Affirm (NASDAQ:AFRM) Stock Price Down 6.9% – What’s Next?

Affirm Holdings, Inc. (NASDAQ:AFRM) dropped 6.9% on Wednesday . The company traded as low as $69.83 and last traded at $66.8090. 315,223 shares traded hands during trading, a decline of 94% from the average daily volume of 5,277,127 shares. The stock had previously closed at $71.77.

Wall Street Analysts Forecast Growth

AFRM has been the topic of a number of analyst reports. Truist Financial boosted their price target on Affirm from $83.00 to $85.00 and gave the stock a “buy” rating in a research report on Thursday, September 3rd. Citigroup reiterated a “market outperform” rating on shares of Affirm in a research note on Friday, August 28th. Zacks Research downgraded Affirm from a “strong-buy” rating to a “hold” rating in a report on Tuesday, August 25th. Needham & Company LLC set a $85.00 target price on Affirm in a research note on Wednesday, September 16th. Finally, Scotiabank assumed coverage on Affirm in a research report on Wednesday, September 2nd. They issued a “sector outperform” rating and a $95.00 price target for the company. Twenty-four research analysts have rated the stock with a Buy rating and eight have issued a Hold rating to the company’s stock. According to data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and an average price target of $98.78.

Affirm Stock Down 4.2%

The company’s 50-day simple moving average is $74.25 and its two-hundred day simple moving average is $67.19. The company has a debt-to-equity ratio of 1.82, a current ratio of 11.80 and a quick ratio of 11.80. The firm has a market capitalization of $23.20 billion, a P/E ratio of 12.47, a P/E/G ratio of 2.91 and a beta of 3.61.

Affirm (NASDAQ:AFRM) last announced its quarterly earnings data on Thursday, August 27th. The company reported $4.62 EPS for the quarter, beating the consensus estimate of $0.35 by $4.27. Affirm had a net margin of 45.29% and a return on equity of 47.91%. The firm had revenue of $1.07 billion for the quarter, compared to the consensus estimate of $1.11 billion. During the same period last year, the firm earned $0.20 EPS. The company’s revenue was up 33.1% on a year-over-year basis. As a group, research analysts expect that Affirm Holdings, Inc. will post 1.87 earnings per share for the current year.

Insiders Place Their Bets

In other news, insider Katherine Adkins sold 41,664 shares of the business’s stock in a transaction on Thursday, September 3rd. The shares were sold at an average price of $75.53, for a total transaction of $3,146,881.92. Following the completion of the sale, the insider directly owned 152,439 shares of the company’s stock, valued at approximately $11,513,717.67. The trade was a 21.46% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CAO Siphelele Jiyane sold 26,980 shares of the firm’s stock in a transaction that occurred on Monday, September 14th. The stock was sold at an average price of $72.19, for a total transaction of $1,947,686.20. Following the transaction, the chief accounting officer directly owned 188,711 shares in the company, valued at approximately $13,623,047.09. This trade represents a 12.51% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold a total of 314,527 shares of company stock valued at $24,978,716 over the last 90 days. Insiders own 11.01% of the company’s stock.

Institutional Investors Weigh In On Affirm

A number of institutional investors have recently added to or reduced their stakes in AFRM. Osbon Capital Management LLC acquired a new position in shares of Affirm during the 4th quarter valued at about $49,000. Fideuram Intesa Sanpaolo Private Banking S.P.A. purchased a new stake in Affirm in the first quarter valued at approximately $34,000. Ascentis Independent Advisors acquired a new position in Affirm during the first quarter worth approximately $41,000. CX Institutional increased its position in Affirm by 2,724.3% during the second quarter. CX Institutional now owns 1,045 shares of the company’s stock worth $85,000 after purchasing an additional 1,008 shares during the last quarter. Finally, Harbor Investment Advisory LLC purchased a new position in Affirm during the second quarter worth approximately $91,000. Institutional investors own 69.29% of the company’s stock.

About Affirm

Affirm Holdings, Inc is a financial technology company that provides flexible payment options for consumers and commerce-enabling tools for merchants. Its core business is buy now, pay later financing, allowing eligible shoppers to pay for purchases over time through fixed installment plans, with terms and pricing that vary by transaction and consumer qualification.

Affirm’s products include point-of-sale financing integrated into merchant checkout experiences, the Affirm app and marketplace, and the Affirm Card, which is designed to let users convert eligible purchases into installment plans.