Affirm Holdings Inc (NASDAQ: AFRM)’s stock price has increased by 1.00 compared to its previous closing price of 31.01. However, the company has seen a 0.84% increase in its stock price over the last five trading sessions. InvestorPlace reported 2024-04-20 that The Biden administration has introduced a formal proposal to forgive student loan debt, aiming to benefit millions and withstand legal scrutiny. This revised plan focuses on debt accrued beyond original loan amounts for certain low-income earners and cancels unpaid interest for all income levels.
Is It Worth Investing in Affirm Holdings Inc (NASDAQ: AFRM) Right Now?
AFRM has 36-month beta value of 3.55. Analysts have mixed views on the stock, with 0 analysts rating it as a “buy,” 0 as “overweight,” 0 as “hold,” and 0 as “sell.”
The public float for AFRM is 244.04M, and currently, short sellers hold a 12.27% ratio of that float. The average trading volume of AFRM on April 22, 2024 was 8.98M shares.
AFRM’s Market Performance
AFRM stock saw a decrease of 0.84% in the past week, with a monthly decline of -16.50% and a quarterly a decrease of -29.38%. The volatility ratio for the week is 5.24%, and the volatility levels for the last 30 days are 5.14% for Affirm Holdings Inc (AFRM). The simple moving average for the last 20 days is -7.34% for AFRM stock, with a simple moving average of 6.75% for the last 200 days.
Analysts’ Opinion of AFRM
BMO Capital Markets, on the other hand, stated in their research note that they expect to see AFRM reach a price target of $44. The rating they have provided for AFRM stocks is “Market Perform” according to the report published on January 10th, 2024.
Morgan Stanley gave a rating of “Underweight” to AFRM, setting the target price at $20 in the report published on December 18th of the previous year.
AFRM Trading at -14.11% from the 50-Day Moving Average
After a stumble in the market that brought AFRM to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -40.32% of loss for the given period.
Volatility was left at 5.14%, however, over the last 30 days, the volatility rate increased by 5.24%, as shares sank -12.99% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading -36.29% lower at present.
During the last 5 trading sessions, AFRM rose by +0.97%, which changed the moving average for the period of 200-days by +127.41% in comparison to the 20-day moving average, which settled at $33.57. In addition, Affirm Holdings Inc saw -36.26% in overturn over a single year, with a tendency to cut further losses.
Insider Trading
Reports are indicating that there were more than several insider trading activities at AFRM starting from Rabois Keith, who sale 9,276 shares at the price of $35.30 back on Apr 01 ’24. After this action, Rabois Keith now owns 69,276 shares of Affirm Holdings Inc, valued at $327,412 using the latest closing price.
Rabois Keith, the Director of Affirm Holdings Inc, sale 9,276 shares at $34.39 during a trade that took place back on Mar 14 ’24, which means that Rabois Keith is holding 78,552 shares at $318,970 based on the most recent closing price.
Stock Fundamentals for AFRM
Current profitability levels for the company are sitting at:
- -0.46 for the present operating margin
- 0.55 for the gross margin
The net margin for Affirm Holdings Inc stands at -0.39. The total capital return value is set at -0.1. Equity return is now at value -29.17, with -8.90 for asset returns.
Based on Affirm Holdings Inc (AFRM), the company’s capital structure generated 0.7 points at debt to capital in total, while cash flow to debt ratio is standing at 0.03. The debt to equity ratio resting at 2.37. The interest coverage ratio of the stock is -5.23.
Currently, EBITDA for the company is -635.73 million with net debt to EBITDA at -12.31. When we switch over and look at the enterprise to sales, we see a ratio of 7.76. The receivables turnover for the company is 0.36for trailing twelve months and the total asset turnover is 0.21. The liquidity ratio also appears to be rather interesting for investors as it stands at 12.22.
Conclusion
To put it simply, Affirm Holdings Inc (AFRM) has had a mixed performance in recent times. Analysts have a mixed opinion on the stock, with some rating it as a “buy” and others as a “hold”. It’s important to note that the stock is currently trading at a significant distance from its 50-day moving average and its 52-week high.
