As young growth stock, SoFi Technologies (NASDAQ:SOFI) has had a few difficult weeks. SOFI stock dropped to nearly $12 on Jan. 18. It’s down  and is down more than 21% in the past six months.

The stock market sell-off has been very difficult for companies, but it is important to look beyond and keep going. For long-term gains, it is essential to look beyond the volatility and take your picks. Smart investors can identify the right stocks at the right time. 

SoFi traded at $19 in January 2021 and hit $25 in February. It then dipped to $15 in April and rose to $23 in June. After hitting $23 in November, the stock has been consistently falling.

I believe SOFI stock has the potential to hit $20 again and this dip is a solid chance to buy. The current sell-off may be gut-wrenching, but it is a chance to add the right tech stocks to your portfolio.

Let’s take a look two reasons why SoFi can rise again.

Massive Growth Potential

SoFi has a growth story of its own. What started as a student loan refinancing program has grown by leaps and bounds. The company has expanded its portfolio and built three business segments including lending, financial services and technology.

Investors must keep in mind that no matter what happens, the need for tech and finance is never going to end. We have gotten used to having technology handle our finances and SoFi offers a one-stop solution for all. Whether you need a home loan, student loan or are considering an investment, you only need SoFi. This is the reason why SoFi is highly popular today.

The company posted $621 million in revenue in 2020 and has projected $1 billion for 2021. This is a huge growth for the company and if it manages to hit the projected number, it will work in favor of the company. The numbers show that its personal loans business and home loan volumes are growing. 

Galileo Is a Long-Term Bet

Besides the various lending products, SoFi has Galileo, which will become a long-term revenue-generating machine. It allows the upcoming fintech firms to manage operations easily with the payment platform. As the demand for fintech grows, more companies will be keen on using Galileo to manage operations effectively. 

Through Galileo, SoFi managed to diversify the product line and created a consistent revenue source. Galileo helps fintech launch financial services including bank accounts and credit cards.

The fintech industry was concerned about the timing of the deal since there was a global downturn due to the pandemic but SoFi has managed to make the most of the deal. It has reported strong revenues and sales through Galileo in no time. The sales in Galileo saw an 80% year-over-year rise in the third quarter and I believe it will report more rapid growth in the fourth quarter.

The Bottom Line on SOFI Stock

SoFi Technologies has managed to grow slowly but steadily. It has a wide product portfolio and the year-over-year growth numbers are impressive. The stock is appealing at the current level as it is much lower than the highs it was once trading at. The company has a product portfolio that fulfils the needs of the users today. 

SoFi offers high growth potential, a successful fintech product, and solid revenue growth at a discounted price. Add the stock to your portfolio before the fourth-quarter results.

You may have to hold the stock for a couple of months before you see a rebound but the fintech will certainly reap returns in the long term. 

On the date of publication, Vandita Jadeja did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.

Vandita Jadeja is a CPA and a freelance financial copywriter who loves to read and write about stocks. She believes in buying and holding for long-term gains. Her knowledge of words and numbers helps her write clear stock analysis.