Affirm Sees Unusually High Options Volume (NASDAQ:AFRM)

Affirm Holdings, Inc. (NASDAQ:AFRM) saw some unusual options trading activity on Friday. Stock traders purchased 90,416 call options on the stock. This is an increase of 19% compared to the typical volume of 76,123 call options.

Affirm Trading Down 9.8 %

Shares of Affirm stock traded down $4.77 during mid-day trading on Friday, hitting $44.02. The stock had a trading volume of 9,878,308 shares, compared to its average volume of 8,763,256. The firm has a market cap of $13.70 billion, a P/E ratio of -27.04 and a beta of 3.47. Affirm has a 12-month low of $21.87 and a 12-month high of $52.48. The company has a quick ratio of 13.07, a current ratio of 13.07 and a debt-to-equity ratio of 2.41. The firm has a 50-day moving average of $42.93 and a two-hundred day moving average of $34.75.

Affirm (NASDAQ:AFRM) last released its quarterly earnings results on Wednesday, August 28th. The company reported ($0.14) earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($0.45) by $0.31. Affirm had a negative net margin of 22.29% and a negative return on equity of 15.55%. The business had revenue of $659.19 million for the quarter, compared to the consensus estimate of $599.50 million. Sell-side analysts forecast that Affirm will post -0.62 earnings per share for the current year.

Insider Buying and Selling at Affirm

In other news, insider Katherine Adkins sold 82,316 shares of the firm’s stock in a transaction that occurred on Wednesday, September 18th. The shares were sold at an average price of $45.00, for a total transaction of $3,704,220.00. Following the transaction, the insider now directly owns 91,499 shares of the company’s stock, valued at approximately $4,117,455. This trade represents a 0.00 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. In related news, insider Katherine Adkins sold 82,316 shares of the stock in a transaction that occurred on Wednesday, September 18th. The stock was sold at an average price of $45.00, for a total value of $3,704,220.00. Following the transaction, the insider now owns 91,499 shares of the company’s stock, valued at $4,117,455. This represents a 0.00 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, Director Christa S. Quarles sold 14,400 shares of Affirm stock in a transaction on Thursday, September 12th. The shares were sold at an average price of $40.02, for a total value of $576,288.00. Following the sale, the director now directly owns 141,903 shares of the company’s stock, valued at approximately $5,678,958.06. This trade represents a 0.00 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 102,800 shares of company stock valued at $4,554,288 in the last three months. Company insiders own 12.41% of the company’s stock.

Institutional Investors Weigh In On Affirm

Several large investors have recently added to or reduced their stakes in AFRM. Vanguard Group Inc. raised its stake in shares of Affirm by 6.8% in the first quarter. Vanguard Group Inc. now owns 20,823,803 shares of the company’s stock valued at $775,895,000 after acquiring an additional 1,316,901 shares in the last quarter. Capital World Investors grew its stake in Affirm by 0.4% during the 1st quarter. Capital World Investors now owns 19,079,071 shares of the company’s stock worth $710,886,000 after purchasing an additional 77,050 shares in the last quarter. Dragoneer Investment Group LLC purchased a new stake in Affirm during the 2nd quarter worth about $45,219,000. Bank of New York Mellon Corp raised its position in Affirm by 25.6% in the 2nd quarter. Bank of New York Mellon Corp now owns 866,946 shares of the company’s stock valued at $26,190,000 after purchasing an additional 176,675 shares in the last quarter. Finally, Artemis Investment Management LLP acquired a new stake in Affirm in the 3rd quarter valued at about $30,808,000. 69.29% of the stock is owned by hedge funds and other institutional investors.

Wall Street Analyst Weigh In

AFRM has been the subject of a number of analyst reports. JPMorgan Chase & Co. upped their price objective on Affirm from $43.00 to $45.00 and gave the stock an “overweight” rating in a research note on Tuesday, August 20th. Bank of America lifted their price objective on shares of Affirm from $36.00 to $42.00 and gave the stock a “buy” rating in a research report on Thursday, August 29th. Barclays increased their target price on shares of Affirm from $50.00 to $54.00 and gave the company an “overweight” rating in a research report on Monday, September 23rd. Royal Bank of Canada reaffirmed a “sector perform” rating and set a $46.00 target price on shares of Affirm in a report on Friday, October 4th. Finally, Needham & Company LLC reissued a “hold” rating on shares of Affirm in a research report on Friday, September 6th. Two equities research analysts have rated the stock with a sell rating, nine have assigned a hold rating and nine have issued a buy rating to the company. According to data from MarketBeat, the stock has a consensus rating of “Hold” and a consensus target price of $43.36.

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.