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Affirm Holdings (AFRM) Stock Sinks As Market Gains: What You Should Know
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Affirm Holdings (AFRM - Free Report) ended the recent trading session at $76.03, demonstrating a -2.45% change from the preceding day's closing price. The stock fell short of the S&P 500, which registered a gain of 0.59% for the day. On the other hand, the Dow registered a gain of 0.65%, and the technology-centric Nasdaq increased by 0.44%.
The stock of operator of digital commerce platform has fallen by 2.56% in the past month, lagging the Computer and Technology sector's gain of 7.68% and the S&P 500's gain of 2.72%.
The investment community will be closely monitoring the performance of Affirm Holdings in its forthcoming earnings report. It is anticipated that the company will report an EPS of $0.1, marking a 132.26% rise compared to the same quarter of the previous year. Meanwhile, our latest consensus estimate is calling for revenue of $884.86 million, up 26.68% from the prior-year quarter.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $0.86 per share and a revenue of $3.98 billion, signifying shifts of +473.33% and +23.39%, respectively, from the last year.
Investors should also pay attention to any latest changes in analyst estimates for Affirm Holdings. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.
Based on our research, we believe these estimate revisions are directly related to near-term stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 12.99% higher. Affirm Holdings is holding a Zacks Rank of #3 (Hold) right now.
Looking at valuation, Affirm Holdings is presently trading at a Forward P/E ratio of 90.63. For comparison, its industry has an average Forward P/E of 30.06, which means Affirm Holdings is trading at a premium to the group.
Also, we should mention that AFRM has a PEG ratio of 5.06. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. The Internet - Software industry had an average PEG ratio of 2.26 as trading concluded yesterday.
The Internet - Software industry is part of the Computer and Technology sector. With its current Zacks Industry Rank of 65, this industry ranks in the top 27% of all industries, numbering over 250.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow AFRM in the coming trading sessions, be sure to utilize Zacks.com.
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Affirm Holdings (AFRM) Stock Sinks As Market Gains: What You Should Know
Affirm Holdings (AFRM - Free Report) ended the recent trading session at $76.03, demonstrating a -2.45% change from the preceding day's closing price. The stock fell short of the S&P 500, which registered a gain of 0.59% for the day. On the other hand, the Dow registered a gain of 0.65%, and the technology-centric Nasdaq increased by 0.44%.
The stock of operator of digital commerce platform has fallen by 2.56% in the past month, lagging the Computer and Technology sector's gain of 7.68% and the S&P 500's gain of 2.72%.
The investment community will be closely monitoring the performance of Affirm Holdings in its forthcoming earnings report. It is anticipated that the company will report an EPS of $0.1, marking a 132.26% rise compared to the same quarter of the previous year. Meanwhile, our latest consensus estimate is calling for revenue of $884.86 million, up 26.68% from the prior-year quarter.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $0.86 per share and a revenue of $3.98 billion, signifying shifts of +473.33% and +23.39%, respectively, from the last year.
Investors should also pay attention to any latest changes in analyst estimates for Affirm Holdings. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.
Based on our research, we believe these estimate revisions are directly related to near-term stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 12.99% higher. Affirm Holdings is holding a Zacks Rank of #3 (Hold) right now.
Looking at valuation, Affirm Holdings is presently trading at a Forward P/E ratio of 90.63. For comparison, its industry has an average Forward P/E of 30.06, which means Affirm Holdings is trading at a premium to the group.
Also, we should mention that AFRM has a PEG ratio of 5.06. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. The Internet - Software industry had an average PEG ratio of 2.26 as trading concluded yesterday.
The Internet - Software industry is part of the Computer and Technology sector. With its current Zacks Industry Rank of 65, this industry ranks in the top 27% of all industries, numbering over 250.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow AFRM in the coming trading sessions, be sure to utilize Zacks.com.