Clear Street Group Inc. Makes New Investment in Affirm Holdings, Inc. $AFRM

Key Points

• Clear Street Group bought a new Q3 stake of 44,570 shares of Affirm (~$3.26M), while other institutions (e.g., AllianceBernstein, CalPERS) also increased positions, leaving 69.29% of the stock owned by institutional investors.
• Affirm beat Q earnings estimates (EPS $0.37 vs. $0.28; revenue $1.12B, +29.6% YoY), but analysts are mixed — consensus is a “Moderate Buy” with an average price target of $84.36 and a projected -$0.18 EPS for the current year.
• Large insider sales occurred on Jan 5, with CEO Max Levchin selling 666,666 shares (~$53.7M) and CFO Robert O'Hare selling 36,401 shares (~$2.9M), leaving insiders with 11.01% ownership.

Clear Street Group Inc. purchased a new stake in Affirm Holdings, Inc. (NASDAQ:AFRM - Free Report) during the 3rd quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The institutional investor purchased 44,570 shares of the company's stock, valued at approximately $3,257,000.

Several other large investors have also modified their holdings of AFRM. Banco Bilbao Vizcaya Argentaria S.A. acquired a new position in shares of Affirm during the 3rd quarter worth approximately $517,000. California Public Employees Retirement System grew its holdings in Affirm by 8.2% during the 3rd quarter. California Public Employees Retirement System now owns 469,271 shares of the company's stock valued at $34,294,000 after buying an additional 35,646 shares during the last quarter. Alliancebernstein L.P. grew its holdings in Affirm by 333.5% during the 3rd quarter. Alliancebernstein L.P. now owns 1,166,370 shares of the company's stock valued at $85,238,000 after buying an additional 897,340 shares during the last quarter. Ameriprise Financial Inc. increased its position in Affirm by 4.7% during the third quarter. Ameriprise Financial Inc. now owns 149,397 shares of the company's stock worth $10,915,000 after buying an additional 6,652 shares in the last quarter. Finally, Polar Asset Management Partners Inc. acquired a new position in shares of Affirm in the third quarter worth $6,721,000. 69.29% of the stock is currently owned by institutional investors and hedge funds.

Analyst Upgrades and Downgrades

Several analysts have recently issued reports on the company. Morgan Stanley restated an "overweight" rating on shares of Affirm in a research report on Wednesday, March 4th. BTIG Research reissued a "neutral" rating on shares of Affirm in a research note on Thursday, February 26th. Citigroup restated a "market outperform" rating on shares of Affirm in a report on Tuesday, February 24th. Weiss Ratings reaffirmed a "hold (c-)" rating on shares of Affirm in a research note on Monday, December 29th. Finally, Cantor Fitzgerald reiterated an "overweight" rating and set a $85.00 price target on shares of Affirm in a report on Monday, February 9th. Twenty research analysts have rated the stock with a Buy rating and nine have assigned a Hold rating to the company's stock. Based on data from MarketBeat.com, the company currently has an average rating of "Moderate Buy" and a consensus price target of $84.36.

Affirm Stock Performance

Affirm stock opened at $46.88 on Friday. The stock has a fifty day moving average price of $60.71 and a 200 day moving average price of $70.26. Affirm Holdings, Inc. has a 52 week low of $30.90 and a 52 week high of $100.00. The firm has a market capitalization of $15.62 billion, a P/E ratio of 57.88, a PEG ratio of 1.72 and a beta of 3.61. The company has a current ratio of 11.41, a quick ratio of 11.41 and a debt-to-equity ratio of 2.58.

Affirm (NASDAQ:AFRM - Get Free Report) last issued its quarterly earnings results on Thursday, February 5th. The company reported $0.37 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.28 by $0.09. The firm had revenue of $1.12 billion for the quarter, compared to analyst estimates of $1.06 billion. Affirm had a return on equity of 8.83% and a net margin of 7.60%.The firm's quarterly revenue was up 29.6% on a year-over-year basis. During the same period last year, the company earned $0.23 EPS. Equities research analysts anticipate that Affirm Holdings, Inc. will post -0.18 earnings per share for the current year.

Insider Activity at Affirm

In related news, CFO Robert O'hare sold 36,401 shares of the company's stock in a transaction that occurred on Monday, January 5th. The shares were sold at an average price of $80.00, for a total transaction of $2,912,080.00. Following the completion of the transaction, the chief financial officer owned 1,368 shares of the company's stock, valued at approximately $109,440. This represents a 96.38% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, CEO Max R. Levchin sold 666,666 shares of the stock in a transaction that occurred on Monday, January 5th. The stock was sold at an average price of $80.62, for a total transaction of $53,746,612.92. The disclosure for this sale is available in the SEC filing. 11.01% of the stock is currently owned by company insiders.

About Affirm

Affirm Holdings, Inc is a financial technology company that provides point-of-sale consumer lending and payments solutions for online and in-store purchases. Its core product is a buy-now-pay-later (BNPL) platform that enables consumers to split purchases into fixed, transparent installment loans with no hidden fees. Affirm offers a range of financing options through merchant integrations, a consumer-facing mobile app and virtual card capabilities, and tools for merchants to offer alternative payment methods at checkout.

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