Affirm (NASDAQ:AFRM) Releases Earnings Results, Beats Estimates By $0.35 EPS

Affirm (NASDAQ:AFRM – Get Rating) posted its earnings results on Thursday. The company reported ($0.19) EPS for the quarter, topping the consensus estimate of ($0.54) by $0.35, MarketWatch Earnings reports. The firm had revenue of $354.80 million for the quarter, compared to the consensus estimate of $344.01 million. Affirm had a negative net margin of 74.96% and a negative return on equity of 22.95%. The business’s quarterly revenue was up 53.8% on a year-over-year basis. During the same period in the prior year, the business posted ($0.72) earnings per share. Affirm updated its FY 2022 guidance to EPS and its Q4 2022 guidance to EPS.

NASDAQ AFRM opened at $23.71 on Friday. The company has a current ratio of 7.12, a quick ratio of 7.12 and a debt-to-equity ratio of 1.62. The firm has a 50-day simple moving average of $34.94 and a 200 day simple moving average of $73.18. Affirm has a twelve month low of $13.64 and a twelve month high of $176.65.

In other Affirm news, major shareholder Private Ltd Gic purchased 181,864 shares of the business’s stock in a transaction on Wednesday, April 27th. The stock was purchased at an average price of $29.60 per share, for a total transaction of $5,383,174.40. Following the completion of the purchase, the insider now directly owns 4,467,578 shares in the company, valued at $132,240,308.80. The purchase was disclosed in a document filed with the SEC, which can be accessed through the SEC website. In the last quarter, insiders purchased 2,107,799 shares of company stock valued at $68,998,013. 16.48% of the stock is owned by corporate insiders.

Institutional investors and hedge funds have recently made changes to their positions in the business. Mackenzie Financial Corp lifted its stake in Affirm by 201.1% during the first quarter. Mackenzie Financial Corp now owns 9,002 shares of the company’s stock worth $417,000 after purchasing an additional 6,012 shares during the period. Equitable Holdings Inc. acquired a new stake in shares of Affirm during the first quarter worth approximately $380,000. Cibc World Market Inc. increased its holdings in shares of Affirm by 54.4% during the first quarter. Cibc World Market Inc. now owns 8,211 shares of the company’s stock worth $380,000 after buying an additional 2,893 shares in the last quarter. Gamco Investors INC. ET AL acquired a new stake in shares of Affirm during the first quarter worth approximately $370,000. Finally, Panagora Asset Management Inc. acquired a new stake in shares of Affirm during the first quarter worth approximately $340,000. Hedge funds and other institutional investors own 58.34% of the company’s stock.

Several equities analysts have commented on the stock. JPMorgan Chase & Co. assumed coverage on shares of Affirm in a research report on Wednesday. They set a “neutral” rating and a $30.00 target price on the stock. Jefferies Financial Group downgraded shares of Affirm from a “hold” rating to an “underperform” rating and lowered their target price for the stock from $55.00 to $45.00 in a research report on Friday, February 11th. Stephens downgraded shares of Affirm from an “equal weight” rating to an “underweight” rating and lowered their target price for the stock from $51.00 to $17.00 in a research report on Tuesday. Mizuho increased their target price on shares of Affirm from $77.00 to $79.00 and gave the stock a “buy” rating in a research report on Tuesday, March 15th. Finally, Zacks Investment Research raised shares of Affirm from a “sell” rating to a “hold” rating in a research report on Wednesday, April 13th. Two analysts have rated the stock with a sell rating, seven have given a hold rating and eight have given a buy rating to the stock. According to data from MarketBeat, the company has a consensus rating of “Hold” and an average price target of $71.53.

Affirm Company Profile (Get Rating)

Affirm Holdings, Inc operates a platform for digital and mobile-first commerce in the United States and Canada. The company's platform includes point-of-sale payment solution for consumers, merchant commerce solutions, and a consumer-focused app. Its payments network and partnership with an originating bank, enables consumers to pay for a purchase over time with terms ranging from one to forty-eight months.

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