked out $12.9 million in Q1 net income, its first quarterly black ink ever, after trimming customer‑acquisition spend and monetizing its secured credit‑builder card.
Bulls argue that scaling users from 8.6 million to SoFi‑like territory could drop disproportionately to the bottom line because the marginal cost of another swipe is close to zero.
Which Multiple Makes More Sense?
| CHYM | SOFI | |
|---|---|---|
| Price (as of 6/28/25 close) | $33.06 | $17.18 |
| Implied market cap | ~$12 B | ~$19 B |
| FY 2025E revenue multiple | ~5.5× | ~5.8× |
| FY 2026E P/E (consensus) | n/a | ~33× |
Chime and SoFi trade at eerily similar sales multiples, but only SoFi has analyst follow‑through on EPS estimates, Wall Street still needs a few quarters of Chime reports before publishing forward earnings models.
Skeptics point to SoFi’s 42‑ish trailing P/E as “expensive,” but that figure collapses to the low‑30s on next year’s estimates as operating leverage kicks in.
By contrast, Chime bulls are betting the IPO haircut, a 54% discount to its 2021 private valuation, plants the seeds for multiple expansion once profitability looks durable.
Key Risks You Cannot Gloss Over
There is a risk of an interchange cliff for Chime, especially in the event that either sponsor bank’s assets rise above $10 billion, or Congress tweaks Durbin II. Chime’s unit economics could compress by ~70 basis points overnight. Management stresses it can juggle volumes across sponsors, but that maneuver grows harder as deposits swell.
For SoFi, credit‑cycle exposure poses a threat because roughly 59% of revenue still comes from personal, student, and home loans. A spike in unemployment could lift charge‑offs beyond the current 3.3% rate and kneecap earnings momentum. SoFi counters that 90% of deposits are direct‑deposit customers, historically stickier and higher‑FICO than peers, but macro risk never fully disappears.
Share unlocks and dilution are a worry for long-term holders. Chime insiders own over 75% of Class B shares with 10× voting power. Secondary offerings could hit as early as December. SoFi, meanwhile, has an at‑the‑market equity program that periodically adds float to fund growth and regulatory capital.
The Reg‑tech arms race is cut-throad and both firms must keep regulators convinced their compliance stacks can scale as fast as user growth. SoFi spent $1.1 billion to buy Technisys partly to shore up that muscle; Chime now faces the identical build‑or‑buy dilemma.
Catalysts Worth Watching
| Company | Near‑term catalyst | Why it matters |
|---|---|---|
| SOFI | Launch of enterprise “bank‑in‑a‑box” on Technisys | Converts Galileo clients into deep platform customers, adds high‑margin SaaS revenue |
| SOFI | First dividend or buyback authorization (management hinted post‑2025) | Signals confidence in steady GAAP profits, broadens investor base |
| CHYM | Q2 earnings (Aug 2025) | First look at post‑IPO marketing spend and whether Q1 profit was a blip or trend |
| CHYM | Potential secured personal‑loan pilot | Moves beyond interchange reliance, tests credit‑underwriting chops |
Chime vs SoFi Stock
For investors craving liquidity, strong guidance, and a business model that gets stronger in a lower‑rate world, SoFi still looks like the steadier compounder. The deposit engine lowers funding costs, the tech platform creates SaaS‑like margins, and the valuation already bakes in a realistic forward P/E in the mid‑30s.
For asymmetric upside those who can stomach a regulatory razor’s edge, Chime offers the fresher growth curve. Its interchange economics are stunning, transaction margin ran 67% last quarter, and the IPO discount leaves room for multiple expansion if management proves profits can scale without Durbin magic.
One potential is to favor SoFi as a core holding for predictable compounding, diversified revenue, and clearer guidance.
Meanwhile a satellite bet is to layer Chime on top for high‑octane growth potential, sizing the position small enough that a regulatory rug‑pull won’t wreck the portfolio.
Fintech remains a knife‑fight against megabanks and fast‑moving regulations. Owning both tickers, weighted toward the one that matches your risk budget, may be the smartest way to capture this neobank revolution without losing sleep.
The real edge is in understanding why a business wins customers year after year. On that score, SoFi’s flywheel already hums, while Chime’s engine just roared to life on public markets.
The author has no position in any of the stocks mentioned. Financhill has a disclosure policy. This post may contain affiliate links or links from our sponsors.