AFRM Stock
AFRM Stock

Stephens has given Affirm Holdings Inc. (NASDAQ: AFRM), a payment platform provider for the purchase of products in installments, a favorable rating. This was the catalyst for a 15.36 percent increase in AFRM quotations to $19.83 during the July 5 trading session.

According to Stephens analyst Vincent Caintic, Affirm Holdings Inc. (AFRM) would benefit significantly from Amazon.com Inc.’s Prime Day sales (NASDAQ: AMZN). The sales will take place on July 12-13, and AFRM will get a major portion of the proceeds.

In average, sales on Prime Day this year are expected to be $8-$11 billion, so even a 20-30% share can greatly enhance Affirm Holdings Inc.’s (AFRM) gross revenue (GMV indication), which will be reported in the report for the first quarter of the fiscal year. This report will be available on September 30th.

Analyst Stephens, on the other hand, remarked that investors are more concerned with profits than with the GMV indicator, therefore he retained the recommendation “below the market” and set a goal of $18.

Affirm Holdings Inc. (AFRM) is well-known for its purchase now, pay later (BNPL) services. Such services are popular during sales seasons since many buyers do not gather cash and instead purchase products in installments. With a milder credit check, Affirm Holdings readily attracts consumers, which is especially essential during the limited sales period, when there is no time for a lengthy check.

According to Tom Noyes, an analyst at Starpoint LLP and Citibank, BNPL services might be a game-changer in the consumer lending business. It should be noted, however, that large corporations such as Apple and Paypal are joining this industry. They are a significant competitor to Affirm Holdings Inc. (AFRM).

Over the last year, the company’s share price has fallen by -70.33 percent. The stock price fell -1.80 percent in the past five trades and is now down -19.64 percent in the last 30 trades. However, the share price has dropped by -78.82 percent in the recent six months and by -57.71 percent in the preceding three months.

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