In the ever-evolving digital finance landscape, two fintech giants—Robinhood and SoFi—continue to battle for dominance. As of Q1 2025, the two companies present sharply contrasting trajectories in growth, profitability, valuation, and investor confidence. Below is a comprehensive breakdown of their latest performance based on key financial and operational metrics.

Revenue Growth – Robinhood Accelerates While SoFi Stabilizes

Robinhood has demonstrated a robust recovery in revenue growth, especially from 2023 onward, with clear momentum into the last twelve months (LTM). In contrast, SoFi, which saw impressive gains in 2021 and 2022, has since plateaued, entering a more stagnant growth phase.

Share Dilution – Robinhood Maintains Discipline, SoFi Expands

One of the more striking disparities lies in share dilution. Robinhood has largely refrained from issuing new equity since 2022, helping preserve shareholder value. Meanwhile, SoFi continues to increase its outstanding share count annually, potentially diluting existing investors and raising concerns about long-term capital efficiency.

Adjusted EBITDA – Robinhood Turns the Corner

When it comes to adjusted EBITDA, Robinhood has made a sharp turnaround. After periods of negative margins, the company has returned to positive territory and continues improving. SoFi, on the other hand, has seen a decline in profitability, showing weaker performance in the latest data.

Stock Performance – Robinhood Surges +161% Since IPO

Robinhood’s stock has soared 161% since its IPO, outperforming SoFi, which gained a more modest 70%. The recent spike in Robinhood’s share price reflects renewed investor confidence, whereas SoFi’s stock shows a more restrained trajectory with limited momentum.

Valuation – Robinhood Trades at a Premium

On a forward-looking price-to-free-cash-flow (P/FCF) basis, Robinhood trades at a premium multiple of 65x, compared to 29x for SoFi. While this indicates higher investor expectations for Robinhood’s future growth, it also suggests greater sensitivity to any operational or market hiccups.

Balance Sheet Strength – Robinhood Outshines on Leverage

Robinhood continues to improve its debt-to-equity ratio, now maintaining a notably leaner balance sheet with less than 40% leverage. In contrast, SoFi remains heavily leveraged, which could limit its ability to scale or withstand market volatility.

Operating Margins – Robinhood Leads in Efficiency

Across both gross and EBITDA margins, Robinhood clearly outperforms SoFi. Its business model demonstrates stronger operational leverage and cost control, making it a more efficient operator in today’s competitive fintech environment.

Return on Equity – From Losses to Profitability

Robinhood’s return on equity (ROE) has transitioned from negative territory to consistent positive returns over the past two years. SoFi is also improving, but at a much slower pace, suggesting Robinhood’s ability to deliver shareholder value more rapidly.

Outlook – Robinhood Pulls Ahead

While both companies remain active players in the fintech ecosystem, Robinhood is clearly gaining the upper hand. With superior revenue momentum, tighter capital discipline, improved margins, and stronger stock performance, Robinhood appears to be positioning itself as the more compelling investment case in 2025. SoFi still has long-term potential, but its current financial profile trails behind on nearly every key metric.