Affirm Holdings, Inc.

NasdaqGS:AFRM Stock Report

Market Cap: US$19.6b

Affirm Holdings Valuation

Is AFRM undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

0/6

Valuation Score 0/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of AFRM when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: AFRM ($66.5) is trading above our estimate of fair value ($1.45)

Significantly Below Fair Value: AFRM is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for AFRM?

Key metric: As AFRM is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for AFRM. This is calculated by dividing AFRM's market cap by their current revenue.
What is AFRM's PS Ratio?
PS Ratio8.3x
SalesUS$2.52b
Market CapUS$19.63b

Price to Sales Ratio vs Peers

How does AFRM's PS Ratio compare to its peers?

The above table shows the PS ratio for AFRM vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average4x
TOST Toast
4.6x16.1%US$20.7b
CPAY Corpay
6.1x10.1%US$23.7b
FOUR Shift4 Payments
2.4x19.5%US$9.8b
GPN Global Payments
2.9x2.9%US$28.5b
AFRM Affirm Holdings
8.3x19.6%US$19.6b

Price-To-Sales vs Peers: AFRM is expensive based on its Price-To-Sales Ratio (8.3x) compared to the peer average (4x).

Price to Sales Ratio vs Industry

How does AFRM's PS Ratio compare vs other companies in the US Diversified Financial Industry?

12 CompaniesPrice / SalesEstimated GrowthMarket Cap
RKT Rocket Companies
0.4x22.2%US$21.64b
UWMC UWM Holdings
0.3x10.2%US$9.01b
FOA Finance of America Companies
0.4x-24.8%US$653.62m
LDI loanDepot
0.4x18.5%US$637.65m
AFRM 8.3xIndustry Avg. 2.8xNo. of Companies15PS0246810+
12 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: AFRM is expensive based on its Price-To-Sales Ratio (8.3x) compared to the US Diversified Financial industry average (2.8x).

Price to Sales Ratio vs Fair Ratio

What is AFRM's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

AFRM PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio8.3x
Fair PS Ratio3.2x

Price-To-Sales vs Fair Ratio: AFRM is expensive based on its Price-To-Sales Ratio (8.3x) compared to the estimated Fair Price-To-Sales Ratio (3.2x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst AFRM forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$66.50
US$61.48
-7.6%
30.4%US$82.00US$20.00n/a19
Dec ’25US$70.01
US$53.59
-23.4%
28.3%US$75.00US$20.00n/a17
Nov ’25US$43.22
US$45.81
+6.0%
25.8%US$68.00US$20.00n/a17
Oct ’25US$38.48
US$40.80
+6.0%
30.3%US$65.00US$20.00n/a16
Sep ’25US$44.01
US$38.78
-11.9%
30.9%US$65.00US$20.00n/a15
Aug ’25US$26.42
US$37.43
+41.7%
31.7%US$65.00US$20.00n/a14
Jul ’25US$29.83
US$38.33
+28.5%
30.4%US$65.00US$20.00n/a15
Jun ’25US$29.27
US$36.93
+26.2%
33.5%US$65.00US$20.00n/a15
May ’25US$32.12
US$37.85
+17.8%
32.1%US$65.00US$20.00n/a17
Apr ’25US$34.83
US$38.11
+9.4%
35.4%US$65.00US$13.00n/a16
Mar ’25US$38.01
US$38.27
+0.7%
37.8%US$65.00US$13.00n/a18
Feb ’25US$39.67
US$31.23
-21.3%
52.1%US$65.00US$6.00n/a19
Jan ’25US$49.14
US$28.68
-41.6%
55.8%US$65.00US$6.00US$60.9018
Dec ’24US$37.67
US$22.17
-41.1%
40.5%US$41.00US$6.00US$70.0119
Nov ’24US$17.61
US$16.19
-8.0%
35.5%US$28.00US$6.00US$43.2218
Oct ’24US$21.27
US$15.94
-25.1%
35.8%US$25.00US$6.00US$38.4816
Sep ’24US$21.86
US$15.61
-28.6%
32.5%US$25.00US$6.00US$44.0118
Aug ’24US$19.61
US$14.67
-25.2%
31.9%US$24.00US$6.00US$26.4218
Jul ’24US$15.33
US$14.00
-8.7%
30.2%US$24.00US$6.00US$29.8318
Jun ’24US$14.58
US$13.34
-8.5%
24.6%US$17.00US$6.00US$29.2716
May ’24US$9.99
US$13.69
+37.1%
23.0%US$18.00US$6.00US$32.1217
Apr ’24US$11.27
US$13.82
+22.6%
22.4%US$18.00US$6.00US$34.8318
Mar ’24US$12.61
US$14.31
+13.4%
23.3%US$20.00US$6.00US$38.0119
Feb ’24US$17.72
US$18.04
+1.8%
45.4%US$46.00US$6.00US$39.6719
Jan ’24US$9.67
US$18.78
+94.2%
44.7%US$46.00US$8.00US$49.1419

Analyst Forecast: Target price is lower than the current share price.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2025/01/03 05:38
End of Day Share Price 2025/01/03 00:00
Earnings2024/09/30
Annual Earnings2024/06/30

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

Affirm Holdings, Inc. is covered by 33 analysts. 18 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Ishan MajumdarBaptista Research
Ramsey El-AssalBarclays
James FotheringhamBMO Capital Markets Equity Research