The Analyst Landscape: 5 Takes On Affirm Holdings

Across the recent three months, 5 analysts have shared their insights on Affirm Holdings AFRM, expressing a variety of opinions spanning from bullish to bearish.

The table below provides a snapshot of their recent ratings, showcasing how sentiments have evolved over the past 30 days and comparing them to the preceding months.

Analysts have recently evaluated Affirm Holdings and provided 12-month price targets. The average target is $46.2, accompanied by a high estimate of $65.00 and a low estimate of $36.00. A decline of 1.18% from the prior average price target is evident in the current average.

Interpreting Analyst Ratings: A Closer Look

An in-depth analysis of recent analyst actions unveils how financial experts perceive Affirm Holdings. The following summary outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts adapt their recommendations to changing market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their response to recent developments related to Affirm Holdings. This information provides a snapshot of how analysts perceive the current state of the company.
• Rating: Unveiling insights, analysts deliver qualitative insights into stock performance, from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Affirm Holdings compared to the broader market.
• Price Targets: Analysts provide insights into price targets, offering estimates for the future value of Affirm Holdings's stock. This comparison reveals trends in analysts' expectations over time.

For valuable insights into Affirm Holdings's market performance, consider these analyst evaluations alongside crucial financial indicators. Stay well-informed and make prudent decisions using our Ratings Table.

Stay up to date on Affirm Holdings analyst ratings.

Discovering Affirm Holdings: A Closer Look

Affirm Holdings Inc offers a platform for digital and mobile-first commerce. It comprises a point-of-sale payment solution for consumers, merchant commerce solutions, and a consumer-focused app. The firm generates its revenue from merchant networks, and through virtual card networks among others. Geographically, it generates a majority share of its revenue from the United States.

Affirm Holdings: A Financial Overview

Market Capitalization Analysis: Positioned below industry benchmarks, the company's market capitalization faces constraints in size. This could be influenced by factors such as growth expectations or operational capacity.

Positive Revenue Trend: Examining Affirm Holdings's financials over 3 months reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 51.23% as of 31 March, 2024, showcasing a substantial increase in top-line earnings. As compared to its peers, the company achieved a growth rate higher than the average among peers in Financials sector.

Net Margin: Affirm Holdings's net margin lags behind industry averages, suggesting challenges in maintaining strong profitability. With a net margin of -23.25%, the company may face hurdles in effective cost management.

Return on Equity (ROE): Affirm Holdings's ROE lags behind industry averages, suggesting challenges in maximizing returns on equity capital. With an ROE of -5.09%, the company may face hurdles in achieving optimal financial performance.

Return on Assets (ROA): The company's ROA is below industry benchmarks, signaling potential difficulties in efficiently utilizing assets. With an ROA of -1.47%, the company may need to address challenges in generating satisfactory returns from its assets.

Debt Management: The company faces challenges in debt management with a debt-to-equity ratio higher than the industry average. With a ratio of 2.44, caution is advised due to increased financial risk.

Analyst Ratings: What Are They?

Experts in banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their comprehensive research involves attending company conference calls and meetings, analyzing financial statements, and engaging with insiders to generate what are known as analyst ratings for stocks. Typically, analysts assess and rate each stock once per quarter.

Some analysts will also offer forecasts for metrics like growth estimates, earnings, and revenue to provide further guidance on stocks. Investors who use analyst ratings should note that this specialized advice comes from humans and may be subject to error.

This article was generated by Benzinga's automated content engine and reviewed by an editor.