Affirm (NASDAQ:AFRM) Shares Gap Up – What’s Next?

Shares of Affirm Holdings, Inc. (NASDAQ:AFRM) gapped up before the market opened on Wednesday . The stock had previously closed at $55.35, but opened at $60.45. Affirm shares last traded at $60.04, with a volume of 2,609,707 shares traded.

Analysts Set New Price Targets

Several research analysts have weighed in on AFRM shares. Jefferies Financial Group upgraded Affirm from a “hold” rating to a “buy” rating and increased their price objective for the stock from $70.00 to $82.00 in a research report on Thursday, December 19th. Deutsche Bank Aktiengesellschaft boosted their price target on Affirm from $45.00 to $75.00 and gave the company a “hold” rating in a research note on Monday, December 16th. JPMorgan Chase & Co. boosted their price target on Affirm from $56.00 to $74.00 and gave the company an “overweight” rating in a research note on Monday, December 2nd. Susquehanna boosted their price target on Affirm from $52.00 to $57.00 and gave the company a “positive” rating in a research note on Friday, November 8th. Finally, Citizens Jmp raised Affirm from a “hold” rating to a “strong-buy” rating in a research note on Friday, December 20th. One equities research analyst has rated the stock with a sell rating, six have assigned a hold rating, eleven have given a buy rating and one has given a strong buy rating to the company’s stock. Based on data from MarketBeat.com, Affirm currently has an average rating of “Moderate Buy” and an average target price of $61.88.

Affirm Trading Down 0.4 %

The company has a debt-to-equity ratio of 2.50, a quick ratio of 12.60 and a current ratio of 12.60. The company has a fifty day moving average price of $63.77 and a two-hundred day moving average price of $45.86.

Affirm (NASDAQ:AFRM) last announced its earnings results on Thursday, November 7th. The company reported ($0.31) EPS for the quarter, beating the consensus estimate of ($0.36) by $0.05. Affirm had a negative return on equity of 12.57% and a negative net margin of 17.67%. The business had revenue of $698.48 million for the quarter, compared to analysts’ expectations of $661.39 million. During the same period in the prior year, the business posted ($0.57) earnings per share. As a group, sell-side analysts anticipate that Affirm Holdings, Inc. will post -0.53 earnings per share for the current year.

Insider Activity at Affirm

In other Affirm news, CFO Robert O’hare sold 100,938 shares of the business’s stock in a transaction that occurred on Monday, November 11th. The stock was sold at an average price of $55.00, for a total value of $5,551,590.00. The sale was disclosed in a document filed with the SEC, which is available through the SEC website. Also, insider Katherine Adkins sold 200,000 shares of the business’s stock in a transaction that occurred on Monday, November 11th. The shares were sold at an average price of $55.05, for a total value of $11,010,000.00. Following the completion of the transaction, the insider now directly owns 93,545 shares in the company, valued at approximately $5,149,652.25. This trade represents a 68.13 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 1,323,478 shares of company stock worth $86,285,371 over the last ninety days. Insiders own 12.41% of the company’s stock.

Hedge Funds Weigh In On Affirm

Several institutional investors have recently added to or reduced their stakes in AFRM. Dragoneer Investment Group LLC acquired a new position in Affirm in the second quarter valued at approximately $45,219,000. Artemis Investment Management LLP acquired a new position in shares of Affirm during the third quarter worth approximately $30,808,000. Holocene Advisors LP acquired a new position in shares of Affirm during the third quarter worth approximately $27,872,000. Charles Schwab Investment Management Inc. raised its position in shares of Affirm by 44.0% during the third quarter. Charles Schwab Investment Management Inc. now owns 2,203,210 shares of the company’s stock worth $89,935,000 after purchasing an additional 672,883 shares during the period. Finally, Bank of Montreal Can raised its position in shares of Affirm by 269.7% during the third quarter. Bank of Montreal Can now owns 724,336 shares of the company’s stock worth $29,814,000 after purchasing an additional 528,400 shares during the period. 69.29% of the stock is owned by institutional investors and hedge funds.

Affirm Company Profile

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.