Shares of Carvana and SoFi Technologies fell sharply on Wednesday after both companies issued earnings guidance that fell short of Wall Street's expectations, dampening investor sentiment despite recent strong quarterly performances.
Carvana, the online used-car retailer, saw its stock drop 15% after the company projected 2026 earnings before interest, taxes, depreciation, and amortization (EBITDA) of between $2.7 billion and $3 billion. That forecast missed analysts' estimates, according to CNBC. The guidance came even as Carvana reported record quarterly results for the second quarter earlier this year, indicating that near-term growth may be slowing.
Meanwhile, SoFi Technologies, a digital banking platform, also saw its shares decline after the company offered restrained guidance, according to MarketWatch. The neobank's quarterly earnings had beaten expectations, but investors focused on the cautious outlook, which suggested slower-than-expected revenue growth or higher costs ahead.
Both companies are part of a broader trend where investors are scrutinizing forward-looking statements more closely, rewarding past performance only if future growth appears sustainable. The sell-offs reflect concerns that the favorable conditions driving recent gains may be fading. Analysts noted that while both firms have strong fundamentals, their guidance indicates potential headwinds in the coming quarters.
Carvana and SoFi did not immediately respond to requests for comment on their stock movements.