AFFIRM HOLDINGS INC (AFRM) Fundamental Analysis & Valuation

NASDAQ:AFRM • US00827B1061

Current stock price

47.4 USD
-1.05 (-2.17%)
At close:
47.4 USD
0 (0%)
After Hours:

This AFRM fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

4

1. AFRM Profitability Analysis

1.1 Basic Checks

  • AFRM had positive earnings in the past year.
  • AFRM had a positive operating cash flow in the past year.
  • AFRM had negative earnings in 4 of the past 5 years.
  • 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's Return On Assets of 2.18% is fine compared to the rest of the industry. AFRM outperforms 62.00% of its industry peers.
  • The Return On Equity of AFRM (7.96%) is comparable to the rest of the industry.
  • AFRM has a better Return On Invested Capital (4.48%) than 64.00% of its industry peers.
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's Profit Margin of 7.60% is in line compared to the rest of the industry. AFRM outperforms 50.00% of its industry peers.
  • The Operating Margin of AFRM (17.93%) is better than 64.00% of its industry peers.
  • AFRM has a better Gross Margin (92.32%) than 95.00% of its industry peers.
  • 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. AFRM Health Analysis

2.1 Basic Checks

  • The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so AFRM is destroying value.
  • The number of shares outstanding for AFRM has been increased compared to 1 year ago.
  • 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 1.31, we must say that AFRM is in the distress zone and has some risk of bankruptcy.
  • With a decent Altman-Z score value of 1.31, AFRM is doing good in the industry, outperforming 67.00% of the companies in the same industry.
  • 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.
  • Looking at the Debt to FCF ratio, with a value of 14.55, AFRM is in line with its industry, outperforming 49.00% of the companies in the same industry.
  • A Debt/Equity ratio of 2.54 is on the high side and indicates that AFRM has dependencies on debt financing.
  • Looking at the Debt to Equity ratio, with a value of 2.54, AFRM is doing worse than 71.00% of the companies in the same industry.
Industry RankSector Rank
Debt/Equity 2.54
Debt/FCF 14.55
Altman-Z 1.31
ROIC/WACC0.58
WACC7.75%
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

  • A Current Ratio of 5.29 indicates that AFRM has no problem at all paying its short term obligations.
  • AFRM has a better Current ratio (5.29) than 91.00% 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.
  • With an excellent Quick ratio value of 5.29, AFRM belongs to the best of the industry, outperforming 91.00% of the companies in the same industry.
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. AFRM Growth Analysis

3.1 Past

  • The Earnings Per Share has grown by an impressive 224.62% over the past year.
  • The Revenue has grown by 32.70% in the past year. This is a very strong growth!
  • The Revenue has been growing by 44.63% on average over the past years. This is a very strong growth!
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

  • AFRM is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 102.22% yearly.
  • AFRM is expected to show a strong growth in Revenue. In the coming years, the Revenue will grow by 23.05% yearly.
EPS Next Y747.96%
EPS Next 2Y268.09%
EPS Next 3Y166.65%
EPS Next 5Y102.22%
Revenue Next Year29.83%
Revenue Next 2Y26.96%
Revenue Next 3Y26.53%
Revenue Next 5Y23.05%

3.3 Evolution

  • The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in 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. AFRM Valuation Analysis

4.1 Price/Earnings Ratio

  • AFRM is valuated quite expensively with a Price/Earnings ratio of 58.52.
  • Based on the Price/Earnings ratio, AFRM is valued a bit more expensive than 73.00% of the companies in the same industry.
  • The average S&P500 Price/Earnings ratio is at 26.21. AFRM is valued rather expensively when compared to this.
  • AFRM is valuated quite expensively with a Price/Forward Earnings ratio of 26.91.
  • AFRM's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. AFRM is more expensive than 68.00% of the companies in the same industry.
  • When comparing the Price/Forward Earnings ratio of AFRM to the average of the S&P500 Index (23.13), we can say AFRM is valued inline with the index average.
Industry RankSector Rank
PE 58.52
Fwd PE 26.91
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

  • AFRM's Enterprise Value to EBITDA ratio is in line with the industry average.
  • AFRM's Price/Free Cash Flow is on the same level as the industry average.
Industry RankSector Rank
P/FCF 25.5
EV/EBITDA 25.38
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

  • The 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 166.65% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.08
PEG (5Y)N/A
EPS Next 2Y268.09%
EPS Next 3Y166.65%

More info and screens

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

0

5. AFRM Dividend Analysis

5.1 Amount

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

More info and screens

Find the best dividend stocksShow peers with best dividend

AFRM Fundamentals: All Metrics, Ratios and Statistics

AFFIRM HOLDINGS INC

NASDAQ:AFRM (4/7/2026, 4:05:01 PM)

After market: 47.4 0 (0%)

47.4

-1.05 (-2.17%)

Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryFinancial Services
Earnings (Last)02-05
Earnings (Next)05-07
Inst Owners85.16%
Inst Owner Change0%
Ins Owners0.93%
Ins Owner Change0.61%
Market Cap15.79B
Revenue(TTM)3.72B
Net Income(TTM)282.33M
Analysts79.46
Price Target84.72 (78.73%)
Short Float %5.84%
Short Ratio2.4
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)-2.35%
PT rev (3m)-11.79%
EPS NQ rev (1m)-1.33%
EPS NQ rev (3m)-4.51%
EPS NY rev (1m)0%
EPS NY rev (3m)11.39%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)1.3%
Revenue NY rev (1m)0.07%
Revenue NY rev (3m)1.61%
Valuation
Industry RankSector Rank
PE 58.52
Fwd PE 26.91
P/S 4.25
P/FCF 25.5
P/OCF 18.95
P/B 4.45
P/tB 5.26
EV/EBITDA 25.38
EPS(TTM)0.81
EY1.71%
EPS(NY)1.76
Fwd EY3.72%
FCF(TTM)1.86
FCFY3.92%
OCF(TTM)2.5
OCFY5.28%
SpS11.16
BVpS10.65
TBVpS9.01
PEG (NY)0.08
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 1.31
F-Score8
WACC7.75%
ROIC/WACC0.58
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 Y747.96%
EPS Next 2Y268.09%
EPS Next 3Y166.65%
EPS Next 5Y102.22%
Revenue 1Y (TTM)32.7%
Revenue growth 3Y33.69%
Revenue growth 5Y44.63%
Sales Q2Q%29.62%
Revenue Next Year29.83%
Revenue Next 2Y26.96%
Revenue Next 3Y26.53%
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 Fundamental Analysis 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.


What is the profitability of AFRM stock?

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


Can you provide the financial health for AFRM stock?

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


What is the expected EPS growth for AFFIRM HOLDINGS INC (AFRM) stock?

The Earnings per Share (EPS) of AFFIRM HOLDINGS INC (AFRM) is expected to grow by 747.96% in the next year.