Affirm (NASDAQ:AFRM) Trading Down 4.3% – Should You Sell?

Shares of Affirm Holdings, Inc. (NASDAQ:AFRM) traded down 4.3% during mid-day trading on Thursday . The company traded as low as $45.89 and last traded at $45.90. 1,648,837 shares traded hands during trading, a decline of 81% from the average session volume of 8,732,903 shares. The stock had previously closed at $47.97.

Wall Street Analyst Weigh In

A number of equities research analysts have issued reports on the stock. Wells Fargo & Company upgraded shares of Affirm from an “equal weight” rating to an “overweight” rating and upped their price target for the company from $40.00 to $52.00 in a report on Friday, October 11th. BTIG Research raised Affirm from a “neutral” rating to a “buy” rating and set a $68.00 price objective for the company in a research report on Tuesday, October 8th. JMP Securities began coverage on shares of Affirm in a research report on Friday, June 28th. They set a “market perform” rating on the stock. The Goldman Sachs Group upped their target price on shares of Affirm from $46.00 to $54.00 and gave the company a “buy” rating in a research note on Monday, October 14th. Finally, Susquehanna assumed coverage on shares of Affirm in a research report on Friday, September 20th. They issued a “positive” rating and a $52.00 price target on the stock. Three analysts have rated the stock with a sell rating, nine have given a hold rating and nine have issued a buy rating to the company. Based on data from MarketBeat, the stock currently has a consensus rating of “Hold” and a consensus target price of $41.50.

Affirm Stock Up 1.4 %

The firm has a market cap of $13.77 billion, a price-to-earnings ratio of -19.97 and a beta of 3.50. The business’s 50-day moving average is $39.04 and its 200-day moving average is $33.64. The company has a debt-to-equity ratio of 2.41, a quick ratio of 13.07 and a current ratio of 13.07.

Affirm (NASDAQ:AFRM) last posted its quarterly earnings data on Wednesday, August 28th. The company reported ($0.14) earnings per share for the quarter, topping the consensus estimate of ($0.45) by $0.31. Affirm had a negative net margin of 22.29% and a negative return on equity of 15.55%. The company had revenue of $659.19 million during the quarter, compared to analyst estimates of $599.50 million. On average, equities analysts predict that Affirm Holdings, Inc. will post -0.82 EPS for the current year.

Insider Activity at Affirm

In other Affirm news, Director Keith Rabois sold 9,275 shares of the business’s stock in a transaction on Thursday, August 1st. The stock was sold at an average price of $26.90, for a total value of $249,497.50. Following the transaction, the director now owns 64,348 shares of the company’s stock, valued at approximately $1,730,961.20. The trade was a 0.00 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. In other news, Director Keith Rabois sold 9,275 shares of the firm’s stock in a transaction on Thursday, August 1st. The stock was sold at an average price of $26.90, for a total value of $249,497.50. Following the completion of the sale, the director now directly owns 64,348 shares in the company, valued at approximately $1,730,961.20. This trade represents a 0.00 % decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through this link. Also, insider Katherine Adkins sold 6,084 shares of the company’s stock in a transaction dated Monday, September 16th. The stock was sold at an average price of $45.00, for a total transaction of $273,780.00. Following the transaction, the insider now owns 122,069 shares in the company, valued at approximately $5,493,105. This trade represents a 0.00 % decrease in their position. The disclosure for this sale can be found here. Insiders sold 112,075 shares of company stock valued at $4,803,786 in the last three months. Corporate insiders own 13.05% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors have recently bought and sold shares of the stock. Bank of Montreal Can increased its stake in shares of Affirm by 2,305.3% in the 2nd quarter. Bank of Montreal Can now owns 195,936 shares of the company’s stock valued at $6,466,000 after buying an additional 187,790 shares during the period. Avantax Advisory Services Inc. bought a new position in Affirm in the first quarter valued at about $258,000. Dragoneer Investment Group LLC acquired a new stake in Affirm in the second quarter worth about $45,219,000. Principal Financial Group Inc. raised its holdings in Affirm by 34.3% during the 1st quarter. Principal Financial Group Inc. now owns 19,065 shares of the company’s stock worth $710,000 after purchasing an additional 4,868 shares during the last quarter. Finally, Vanguard Group Inc. lifted its position in Affirm by 6.8% during the 1st quarter. Vanguard Group Inc. now owns 20,823,803 shares of the company’s stock valued at $775,895,000 after purchasing an additional 1,316,901 shares during the period. Institutional investors own 69.29% of the company’s stock.

About Affirm

Affirm Holdings, Inc operates a platform for digital and mobile-first commerce in the United States, Canada, and internationally. The company's platform includes point-of-sale payment solution for consumers, merchant commerce solutions, and a consumer-focused app. Its commerce platform, agreements with originating banks, and capital markets partners enables consumers to pay for a purchase over time with terms ranging up to 60 months.