Affirm Holdings, Inc.
- Open
- 83.44
- Day high
- 84.00
- Day low
- 81.11
- Prev close
- 83.42
- Volume
- 3.0M
- Mkt cap
- $27.4B
- P/E (TTM)
- 71.2
- EPS (TTM)
- $1.15
- P/B
- 7.3
- P/S
- 6.9
- Yield
- —
- Per share
- —
- ▼Insiders net selling -$8.2M over the last 3 months (0 open-market buys, 3 sales)
- 🏛Institutions mixed (13F)
Affirm Holdings, Inc. (AFRM) is a Technology company listed on NASDAQ. The stock is up 29% over the past year. Over the trailing 3 months, insiders filed 0 open-market buys and 3 sales (SEC Form 4).
Affirm Holdings, Inc. (AFRM) financials & analyst ratings
Fundamentals (TTM)
Analyst consensus · 19 analysts
Source: exchange market data + company filings. Figures are trailing-twelve-month or as most recently reported. For informational purposes only — not investment advice.
AFRM earnings date, history & EPS estimates
| Report date | EPS est | EPS actual | Surprise | Revenue | Rev. surprise |
|---|---|---|---|---|---|
| May 7, 2026 | $0.17 | $0.30 | +76.5% | $1.0B | +4.4% |
| Feb 5, 2026 | $0.28 | $0.37 | +32.1% | $1.1B | +12.7% |
| Nov 6, 2025 | $0.11 | $0.23 | +105.2% | $933M | +5.7% |
| Aug 28, 2025 | $0.12 | $0.20 | +61.9% | $876M | +4.7% |
| May 8, 2025 | $-0.01 | $0.01 | +258.2% | $783M | +0.0% |
| Feb 6, 2025 | $-0.21 | $0.23 | +209.5% | $866M | +7.3% |
| Nov 7, 2024 | $-0.34 | $-0.31 | +8.8% | $698M | +5.2% |
| Aug 28, 2024 | $-0.48 | $-0.14 | +70.9% | $659M | +9.2% |
| Feb 8, 2024 | $0.08 | $0.04 | -50.0% | $591M | +13.5% |
| Nov 8, 2023 | $-0.70 | $-0.57 | +18.6% | $497M | +11.8% |
| Aug 24, 2023 | $-0.86 | $-0.69 | +19.8% | $446M | +9.7% |
| Feb 8, 2023 | $-1.01 | $-1.10 | -8.9% | $400M | -4.1% |
AFRM insider trading activity (SEC Form 4)
| Date | Insider | Type | Shares | Price |
|---|---|---|---|---|
| Jul 6, 2026 | Quarles Christa Sdirector | Grant | 655 | — |
| Jul 6, 2026 | Liew Jeremydirector | Grant | 655 | — |
| Jul 6, 2026 | Michalek Libordirector, officer: President | Tax | 1,189 | $83.85 |
| Jul 6, 2026 | Linford Michaelofficer: Chief Operating Officer | Tax | 972 | $83.85 |
| Jul 6, 2026 | Adkins Katherineofficer: Chief Legal Officer | Option | 1,402 | — |
| Jul 6, 2026 | Linford Michaelofficer: Chief Operating Officer | Option | 2,336 | — |
| Jul 6, 2026 | Michalek Libordirector, officer: President | Option | 2,336 | — |
| Jul 6, 2026 | Schneider Ryan M.director | Grant | 3,100 | — |
| Jul 6, 2026 | Schneider Ryan M.director | Grant | 655 | — |
| Jul 6, 2026 | Reses Jacqueline Ddirector | Grant | 655 | — |
| Jul 6, 2026 | GALANTI RICHARD Adirector | Grant | 655 | — |
| Jul 6, 2026 | Adkins Katherineofficer: Chief Legal Officer | Tax | 635 | $83.85 |
| Jun 30, 2026 | Linford Michaelofficer: Chief Operating Officer | Option | 100,000 | $5.39 |
| Jun 30, 2026 | Linford Michaelofficer: Chief Operating Officer | Sell | 100,000 | $80.04 |
| May 14, 2026 | Watson Noel Bertramdirector | Sell | 2,000 | $65.00 |
Source: AFRM SEC Form 4 filings, latest Jul 6, 2026. For informational purposes only — not investment advice.
See the full AFRM insider & 13F page →Affirm Holdings, Inc. company profile
Overview
Affirm Holdings, Inc. (NASDAQ:AFRM) is a financial technology company that operates a "buy now, pay later" (BNPL) platform for digital and mobile commerce. Founded in 2012 and headquartered in San Francisco, California, Affirm went public in January 2021. The company has grown from serving approximately 29,000 merchants at its IPO to nearly 235,000 active merchants today, facilitating billions in transaction volume across the United States, Canada, and the United Kingdom.
Business
Affirm operates in the buy now, pay later (BNPL) industry, which provides consumers with alternative payment options that allow them to split purchases into installments rather than paying the full amount upfront. This industry sits at the intersection of consumer lending, payment processing, and e-commerce technology. The company's core offering is Affirm's payment platform, which enables consumers to finance purchases with transparent, fixed-rate installment loans ranging from one to 48 months. Unlike traditional credit cards that charge compound interest and often include hidden fees, Affirm shows consumers exactly what they'll pay upfront with no late fees, hidden charges, or compound interest. When a consumer selects Affirm at checkout, the platform performs a real-time credit assessment and offers personalized payment terms. Affirm operates three main business segments: 1. Point-of-sale lending represents the majority of revenue, where consumers can finance purchases directly at merchant checkout pages both online and in physical stores. This traditional BNPL model accounts for approximately 90% of the company's gross merchandise volume (GMV). 2. Affirm Card is a newer product that functions as a debit card connected to the consumer's bank account, but allows users to split eligible purchases into installments after the transaction. The card represented 8% of total GMV in recent quarters and is growing rapidly, with quarterly GMV increasing from $130 million to $224 million. 3. Consumer app and marketplace features allow users to browse participating merchants, manage existing loans, and access exclusive offers. The app serves as a direct channel to drive consumer engagement and repeat usage. The platform serves merchants across diverse industries including sporting goods, furniture, travel, apparel, consumer electronics, and jewelry. Major merchant partners include Shopify, Amazon, Costco, and thousands of direct-to-consumer brands.
Revenue model
Affirm generates revenue through multiple streams tied to its lending and payment processing activities. The primary revenue model is merchant fees, where retailers pay Affirm a percentage of each transaction value (typically 3-6% of GMV) in exchange for access to Affirm's consumer base and the ability to offer flexible payment options. This is similar to how credit card companies charge merchant discount rates. The company also earns interest income from consumers who choose interest-bearing installment plans. While Affirm offers promotional 0% APR loans (approximately 10% of volume), most loans carry interest rates that can range from 0% to 36% APR depending on the consumer's creditworthiness and loan terms. The interest income is particularly important for longer-term loans. A smaller portion of revenue comes from gain on loan sales, where Affirm sells portions of its loan portfolio to institutional investors and capital partners, transferring credit risk while maintaining servicing responsibilities. Affirm's customers are both merchants and consumers, but merchants are the primary paying customers. Retailers pay for access to Affirm's services because the platform can increase conversion rates, average order values, and customer acquisition. Consumers typically don't pay fees directly (except interest on qualifying loans), making the service attractive to end users. Several factors influence Affirm's margins and profitability. Credit performance is crucial - higher default rates directly impact profitability through increased loan loss provisions. Interest rate environments affect both funding costs and the attractiveness of Affirm's rates relative to alternatives. Competitive pressure from other BNPL providers, traditional credit cards, and emerging fintech companies can compress merchant fees and force promotional pricing. Regulatory changes around consumer lending and payment processing could impact operations. Merchant mix also matters, as different industries and merchant sizes command different fee structures. Finally, macroeconomic conditions affect consumer spending patterns and creditworthiness, directly impacting transaction volumes and credit losses.
Competitive moat
Affirm's competitive moat is moderate but developing, built primarily around its sophisticated underwriting technology and network effects, though the company faces significant competitive pressures in the rapidly evolving BNPL space. The company's strongest defensive position comes from its proprietary credit assessment and risk management technology. Affirm has developed machine learning algorithms that can make real-time lending decisions at the point of sale, pricing risk more accurately than traditional credit scoring methods. This technological capability, built over more than a decade, allows Affirm to maintain relatively low default rates while serving a broader consumer base than traditional lenders. Network effects provide another layer of protection. As more merchants join the platform, it becomes more valuable to consumers who can use Affirm across multiple retailers. Conversely, a larger consumer base makes the platform more attractive to merchants seeking to increase conversion rates and average order values. The company's partnerships with major platforms like Shopify and Amazon create additional switching costs and integration barriers. Brand recognition and consumer trust in the transparent, fee-free lending model provides some differentiation in a market where many consumers have negative experiences with traditional credit products. However, Affirm's moat faces significant challenges. The BNPL industry has low barriers to entry from a regulatory standpoint, attracting numerous competitors including Klarna, Afterpay (now owned by Block), PayPal's Pay in 4, and Apple Pay Later. Many of these competitors have substantial financial resources and existing customer relationships. Traditional financial institutions are also entering the space, leveraging their lower cost of capital and existing customer bases. The commoditization risk is high, as the core BNPL product is relatively simple to replicate. Merchants often integrate multiple BNPL providers, reducing switching costs and increasing price competition. Additionally, regulatory uncertainty around consumer lending practices and potential changes to credit reporting requirements could impact the industry's growth trajectory and operating model.
Risks & safety
Affirm presents a moderate margin of safety with strong liquidity but elevated valuation metrics and ongoing profitability challenges. **Cash and Solvency Position:** - Strong cash position with $1.35 billion in cash and short-term investments as of Q3 2025 - Exceptional current ratio of 63.09, indicating very strong short-term liquidity - Debt-to-equity ratio of 2.56 reflects significant leverage, though much relates to loan funding rather than traditional corporate debt - Positive free cash flow of $157 million in Q3 2025, showing operational cash generation **Valuation Metrics:** - Price-to-book ratio of 5.09 suggests premium valuation relative to book value - Recent achievement of GAAP profitability in Q2 2025 with $80 million net income - Revenue growth remains strong at 36% year-over-year GMV growth - EV/EBITDA of 26.4 based on Q2 2025 positive EBITDA of $245 million **Other Considerations:** - Business model dependent on consumer credit performance and economic conditions - High cash burn historically, though recent quarters show improvement toward profitability - Competitive pressure in BNPL space may limit pricing power - Interest rate sensitivity affects both funding costs and consumer demand
Recent development
Over the past few years, Affirm has executed several key strategic initiatives focused on product diversification, international expansion, and operational efficiency. The most significant development has been the launch and scaling of the Affirm Card, which evolved from a concept to representing 8% of total GMV. This debit card product allows consumers to split purchases into installments after the transaction, expanding Affirm's utility beyond traditional e-commerce checkout. The company has pursued aggressive international expansion, particularly in the United Kingdom market, where management sees significant opportunity in longer-term payment products. This expansion leverages Affirm's sophisticated underwriting infrastructure while targeting underserved market segments. Strategic partnerships have been central to growth, with renewed agreements including the Shopify partnership extension through 2028 and new relationships with major retailers like Costco. The company has also developed B2B initiatives with Amazon, targeting small businesses and sole proprietorships with optimized lending solutions. Operational improvements have focused on achieving profitability and operational leverage. The company reduced its workforce by 19% in fiscal 2023 while investing heavily in artificial intelligence and machine learning capabilities for contract analysis, dispute resolution, and internal productivity tools. Leadership changes include promoting Michael Linford to Chief Operating Officer and transitioning Rob O'Hare to the CFO role. Product innovation has centered on personalizing the consumer experience through app redesigns, expanding zero percent promotional loan offerings, and developing segment-specific features for the Affirm Card. The company has also invested in adaptive checkout technology and exploring additional financial product categories beyond traditional BNPL offerings.
AFRM company profile · for informational purposes only — not investment advice.
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