Pacific Heights Asset Management LLC Grows Stock Holdings in Affirm Holdings, Inc. $AFRM

Key Points

• Pacific Heights Asset Management increased its stake in Affirm by 19.3% in the fourth quarter, buying 85,000 additional shares and bringing its total to 525,000 shares worth about $39.1 million.
• Affirm’s latest quarterly results topped earnings expectations, reporting $0.30 EPS versus the expected $0.17, while revenue rose 32.7% year over year to $943.95 million.
• Wall Street remains broadly positive on the stock, with a Moderate Buy consensus and an average price target of $86, even though one insider recently sold 2,000 shares under a pre-arranged trading plan.

Pacific Heights Asset Management LLC lifted its stake in shares of Affirm Holdings, Inc. (NASDAQ:AFRM - Free Report) by 19.3% during the 4th quarter, according to the company in its most recent filing with the Securities and Exchange Commission (SEC). The fund owned 525,000 shares of the company's stock after purchasing an additional 85,000 shares during the period. Affirm accounts for about 1.5% of Pacific Heights Asset Management LLC's portfolio, making the stock its 15th largest holding. Pacific Heights Asset Management LLC owned approximately 0.16% of Affirm worth $39,076,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

Several other hedge funds and other institutional investors have also recently made changes to their positions in AFRM. Royal Bank of Canada grew its holdings in Affirm by 2.1% in the 1st quarter. Royal Bank of Canada now owns 193,601 shares of the company's stock valued at $8,748,000 after buying an additional 3,892 shares in the last quarter. Empowered Funds LLC boosted its position in shares of Affirm by 90.7% during the 1st quarter. Empowered Funds LLC now owns 16,852 shares of the company's stock valued at $762,000 after acquiring an additional 8,014 shares during the last quarter. Focus Partners Wealth acquired a new position in shares of Affirm during the 1st quarter valued at about $243,000. EverSource Wealth Advisors LLC grew its holdings in shares of Affirm by 18.5% in the second quarter. EverSource Wealth Advisors LLC now owns 2,738 shares of the company's stock valued at $189,000 after purchasing an additional 427 shares during the period. Finally, First Trust Advisors LP grew its holdings in shares of Affirm by 44.8% in the second quarter. First Trust Advisors LP now owns 191,525 shares of the company's stock valued at $13,242,000 after purchasing an additional 59,297 shares during the period. Institutional investors and hedge funds own 69.29% of the company's stock.

Affirm Price Performance

NASDAQ:AFRM opened at $65.82 on Monday. The company has a quick ratio of 11.32, a current ratio of 11.32 and a debt-to-equity ratio of 2.39. The stock's fifty day moving average is $54.70 and its two-hundred day moving average is $62.78. Affirm Holdings, Inc. has a 52 week low of $42.10 and a 52 week high of $100.00. The stock has a market capitalization of $22.04 billion, a price-to-earnings ratio of 59.84, a price-to-earnings-growth ratio of 4.17 and a beta of 3.72.

Affirm (NASDAQ:AFRM - Get Free Report) last issued its quarterly earnings data on Thursday, May 7th. The company reported $0.30 earnings per share for the quarter, beating analysts' consensus estimates of $0.17 by $0.13. The business had revenue of $943.95 million during the quarter, compared to analysts' expectations of $995.27 million. Affirm had a return on equity of 11.17% and a net margin of 9.63%.The company's revenue was up 32.7% on a year-over-year basis. During the same period in the previous year, the firm posted $0.01 earnings per share. Research analysts anticipate that Affirm Holdings, Inc. will post 1.13 EPS for the current year.

Wall Street Analyst Weigh In

A number of equities analysts have commented on AFRM shares. The Goldman Sachs Group downgraded shares of Affirm from a "buy" rating to a "hold" rating in a research note on Tuesday, February 24th. JPMorgan Chase & Co. raised their price target on shares of Affirm from $79.00 to $80.00 and gave the stock an "overweight" rating in a report on Friday, May 8th. Robert W. Baird set a $70.00 price target on shares of Affirm in a research report on Friday, May 8th. Cantor Fitzgerald upped their price objective on Affirm from $61.00 to $80.00 and gave the company an "overweight" rating in a report on Tuesday, April 21st. Finally, BMO Capital Markets started coverage on Affirm in a report on Tuesday, April 21st. They issued an "outperform" rating and a $75.00 price objective on the stock. One research analyst has rated the stock with a Strong Buy rating, nineteen have issued a Buy rating and nine have assigned a Hold rating to the stock. According to MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and an average target price of $86.00.

Key Stories Impacting Affirm

Here are the key news stories impacting Affirm this week:

• Positive Sentiment: Mizuho raised its price target on Affirm to $100 from $95 and kept an Outperform rating, citing the company’s $100 billion gross merchandise volume goal and strong long-term growth outlook. Mizuho Hikes Affirm Price Target to $100 as $100 Billion GMV Goal Powers Bull Case
• Positive Sentiment: Several recent analyst notes and media reports highlighted bullish views on Affirm, reinforcing expectations for continued execution and growth in the BNPL market. Analysts Are Bullish on These Financial Stocks: Affirm Holdings (AFRM), Figure Technology Solutions, Inc. Class A (FIGR)
• Positive Sentiment: Jim Cramer said Affirm is “doing the right thing with AI,” adding to the bullish narrative around its product strategy and AI-related commerce opportunities. Affirm (AFRM) Is Doing The Right Thing With AI, Says Jim Cramer
• Positive Sentiment: Coverage of Affirm’s partnership with Google and its push into AI-enabled shopping suggests a potential path to broader adoption and more payment volume over time. Can Affirm and Google Simplify Payments in AI Shopping?
• Neutral Sentiment: Affirm’s investor day laid out an aggressive expansion plan, including new products and international growth, but the market reaction was mixed. Affirm Unveils Aggressive Expansion Blueprint
• Negative Sentiment: Director Noel Bertram Watson sold 2,000 shares in a pre-arranged 10b5-1 transaction, which can slightly weigh on sentiment even though it does not necessarily signal a change in fundamentals. Insider trade disclosure for Noel Bertram Watson

Insiders Place Their Bets

In other Affirm news, Director Noel Bertram Watson sold 2,000 shares of Affirm stock in a transaction dated Wednesday, May 13th. The stock was sold at an average price of $65.00, for a total value of $130,000.00. Following the completion of the transaction, the director directly owned 36,076 shares of the company's stock, valued at $2,344,940. The trade was a 5.25% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 11.01% of the stock is currently owned by corporate insiders.

Affirm Company Profile

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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