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 for the quarter, topping the consensus estimate of $0.17 by $0.13, FiscalAI reports. The company had revenue of $943.95 million for the quarter, compared to the consensus estimate of $995.27 million. Affirm had a return on equity of 11.57% and a net margin of 9.63%.The firm’s revenue for the quarter was up 32.7% compared to the same quarter last year. During the same period last year, the firm earned $0.01 EPS.

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 Performance

AFRM opened at $64.01 on Friday. The firm’s fifty day simple moving average is $52.66 and its two-hundred day simple moving average is $63.16. Affirm has a 52-week low of $42.10 and a 52-week high of $100.00. The company has a market cap of $21.32 billion, a price-to-earnings ratio of 58.19, a PEG ratio of 4.71 and a beta of 3.72. The company has a quick ratio of 11.41, a current ratio of 11.41 and a debt-to-equity ratio of 2.58.

Affirm News Summary

Here are the key news stories impacting Affirm this week:

• Positive Sentiment: Affirm beat fiscal Q3 estimates, reporting $0.30 EPS versus $0.17 expected, while revenue rose 32.7% year over year, signaling stronger profitability and continued top-line growth. Affirm Holdings (AFRM) Beats Q3 Earnings and Revenue Estimates
• Positive Sentiment: The company said gross merchandise volume jumped 35% and transactions climbed 45%, which points to healthier platform usage and stronger consumer demand. Affirm Q3 Earnings Beat on Strong GMV Growth & Higher Transactions
• Positive Sentiment: Affirm raised fiscal 2026 guidance after the earnings beat, reinforcing confidence that growth can continue into the next year. Affirm reports third fiscal quarter 2026 results
• Positive Sentiment: Several Wall Street firms lifted price targets after the results, including JPMorgan to $80, RBC to $80, Stephens to $75, and Needham to $90, suggesting analysts see additional upside. JPMorgan, RBC, Stephens and Needham analyst updates

Insider Activity at Affirm

In other 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 transaction of $110,000.00. Following the completion of the sale, the director owned 38,076 shares of the company’s stock, valued at $2,094,180. The trade was a 4.99% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 11.01% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Affirm

Several institutional investors have recently bought and sold shares of the company. Greenline Wealth Management LLC acquired a new position in shares of Affirm during the fourth quarter valued at approximately $26,000. Triumph Capital Management purchased a new position in shares of Affirm in the third quarter valued at approximately $31,000. Strive Financial Group LLC acquired a new stake in shares of Affirm in the fourth quarter worth approximately $33,000. Larson Financial Group LLC boosted its stake in shares of Affirm by 74.5% in the third quarter. Larson Financial Group LLC now owns 499 shares of the company’s stock worth $36,000 after acquiring an additional 213 shares during the last quarter. Finally, Towarzystwo Funduszy Inwestycyjnych PZU SA increased its position in shares of Affirm by 200.0% during the fourth quarter. Towarzystwo Funduszy Inwestycyjnych PZU SA now owns 600 shares of the company’s stock worth $45,000 after purchasing an additional 400 shares in the last quarter. 69.29% of the stock is currently owned by institutional investors and hedge funds.

Analyst Upgrades and Downgrades

AFRM has been the topic of a number of recent research reports. Needham & Company LLC upped their target price on Affirm from $85.00 to $90.00 and gave the stock a “buy” rating in a research note on Friday. Truist Financial boosted their price target on Affirm from $71.00 to $75.00 and gave the company a “buy” rating in a report on Friday, April 24th. BMO Capital Markets assumed coverage on Affirm in a research report on Tuesday, April 21st. They issued an “outperform” rating and a $75.00 price objective on the stock. Mizuho dropped their price objective on shares of Affirm from $114.00 to $95.00 and set an “outperform” rating on the stock in a research note on Monday, February 9th. Finally, Royal Bank Of Canada lifted their target price on shares of Affirm from $77.00 to $80.00 and gave the company a “sector perform” rating in a report on Friday. One investment analyst has rated the stock with a Strong Buy rating, nineteen have issued a Buy rating and nine have issued a Hold rating to the company’s stock. According to MarketBeat, Affirm currently has an average rating of “Moderate Buy” and a consensus price target of $85.28.

About Affirm

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.