Affirm (NASDAQ:AFRM) Issues Quarterly Earnings Results

Affirm (NASDAQ:AFRM) announced its quarterly earnings results on Thursday. The company reported $0.30 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.17 by $0.13, FiscalAI reports. Affirm had a net margin of 7.60% and a return on equity of 8.83%. The firm had revenue of $943.95 million during the quarter, compared to analysts’ expectations of $995.26 million. During the same period in the prior year, the company posted $0.01 EPS. The company’s revenue was up 32.7% on a year-over-year basis.

Here are the key takeaways from Affirm’s conference call:

• Funding market remains very constructive with deep demand, oversubscribed ABS/forward-flow deals and tightening spreads, helping funding costs fall about 125 bps year?over?year.
• Affirm reports stable credit metrics for the consumers it underwrites—delinquencies are not deteriorating and elevated prepayments (seasonal) raised the allowance rate but are viewed as a positive credit signal.
• GMV growth accelerated alongside a 44% increase in active merchants, rising app engagement and 4.4 million cardholders, which together are lifting transactions per active and repeat usage.
• Pay?in?X / 0% volume is the fastest?growing segment (including a large program moving to evergreen 0%), which boosts conversion but has lower RLTC margin per loan even as credit costs tend to be lower.
• Investment in agentic AI has meaningfully increased development velocity with only low single?digit?million quarterly costs reported, and the company said it is not planning AI?related layoffs.

Affirm Stock Up 2.7%

NASDAQ:AFRM traded up $1.78 during trading hours on Thursday, hitting $67.36. 7,349,648 shares of the company traded hands, compared to its average volume of 5,027,264. The firm’s 50-day simple moving average is $52.66 and its 200-day simple moving average is $63.16. The company has a quick ratio of 11.41, a current ratio of 11.41 and a debt-to-equity ratio of 2.58. The company has a market cap of $22.44 billion, a PE ratio of 83.16, a PEG ratio of 4.58 and a beta of 3.72. Affirm has a one year low of $42.10 and a one year high of $100.00.

Wall Street Analysts Forecast Growth

A number of research analysts have recently issued reports on AFRM shares. Robert W. Baird assumed coverage on shares of Affirm in a research report on Thursday, February 19th. They issued a “neutral” rating and a $55.00 price target on the stock. Royal Bank Of Canada reduced their price objective on shares of Affirm from $87.00 to $77.00 and set a “sector perform” rating on the stock in a research note on Friday, February 6th. Weiss Ratings reaffirmed a “hold (c-)” rating on shares of Affirm in a research note on Friday, March 27th. TD Cowen reaffirmed a “buy” rating on shares of Affirm in a research report on Friday, February 6th. Finally, BMO Capital Markets began coverage on shares of Affirm in a research report on Tuesday, April 21st. They set an “outperform” rating and a $75.00 price objective for the company. One research analyst has rated the stock with a Strong Buy rating, nineteen have given a Buy rating and nine have given a Hold rating to the stock. According to data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and an average price target of $83.76.

Insider Buying and Selling at Affirm

In related news, Director Noel Bertram Watson sold 2,000 shares of the business’s stock in a transaction dated Tuesday, April 14th. The shares were sold at an average price of $55.00, for a total value of $110,000.00. Following the transaction, the director directly owned 38,076 shares of the company’s stock, valued at approximately $2,094,180. The trade was a 4.99% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Company insiders own 11.01% of the company’s stock.

Institutional Investors Weigh In On Affirm

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Greenline Wealth Management LLC bought a new position in shares of Affirm in the fourth quarter valued at approximately $26,000. Triumph Capital Management bought a new position in shares of Affirm in the third quarter valued at approximately $31,000. Strive Financial Group LLC bought a new position in shares of Affirm in the fourth quarter valued at approximately $33,000. Larson Financial Group LLC boosted its position in shares of Affirm by 74.5% in the third quarter. Larson Financial Group LLC now owns 499 shares of the company’s stock valued at $36,000 after acquiring an additional 213 shares during the period. Finally, Towarzystwo Funduszy Inwestycyjnych PZU SA boosted its position in shares of Affirm by 200.0% in the fourth quarter. Towarzystwo Funduszy Inwestycyjnych PZU SA now owns 600 shares of the company’s stock valued at $45,000 after acquiring an additional 400 shares during the period. 69.29% of the stock is currently owned by institutional investors.

Trending Headlines about Affirm

Here are the key news stories impacting Affirm this week:

• Positive Sentiment: Q3 EPS materially beat expectations — Affirm reported $0.30 EPS vs. the consensus $0.17, marking a clear improvement year?over?year and driving investor optimism. Read More.
• Positive Sentiment: Management raised revenue guidance for fiscal 2026 — Affirm updated FY revenue to ~$4.2B (vs. prior consensus ~4.1B) and issued Q4 revenue guidance ~ $1.1B, which supports a more constructive top?line outlook. Read More.
• Positive Sentiment: Profitability metrics improved — the quarter showed a positive net margin (~7.6%) and ROE (~8.8%), signaling improving unit economics as volume scales. Read More.
• Neutral Sentiment: Company filed the shareholder letter and hosted investor materials/webcast — provides detail for analysts to model but contains mixed signals (beat EPS / revenue miss). Read More.
• Neutral Sentiment: Analyst commentary is mixed — some notes highlight Affirm’s execution and improving metrics, while others urge caution on valuation and credit exposure; analyst views may drive near?term trading volatility. Read More.
• Negative Sentiment: Top?line missed expectations — revenue was $943.95M vs. consensus ~$995M, a notable shortfall that tempers the positive EPS print and raises questions about demand/discounting. Read More.
• Negative Sentiment: EPS guidance clarity is limited — the company’s update emphasized revenue targets but did not provide a clear quantitative EPS outlook in the market summaries, leaving earnings visibility incomplete for modelers. Read More.

Affirm Company Profile

Affirm Holdings, Inc is a financial technology company that provides point-of-sale consumer lending and payments solutions for online and in-store purchases. Its core product is a buy-now-pay-later (BNPL) platform that enables consumers to split purchases into fixed, transparent installment loans with no hidden fees. Affirm offers a range of financing options through merchant integrations, a consumer-facing mobile app and virtual card capabilities, and tools for merchants to offer alternative payment methods at checkout.