Affirm Holdings, Inc. (AFRM) AI Stock Analysis

Affirm Holdings, Inc. operates a platform for digital and mobile-first commerce across the United States, Canada, and internationally. Its platform provides point-of-sale payment solutions for consumers, merchant commerce tools, and a consumer-focused mobile app. Affirm offers flexible payment options that permit consumers to finance purchases over terms from one to sixty months, supported by agreements with originating banks and capital markets partners. As of June 30, 2022, the company had integrated roughly 235,000 merchants across categories such as sporting goods, furniture, travel, apparel, electronics, and jewelry, serving small businesses, direct-to-consumer brands, and brick-and-mortar retailers.

Affirm expanded revenue from $1.35B in FY2022 to $3.95B in FY2026, achieving a 5-year revenue CAGR of 35.3% from FY2021 to FY2026. Gross margin strengthened from 57.3% in FY2022 to 69.1% in FY2026, while operating margin shifted from -64.2% to 22.1%. After reporting a net loss of -$707.4M in FY2022 and -$985.3M in FY2023, Affirm achieved positive net income of $52.2M in FY2025 and $1.93B in FY2026, generating FY2026 EPS of $6.57. For the latest quarter ended June 30, 2026, quarterly revenue increased 33.0% year-over-year, and quarterly earnings grew 2186.9%. Over the trailing twelve months, revenue totaled $4.26B with an operating margin of 12.6%.

As of June 30, 2026, Affirm held $2.60B in cash and short-term investments against total debt of $9.82B, resulting in net debt of $7.22B. Total assets stood at $15.79B and shareholders' equity was $5.48B, with a debt-to-equity ratio of 1.79 and a current ratio of 12.73. Operating cash flow improved to $1.23B in FY2026, while free cash flow reached $992.6M after deducting capital expenditures of $238.3M. In addition, the company's share count increased 24.2% over 5 years.

Affirm carries a market capitalization of $24.97B and an enterprise value of $30.40B. The stock trades at a trailing P/E of 13.4x, compared to the median of 12.1x for its US-listed Financial Services peers. Its forward P/E stands at 35.6x versus the peer median of 10.8x, and its price-to-sales multiple is 5.9x versus the peer median of 3.2x. Over the past year, the stock returned 7.2%, trailing the S&P 500 (SPY) return of 16.8%. Over a 5-year period, AFRM fell 49.6%, compared to an 83.0% gain for the S&P 500.

Affirm is covered by analysts with 21 Strong Buy, 6 Buy, and 7 Hold ratings, with zero Sell or Strong Sell recommendations. The mean price target is $98.59, representing 33.2% upside from the last close of $74.01. For the current fiscal year ending June 30, 2027, consensus estimates project revenue of $5.49B and EPS of $3.85, indicating an EPS decline of 45.1%. For the next fiscal year, 6 analysts forecast revenue of $6.84B and EPS of $5.02. Affirm beat EPS estimates in 1 of the last 4 quarters, and its next earnings date is November 5, 2026.

This page is an AI-written research summary of Affirm Holdings, Inc. (AFRM). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.

Related: AFRM income statement, AFRM balance sheet, AFRM key metrics, AFRM analyst forecast, AFRM chart. See the AFRM stock overview for the latest quote and news.