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

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

AFRM stock traded up $5.67 during trading on Friday, hitting $23.71. The company had a trading volume of 85,071,852 shares, compared to its average volume of 9,082,170. Affirm has a one year low of $13.64 and a one year high of $176.65. 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 business has a 50-day moving average of $34.94 and a 200-day moving average of $73.18. The stock has a market cap of $6.74 billion, a PE ratio of -10.00 and a beta of 3.05.

AFRM has been the subject of several analyst reports. Credit Suisse Group decreased their target price on shares of Affirm from $105.00 to $85.00 and set a “neutral” rating for the company in a research note on Friday, February 11th. Deutsche Bank Aktiengesellschaft decreased their target price on shares of Affirm from $70.00 to $35.00 in a research note on Wednesday, May 4th. Loop Capital initiated coverage on shares of Affirm in a research note on Wednesday, January 19th. They issued a “hold” rating and a $72.00 target price for the company. Royal Bank of Canada decreased their target price on shares of Affirm from $58.00 to $48.00 in a research note on Friday. Finally, Truist Financial decreased their target price on shares of Affirm from $100.00 to $55.00 and set a “buy” rating for the company in a research note on Monday, March 14th. Two research analysts have rated the stock with a sell rating, seven have assigned a hold rating and eight have assigned a buy rating to the company. Based on data from MarketBeat.com, Affirm currently has an average rating of “Hold” and an average target price of $71.53.

In other news, major shareholder Private Ltd Gic bought 134,197 shares of the stock in a transaction dated Tuesday, April 19th. The shares were bought at an average cost of $34.98 per share, with a total value of $4,694,211.06. Following the completion of the transaction, the insider now directly owns 812,086 shares of the company’s stock, valued at $28,406,768.28. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Over the last three months, insiders acquired 2,107,799 shares of company stock worth $68,998,013. Insiders own 16.48% of the company’s stock.

Institutional investors and hedge funds have recently modified their holdings of the stock. Mackenzie Financial Corp raised its holdings in shares of Affirm by 201.1% during the 1st quarter. Mackenzie Financial Corp now owns 9,002 shares of the company’s stock valued at $417,000 after buying an additional 6,012 shares in the last quarter. Equitable Holdings Inc. purchased a new position in shares of Affirm in the 1st quarter valued at approximately $380,000. Cibc World Market Inc. lifted its stake in shares of Affirm by 54.4% in the 1st quarter. Cibc World Market Inc. now owns 8,211 shares of the company’s stock valued at $380,000 after purchasing an additional 2,893 shares during the period. Gamco Investors INC. ET AL purchased a new position in shares of Affirm in the 1st quarter valued at approximately $370,000. Finally, Panagora Asset Management Inc. purchased a new position in Affirm during the first quarter valued at $340,000. 58.34% of the stock is currently owned by institutional investors and hedge funds.

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.

See Also

Earnings History for Affirm (NASDAQ:AFRM)

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