Why Affirm Stock Is Trading Lower Thursday Afternoon

Affirm Holdings Inc AFRM initially surged higher Thursday afternoon after the company highlighted some of its quarterly results via tweet in what appears to be an accidental release.

The company officially announced its fiscal second-quarter financial results shortly after and the stock plummeted. 

Affirm said quarterly revenue increased 77% year-over-year to $361 million, which beat the $328.8 million estimate. The company reported a quarterly earnings loss of 57 cents per share, which came in below the estimate for a loss of 34 cents per share. 

"Over the last 12 months, we have added nearly seven million active consumers to our network, while enabling 168,000 merchant partners to better serve their customers," said Max Levchin, founder and CEO of Affirm.

"We remain focused on extending our lead as we scale enterprise partnerships and benefit from self-reinforcing network effects."

Affirm said it expects third-quarter revenue to be between $325 million and $335 million versus the estimate of $330.07 million. 

Affirm offers a platform for digital and mobile-first commerce, consisting of a point-of-sale payment solution for consumers, merchant commerce solutions and a consumer-focused app.

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AFRM Price Action: Affirm has traded as low as $46.50 and as high as $176.65 over a 52-week period.

The stock was halted twice following the company's earnings release. Affirm shares are down 24.1% at $56.71 at time of publication. 

Photos: courtesy of Affirm & screenshot from Twitter.