Bank of America Forecasts Strong Price Appreciation for Affirm (NASDAQ:AFRM) Stock

Affirm (NASDAQ:AFRM) had its target price increased by research analysts at Bank of America from $50.00 to $74.00 in a note issued to investors on Friday,Benzinga reports. The brokerage presently has a “buy” rating on the stock. Bank of America‘s price target would indicate a potential upside of 12.56% from the stock’s current price.

Several other research firms have also issued reports on AFRM. The Goldman Sachs Group increased their price objective on shares of Affirm from $46.00 to $54.00 and gave the stock a “buy” rating in a research report on Monday, October 14th. Mizuho raised their price objective on Affirm from $65.00 to $69.00 and gave the company an “outperform” rating in a research report on Tuesday. Wedbush raised Affirm from an “underperform” rating to a “neutral” rating and upped their target price for the stock from $25.00 to $45.00 in a research report on Monday, October 14th. JPMorgan Chase & Co. raised their target price on Affirm from $47.00 to $56.00 and gave the company an “overweight” rating in a report on Friday, November 8th. Finally, Needham & Company LLC restated a “hold” rating on shares of Affirm in a report on Friday, September 6th. One research analyst has rated the stock with a sell rating, nine have given a hold rating and nine have issued a buy rating to the company. According to MarketBeat, Affirm currently has an average rating of “Hold” and an average price target of $48.74.

Affirm Price Performance

Affirm stock opened at $65.74 on Friday. The company has a debt-to-equity ratio of 2.50, a quick ratio of 12.60 and a current ratio of 12.60. The company has a market cap of $20.65 billion, a price-to-earnings ratio of -46.30 and a beta of 3.47. Affirm has a 1 year low of $22.25 and a 1 year high of $66.61. The firm has a 50 day moving average price of $46.44 and a 200 day moving average price of $36.50.

Affirm (NASDAQ:AFRM) last issued its earnings results on Thursday, November 7th. The company reported ($0.31) earnings per share for the quarter, beating analysts’ consensus estimates of ($0.36) by $0.05. The firm had revenue of $698.48 million for the quarter, compared to analysts’ expectations of $661.39 million. Affirm had a negative return on equity of 12.57% and a negative net margin of 17.67%. During the same quarter last year, the firm earned ($0.57) earnings per share. Sell-side analysts predict that Affirm will post -0.53 earnings per share for the current year.

Insiders Place Their Bets

In other Affirm news, insider Katherine Adkins sold 200,000 shares of the stock in a transaction on Monday, November 11th. The shares were sold at an average price of $55.05, for a total transaction of $11,010,000.00. Following the sale, the insider now directly owns 93,545 shares of the company’s stock, valued at approximately $5,149,652.25. This represents a 68.13 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, President Libor Michalek sold 100,000 shares of the firm’s stock in a transaction dated Monday, November 18th. The stock was sold at an average price of $62.00, for a total transaction of $6,200,000.00. Following the completion of the transaction, the president now owns 159,449 shares in the company, valued at approximately $9,885,838. The trade was a 38.54 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 503,738 shares of company stock valued at $27,315,878 in the last quarter. Insiders own 12.41% of the company’s stock.

Hedge Funds Weigh In On Affirm

A number of large investors have recently bought and sold shares of the business. Bank of Montreal Can raised its position in shares of Affirm by 2,305.3% during the 2nd quarter. Bank of Montreal Can now owns 195,936 shares of the company’s stock worth $6,466,000 after purchasing an additional 187,790 shares during the period. Oppenheimer & Co. Inc. acquired a new stake in Affirm in the third quarter worth $1,419,000. International Assets Investment Management LLC bought a new stake in Affirm in the third quarter valued at $731,000. Entropy Technologies LP bought a new stake in Affirm in the third quarter valued at $464,000. Finally, Versor Investments LP bought a new position in shares of Affirm during the third quarter worth about $755,000. Institutional investors own 69.29% of the company’s stock.

Affirm Company Profile

Affirm Holdings, Inc operates a platform for digital and mobile-first commerce in the United States, Canada, and internationally. The company's platform includes point-of-sale payment solution for consumers, merchant commerce solutions, and a consumer-focused app. Its commerce platform, agreements with originating banks, and capital markets partners enables consumers to pay for a purchase over time with terms ranging up to 60 months.