The stock of Affirm Holdings Inc. (NASDAQ:AFRM) increased by $0.16 on Monday to finish at $17.95, up 0.90 percent. The last five days have seen an average of 30,830,158 shares of common stock traded. 11 times new highs were reached in the current year, with a gain of $8.28. The average number of shares traded over the last 20 days was 15,039,370, while the average volume over the last 50 days totaled 14,526,842.
AFRM stock appreciated 3.94% since last month. On 08/18/23, the company’s shares reached a one-month low of $13.67. The stock touched a high of $28.80 on 02/02/23, after rallying from a low of $8.62 in 52 weeks. The price of AFRM stock has risen by 85.63% or $8.28 this year, reaching a new high 11 times. Still, the stock price is down -37.67% from the 52-week high.
Insider Transactions
AFRM stock investors should be aware that Affirm Holdings Inc. (AFRM) stock had its last reported insider trading activity 55 days ago on Jul 05. On Jul 05, 10% Owner GIC Private Ltd sold 203,905 shares at $15.42 each. This transaction resulted in the insider making $3,144,215. On Apr 03, Rabois Keith sold 17,286 shares at a price of US$11.15. After the transaction, the insider now owns 0 shares. Director Rabois Keith had earlier sold 17,287 shares on Mar 01 for $12.77 a share. The transaction was completed for $220,673.
Valuation Metrics
Beta for the stock is 3.07. There are also a few other valuation ratios worth considering, including the trailing price-to-sales (P/S) ratio of 3.18, the price-to-book (PB) ratio of 2.12.
Financial Health
The company’s long-term debt to equity ratio for the quarter ending June 29 is 1.88, and the total debt to equity ratio is 1.88. Affirm Holdings Inc.’s EBITDA margin for the year ended June 29 was -39.97%, whereas its operating margin stood at -88.90% for the same period. Based on annual data, it had gross profit of $531.81 million and revenue of $1.59 billion.
Investors will also look at the performance of the company’s management in order to determine the potential profitability of their investment. AFRM’s return on assets (ROA) during the last 12 months has been -11.10%. There was a -12.80% return on investment (ROI) in the past year. In the meantime, the return on equity (ROE) for the last 12 months was -31.90%.
Earnings Surprise
According to Affirm Holdings Inc.’s quarterly financial report for the quarter that ended June 29. A higher net income was reported in the quarter under review than the previous quarter. It was predicted that Affirm Holdings Inc.’s quarterly earnings would be -$0.69, but it ended up being -$0.85, beating the consensus by 18.80%. EBITDA was -$221.85 million for the quarter. At the end of Affirm Holdings Inc.’s most recent quarter ended June 29, its liabilities totaled 5.62 billion, while its total debt was $5.45 billion. Equity owned by shareholders amounts to $299.3 million.
Technical Picture
Here’s a quick look at Affirm Holdings Inc.’s (AFRM) price momentum from a technical perspective. As of 28 August, the RSI 9-day stood at 68.87%, suggesting the stock is Neutral, with a 131.99% historical volatility rate.
The stochastic %K and %D were 61.76% and 37.50% respectively, while the average true range (ATR) was 1.27. Based on the 14-day stochastic reading of 92.04%, the RSI (14) reading is 62.06%. On the 9-day MACD Oscillator, the stock is at 1.40, and the 14-day reading is at 1.42.
Analyst Ratings
Affirm Holdings Inc. (NASDAQ: AFRM) was downgraded by Piper Sandler to a an Underweight rating in its latest research report. The stock was previously rated as a a Neutral. Analysts have assigned Affirm Holdings Inc. (AFRM) an Hold rating. AFRM is a stock that is recommended for selling by 5 brokerage firms, while 10 companies recommend holding. The stock is underweighted by 0 analysts. Among the analysts who rate the stock, 1 rate it overweight and 4 others recommend it as a buy.
What is AFRM’s price target for the next 12 months?
The current consensus forecast for the stock is between $6.00 and $24.00, with a median target price of $16.00. In analyzing these forecasts, the average price target given by analysts for Affirm Holdings Inc. (AFRM) is $15.47.
