Great article. Great quarter. Re SBC - I think it makes sense that they would issue a bunch of stock with the shares beaten down over the last two years. Most of the previous SBC is underwater and won't pay off for employees although still has to be expensed. So reloading the employees for the next leg up makes sense and is fairly standard for tech companies.
Thanks for your take on SBC. I was a bit upset when I first read about increased SBC and how it's going to drag on earnings. Actually, I'm still not thrilled about it.
I work in a tech company and am part of SBC. Its fairly standard for companies to re-issue stocks but its generally a practice that is limited to Stock Options rather than Stock Units. Considering SoFi has Units based compensation, it bothers me. Specially because it will literally slow their growth due to Cap Ratios hitting sometime in first half of next year.
Great article. Great quarter. Re SBC - I think it makes sense that they would issue a bunch of stock with the shares beaten down over the last two years. Most of the previous SBC is underwater and won't pay off for employees although still has to be expensed. So reloading the employees for the next leg up makes sense and is fairly standard for tech companies.
Thanks for your take on SBC. I was a bit upset when I first read about increased SBC and how it's going to drag on earnings. Actually, I'm still not thrilled about it.
I work in a tech company and am part of SBC. Its fairly standard for companies to re-issue stocks but its generally a practice that is limited to Stock Options rather than Stock Units. Considering SoFi has Units based compensation, it bothers me. Specially because it will literally slow their growth due to Cap Ratios hitting sometime in first half of next year.
Thank you for the article, Chris.
Q22023? Typo on the title?
Yup, fixed now. Thanks