Affirm (NASDAQ:AFRM) Rating Lowered to "Hold" at Wall Street Zen

Key Points

• Affirm has been downgraded by Wall Street Zen from a "buy" rating to a "hold" rating, reflecting a shift in analysts' outlook.
• Bank of America raised Affirm's target price from $76.00 to $80.00 while maintaining a "buy" rating, indicating some continued optimism among analysts.
• Insider trading activity shows a recent sell-off by directors, with significant shares being sold, raising potential concerns about the company's future performance.

Wall Street Zen cut shares of Affirm (NASDAQ:AFRM - Free Report) from a buy rating to a hold rating in a research report released on Sunday morning.

Several other analysts have also recently weighed in on the company. Morgan Stanley dropped their price objective on Affirm from $65.00 to $60.00 and set an "equal weight" rating for the company in a report on Tuesday, May 6th. Rothschild & Co Redburn started coverage on Affirm in a research note on Friday, August 1st. They issued a "neutral" rating and a $74.00 price target for the company. BTIG Research cut Affirm from a "buy" rating to a "neutral" rating in a research note on Monday, July 14th. Oppenheimer set a $80.00 price target on Affirm and gave the company an "outperform" rating in a research note on Monday, July 21st. Finally, The Goldman Sachs Group upped their price target on Affirm from $45.00 to $58.00 and gave the company a "buy" rating in a research note on Monday, May 12th. One investment analyst has rated the stock with a Strong Buy rating, eighteen have assigned a Buy rating and eleven have given a Hold rating to the stock. According to data from MarketBeat.com, Affirm has a consensus rating of "Moderate Buy" and a consensus price target of $68.74.

Affirm Trading Down 1.2%

NASDAQ:AFRM traded down $0.89 on Friday, hitting $72.97. 2,398,420 shares of the stock were exchanged, compared to its average volume of 7,057,782. The stock has a market capitalization of $23.54 billion, a price-to-earnings ratio of -346.43, a P/E/G ratio of 2.91 and a beta of 3.63. Affirm has a 52 week low of $28.47 and a 52 week high of $82.53. The company has a debt-to-equity ratio of 2.55, a quick ratio of 11.47 and a current ratio of 11.47. The company's 50-day moving average price is $68.42 and its 200 day moving average price is $58.63.

Insider Activity

In other Affirm news, Director Christa S. Quarles sold 754 shares of the company's stock in a transaction that occurred on Tuesday, July 1st. The stock was sold at an average price of $67.43, for a total transaction of $50,842.22. Following the completion of the transaction, the director owned 137,241 shares of the company's stock, valued at $9,254,160.63. This represents a 0.55% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this link. Also, insider Katherine Adkins sold 59,267 shares of the company's stock in a transaction that occurred on Monday, August 4th. The stock was sold at an average price of $75.02, for a total value of $4,446,210.34. Following the transaction, the insider directly owned 113,400 shares of the company's stock, valued at approximately $8,507,268. This trade represents a 34.32% decrease in their position. The disclosure for this sale can be found here. Over the last quarter, insiders have sold 163,114 shares of company stock worth $11,825,169. 11.82% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Affirm

Several large investors have recently made changes to their positions in the stock. Geneos Wealth Management Inc. boosted its holdings in shares of Affirm by 4,415.9% in the 2nd quarter. Geneos Wealth Management Inc. now owns 6,819 shares of the company's stock valued at $471,000 after buying an additional 6,668 shares during the last quarter. Rakuten Securities Inc. boosted its holdings in shares of Affirm by 172.5% in the 2nd quarter. Rakuten Securities Inc. now owns 7,468 shares of the company's stock valued at $516,000 after buying an additional 4,727 shares during the last quarter. Corient Private Wealth LLC boosted its holdings in shares of Affirm by 100.5% in the 2nd quarter. Corient Private Wealth LLC now owns 16,841 shares of the company's stock valued at $1,164,000 after buying an additional 8,440 shares during the last quarter. Sender Co & Partners Inc. acquired a new stake in shares of Affirm in the 2nd quarter valued at approximately $245,000. Finally, Captrust Financial Advisors boosted its holdings in shares of Affirm by 6.4% in the 2nd quarter. Captrust Financial Advisors now owns 27,472 shares of the company's stock valued at $1,899,000 after buying an additional 1,641 shares during the last quarter. Institutional investors and hedge funds own 69.29% of the company's stock.

About Affirm

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.