William Blair Issues Negative Outlook for Affirm Earnings

Key Points

• William Blair has revised its Q2 2026 earnings estimate for Affirm to $0.27 per share, down from a previous forecast of $0.34, while the consensus for the full-year earnings remains at ($0.18) per share.
• Affirm reported a quarterly EPS of $0.20, exceeding expectations of $0.11 and marking a 32.9% increase in revenue year-over-year.
• Multiple analysts have raised their price targets for Affirm, with JPMorgan now at $94 and Jefferies at $95, while the stock holds a consensus rating of Moderate Buy.

Affirm Holdings, Inc. (NASDAQ:AFRM - Free Report) - William Blair lowered their Q2 2026 earnings per share estimates for shares of Affirm in a research report issued on Friday, August 29th. William Blair analyst A. Jeffrey now forecasts that the company will post earnings per share of $0.27 for the quarter, down from their previous estimate of $0.34. The consensus estimate for Affirm's current full-year earnings is ($0.18) per share. William Blair also issued estimates for Affirm's Q4 2026 earnings at $0.41 EPS, FY2026 earnings at $0.83 EPS and FY2027 earnings at $2.05 EPS.

Affirm (NASDAQ:AFRM - Get Free Report) last posted its quarterly earnings data on Thursday, August 28th. The company reported $0.20 earnings per share for the quarter, topping the consensus estimate of $0.11 by $0.09. Affirm had a return on equity of 1.80% and a net margin of 1.62%.The firm had revenue of $876.42 million during the quarter, compared to analyst estimates of $834.94 million. During the same period last year, the company posted ($0.14) EPS. The business's quarterly revenue was up 32.9% on a year-over-year basis. Affirm has set its FY 2026 guidance at EPS. Q1 2026 guidance at EPS.

A number of other research firms have also recently issued reports on AFRM. JPMorgan Chase & Co. increased their price objective on shares of Affirm from $91.00 to $94.00 and gave the stock an "overweight" rating in a research report on Friday, August 29th. Barclays increased their price objective on shares of Affirm from $67.00 to $80.00 and gave the stock an "overweight" rating in a research report on Monday, June 30th. The Goldman Sachs Group increased their price objective on shares of Affirm from $45.00 to $58.00 and gave the stock a "buy" rating in a research report on Monday, May 12th. Rothschild & Co Redburn began coverage on shares of Affirm in a research report on Friday, August 1st. They set a "neutral" rating and a $74.00 price objective on the stock. Finally, Mizuho increased their price objective on shares of Affirm from $70.00 to $108.00 and gave the stock an "outperform" rating in a research report on Tuesday. One investment analyst has rated the stock with a Strong Buy rating, eighteen have given a Buy rating and eleven have issued a Hold rating to the company. According to data from MarketBeat, Affirm presently has a consensus rating of "Moderate Buy" and a consensus target price of $79.04.

Affirm Trading Up 5.8%

Shares of AFRM stock traded up $4.92 during mid-day trading on Monday, hitting $90.23. The company's stock had a trading volume of 8,469,867 shares, compared to its average volume of 7,439,175. The company has a market cap of $29.11 billion, a PE ratio of 694.98, a P/E/G ratio of 3.29 and a beta of 3.64. The company's fifty day simple moving average is $72.43 and its 200-day simple moving average is $59.43. The company has a debt-to-equity ratio of 2.55, a quick ratio of 11.47 and a current ratio of 11.54. Affirm has a 52 week low of $30.90 and a 52 week high of $100.00.

Institutional Inflows and Outflows

A number of large investors have recently made changes to their positions in AFRM. Allworth Financial LP lifted its position in shares of Affirm by 63.7% during the first quarter. Allworth Financial LP now owns 563 shares of the company's stock valued at $27,000 after purchasing an additional 219 shares in the last quarter. Huntington National Bank grew its position in Affirm by 634.0% during the second quarter. Huntington National Bank now owns 389 shares of the company's stock valued at $27,000 after buying an additional 336 shares during the period. SouthState Corp grew its position in Affirm by 190.5% during the second quarter. SouthState Corp now owns 427 shares of the company's stock valued at $30,000 after buying an additional 280 shares during the period. Blume Capital Management Inc. grew its position in Affirm by 468.8% during the second quarter. Blume Capital Management Inc. now owns 455 shares of the company's stock valued at $31,000 after buying an additional 375 shares during the period. Finally, UMB Bank n.a. grew its position in Affirm by 86.6% during the second quarter. UMB Bank n.a. now owns 569 shares of the company's stock valued at $39,000 after buying an additional 264 shares during the period. 69.29% of the stock is owned by institutional investors.

Insider Activity at Affirm

In related news, CEO Max R. Levchin sold 499,223 shares of the firm's stock in a transaction dated Thursday, August 28th. The shares were sold at an average price of $80.17, for a total transaction of $40,022,707.91. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, insider Katherine Adkins sold 36,878 shares of the firm's stock in a transaction dated Friday, August 29th. The shares were sold at an average price of $95.00, for a total transaction of $3,503,410.00. Following the transaction, the insider directly owned 113,400 shares in the company, valued at $10,773,000. The trade was a 24.54% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 1,234,964 shares of company stock valued at $98,925,256 over the last quarter. 11.82% of the stock is currently owned by company insiders.

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.