AFFIRM HOLDINGS INC (AFRM) Stock Fundamental Analysis

NASDAQ:AFRM • US00827B1061

46.95 USD
-0.03 (-0.06%)
Last: Mar 2, 2026, 02:48 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership News
Fundamental Rating

4

AFRM gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 97 industry peers in the Financial Services industry. AFRM has only an average score on both its financial health and profitability. AFRM shows excellent growth, but is valued quite expensive already.


Dividend Valuation Growth Profitability Health

4

1. Profitability

1.1 Basic Checks

  • In the past year AFRM was profitable.
  • AFRM had a positive operating cash flow in the past year.
  • In the past 5 years AFRM reported 4 times negative net income.
  • In multiple years AFRM reported negative operating cash flow during the last 5 years.
AFRM Yearly Net Income VS EBIT VS OCF VS FCFAFRM Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2019 2020 2021 2022 2023 2024 2025 0 500M -500M

1.2 Ratios

  • AFRM has a Return On Assets of 2.18%. This is in the better half of the industry: AFRM outperforms 60.82% of its industry peers.
  • The Return On Equity of AFRM (7.96%) is comparable to the rest of the industry.
  • Looking at the Return On Invested Capital, with a value of 4.48%, AFRM is in the better half of the industry, outperforming 62.89% of the companies in the same industry.
Industry RankSector Rank
ROA 2.18%
ROE 7.96%
ROIC 4.48%
ROA(3y)-5.68%
ROA(5y)-7.25%
ROE(3y)-18.71%
ROE(5y)-20.05%
ROIC(3y)N/A
ROIC(5y)N/A
AFRM Yearly ROA, ROE, ROICAFRM Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2019 2020 2021 2022 2023 2024 2025 0 -10 -20 -30

1.3 Margins

  • AFRM has a Profit Margin of 7.60%. This is comparable to the rest of the industry: AFRM outperforms 50.52% of its industry peers.
  • AFRM has a better Operating Margin (17.93%) than 63.92% of its industry peers.
  • Looking at the Gross Margin, with a value of 92.32%, AFRM belongs to the top of the industry, outperforming 94.85% of the companies in the same industry.
  • In the last couple of years the Gross Margin of AFRM has grown nicely.
Industry RankSector Rank
OM 17.93%
PM (TTM) 7.6%
GM 92.32%
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y2.9%
GM growth 5Y6.25%
AFRM Yearly Profit, Operating, Gross MarginsAFRM Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2019 2020 2021 2022 2023 2024 2025 0 50 -50

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ROAROEROICOperating and Profit MarginShow most profitable peers

4

2. Health

2.1 Basic Checks

  • With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), AFRM is destroying value.
  • Compared to 1 year ago, AFRM has more shares outstanding
  • AFRM has more shares outstanding than it did 5 years ago.
  • Compared to 1 year ago, AFRM has a worse debt to assets ratio.
AFRM Yearly Shares OutstandingAFRM Yearly Shares OutstandingYearly Shares Outstanding 2019 2020 2021 2022 2023 2024 2025 100M 200M 300M
AFRM Yearly Total Debt VS Total AssetsAFRM Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B 8B 10B

2.2 Solvency

  • Based on the Altman-Z score of 1.28, we must say that AFRM is in the distress zone and has some risk of bankruptcy.
  • The Altman-Z score of AFRM (1.28) is better than 65.98% of its industry peers.
  • AFRM has a debt to FCF ratio of 14.55. This is a negative value and a sign of low solvency as AFRM would need 14.55 years to pay back of all of its debts.
  • The Debt to FCF ratio of AFRM (14.55) is comparable to the rest of the industry.
  • A Debt/Equity ratio of 2.54 is on the high side and indicates that AFRM has dependencies on debt financing.
  • AFRM has a worse Debt to Equity ratio (2.54) than 72.16% of its industry peers.
Industry RankSector Rank
Debt/Equity 2.54
Debt/FCF 14.55
Altman-Z 1.28
ROIC/WACC0.55
WACC8.19%
AFRM Yearly LT Debt VS Equity VS FCFAFRM Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2019 2020 2021 2022 2023 2024 2025 0 2B 4B 6B

2.3 Liquidity

  • AFRM has a Current Ratio of 5.29. This indicates that AFRM is financially healthy and has no problem in meeting its short term obligations.
  • The Current ratio of AFRM (5.29) is better than 92.78% of its industry peers.
  • AFRM has a Quick Ratio of 5.29. This indicates that AFRM is financially healthy and has no problem in meeting its short term obligations.
  • AFRM's Quick ratio of 5.29 is amongst the best of the industry. AFRM outperforms 92.78% of its industry peers.
Industry RankSector Rank
Current Ratio 5.29
Quick Ratio 5.29
AFRM Yearly Current Assets VS Current LiabilitesAFRM Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2019 2020 2021 2022 2023 2024 2025 500M 1B 1.5B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

8

3. Growth

3.1 Past

  • The Earnings Per Share has grown by an impressive 224.62% over the past year.
  • AFRM shows a strong growth in Revenue. In the last year, the Revenue has grown by 32.70%.
  • AFRM shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 44.63% yearly.
EPS 1Y (TTM)224.62%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%60.87%
Revenue 1Y (TTM)32.7%
Revenue growth 3Y33.69%
Revenue growth 5Y44.63%
Sales Q2Q%29.62%

3.2 Future

  • Based on estimates for the next years, AFRM will show a very strong growth in Earnings Per Share. The EPS will grow by 102.22% on average per year.
  • The Revenue is expected to grow by 23.05% on average over the next years. This is a very strong growth
EPS Next Y659%
EPS Next 2Y269.94%
EPS Next 3Y176.9%
EPS Next 5Y102.22%
Revenue Next Year29.4%
Revenue Next 2Y26.94%
Revenue Next 3Y26.24%
Revenue Next 5Y23.05%

3.3 Evolution

  • Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
AFRM Yearly Revenue VS EstimatesAFRM Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2B 4B 6B 8B 10B
AFRM Yearly EPS VS EstimatesAFRM Yearly EPS VS EstimatesYearly EPS VS Estimates 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 0 2 -2 4 6 8

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Find the best growth stocksShow best growing peers

3

4. Valuation

4.1 Price/Earnings Ratio

  • A Price/Earnings ratio of 57.96 indicates a quite expensive valuation of AFRM.
  • Based on the Price/Earnings ratio, AFRM is valued a bit more expensive than the industry average as 75.26% of the companies are valued more cheaply.
  • When comparing the Price/Earnings ratio of AFRM to the average of the S&P500 Index (27.07), we can say AFRM is valued expensively.
  • With a Price/Forward Earnings ratio of 26.39, AFRM can be considered very expensive at the moment.
  • AFRM's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. AFRM is more expensive than 71.13% of the companies in the same industry.
  • Compared to an average S&P500 Price/Forward Earnings ratio of 28.05, AFRM is valued at the same level.
Industry RankSector Rank
PE 57.96
Fwd PE 26.39
AFRM Price Earnings VS Forward Price EarningsAFRM Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30 40 50

4.2 Price Multiples

  • Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of AFRM is on the same level as its industry peers.
  • AFRM's Price/Free Cash Flow ratio is in line with the industry average.
Industry RankSector Rank
P/FCF 25.26
EV/EBITDA 24.85
AFRM Per share dataAFRM EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 2 4 6 8 10

4.3 Compensation for Growth

  • AFRM's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
  • AFRM's earnings are expected to grow with 176.90% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.09
PEG (5Y)N/A
EPS Next 2Y269.94%
EPS Next 3Y176.9%

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Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

0

5. Dividend

5.1 Amount

  • No dividends for AFRM!.
Industry RankSector Rank
Dividend Yield 0%

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Find the best dividend stocksShow peers with best dividend

AFFIRM HOLDINGS INC

NASDAQ:AFRM (3/2/2026, 2:48:01 PM)

46.95

-0.03 (-0.06%)

Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryFinancial Services
Earnings (Last)02-05
Earnings (Next)05-07
Inst Owners82.96%
Inst Owner Change3.94%
Ins Owners0.94%
Ins Owner Change-0.03%
Market Cap15.64B
Revenue(TTM)3.72B
Net Income(TTM)282.33M
Analysts78.82
Price Target86.76 (84.79%)
Short Float %5.24%
Short Ratio2.39
Dividend
Industry RankSector Rank
Dividend Yield 0%
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)74.79%
Min EPS beat(2)39.07%
Max EPS beat(2)110.5%
EPS beat(4)4
Avg EPS beat(4)91.78%
Min EPS beat(4)39.07%
Max EPS beat(4)133.59%
EPS beat(8)8
Avg EPS beat(8)92.34%
EPS beat(12)12
Avg EPS beat(12)69.42%
EPS beat(16)13
Avg EPS beat(16)55.23%
Revenue beat(2)2
Avg Revenue beat(2)3.68%
Min Revenue beat(2)3.27%
Max Revenue beat(2)4.08%
Revenue beat(4)3
Avg Revenue beat(4)2.01%
Min Revenue beat(4)-1.95%
Max Revenue beat(4)4.08%
Revenue beat(8)7
Avg Revenue beat(8)3.21%
Revenue beat(12)11
Avg Revenue beat(12)4.59%
Revenue beat(16)13
Avg Revenue beat(16)3.1%
PT rev (1m)-9.54%
PT rev (3m)-10.36%
EPS NQ rev (1m)-0.63%
EPS NQ rev (3m)-9.5%
EPS NY rev (1m)0.91%
EPS NY rev (3m)14.21%
Revenue NQ rev (1m)1.44%
Revenue NQ rev (3m)1.76%
Revenue NY rev (1m)1.47%
Revenue NY rev (3m)3.12%
Valuation
Industry RankSector Rank
PE 57.96
Fwd PE 26.39
P/S 4.21
P/FCF 25.26
P/OCF 18.77
P/B 4.41
P/tB 5.21
EV/EBITDA 24.85
EPS(TTM)0.81
EY1.73%
EPS(NY)1.78
Fwd EY3.79%
FCF(TTM)1.86
FCFY3.96%
OCF(TTM)2.5
OCFY5.33%
SpS11.16
BVpS10.65
TBVpS9.01
PEG (NY)0.09
PEG (5Y)N/A
Graham Number13.93
Profitability
Industry RankSector Rank
ROA 2.18%
ROE 7.96%
ROCE 5.28%
ROIC 4.48%
ROICexc 5.1%
ROICexgc 5.49%
OM 17.93%
PM (TTM) 7.6%
GM 92.32%
FCFM 16.66%
ROA(3y)-5.68%
ROA(5y)-7.25%
ROE(3y)-18.71%
ROE(5y)-20.05%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y2.9%
GM growth 5Y6.25%
F-Score8
Asset Turnover0.29
Health
Industry RankSector Rank
Debt/Equity 2.54
Debt/FCF 14.55
Debt/EBITDA 9.68
Cap/Depr 81.02%
Cap/Sales 5.76%
Interest Coverage 1.63
Cash Conversion 89.54%
Profit Quality 219.3%
Current Ratio 5.29
Quick Ratio 5.29
Altman-Z 1.28
F-Score8
WACC8.19%
ROIC/WACC0.55
Cap/Depr(3y)89.78%
Cap/Depr(5y)116.51%
Cap/Sales(3y)6.81%
Cap/Sales(5y)6.21%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)224.62%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%60.87%
EPS Next Y659%
EPS Next 2Y269.94%
EPS Next 3Y176.9%
EPS Next 5Y102.22%
Revenue 1Y (TTM)32.7%
Revenue growth 3Y33.69%
Revenue growth 5Y44.63%
Sales Q2Q%29.62%
Revenue Next Year29.4%
Revenue Next 2Y26.94%
Revenue Next 3Y26.24%
Revenue Next 5Y23.05%
EBIT growth 1Y1964.63%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year1412.88%
EBIT Next 3Y188.88%
EBIT Next 5Y92.99%
FCF growth 1Y1787.66%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y412.07%
OCF growth 3YN/A
OCF growth 5YN/A

AFFIRM HOLDINGS INC / AFRM FAQ

What is the ChartMill fundamental rating of AFFIRM HOLDINGS INC (AFRM) stock?

ChartMill assigns a fundamental rating of 4 / 10 to AFRM.


Can you provide the valuation status for AFFIRM HOLDINGS INC?

ChartMill assigns a valuation rating of 3 / 10 to AFFIRM HOLDINGS INC (AFRM). This can be considered as Overvalued.


How profitable is AFFIRM HOLDINGS INC (AFRM) stock?

AFFIRM HOLDINGS INC (AFRM) has a profitability rating of 4 / 10.


How financially healthy is AFFIRM HOLDINGS INC?

The financial health rating of AFFIRM HOLDINGS INC (AFRM) is 4 / 10.