Short Interest in Affirm Holdings, Inc. (NASDAQ:AFRM) Drops By 16.7%

Affirm Holdings, Inc. (NASDAQ:AFRM) was the target of a large drop in short interest during the month of November. As of November 30th, there was short interest totalling 16,690,000 shares, a drop of 16.7% from the November 15th total of 20,030,000 shares. Based on an average trading volume of 10,180,000 shares, the days-to-cover ratio is currently 1.6 days. Approximately 6.5% of the company’s shares are short sold.

Affirm Price Performance

Affirm stock opened at $70.70 on Monday. The company has a debt-to-equity ratio of 2.50, a quick ratio of 12.60 and a current ratio of 12.60. Affirm has a one year low of $22.25 and a one year high of $72.82. The business has a fifty day moving average of $54.98 and a two-hundred day moving average of $40.74. The company has a market cap of $22.20 billion, a P/E ratio of -49.79 and a beta of 3.66.

Affirm (NASDAQ:AFRM) last released its quarterly earnings results on Thursday, November 7th. The company reported ($0.31) earnings per share for the quarter, topping analysts’ consensus estimates of ($0.36) by $0.05. The business had revenue of $698.48 million for the quarter, compared to analysts’ expectations of $661.39 million. Affirm had a negative return on equity of 12.57% and a negative net margin of 17.67%. During the same quarter in the prior year, the firm posted ($0.57) EPS. As a group, analysts predict that Affirm will post -0.53 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other Affirm news, insider Katherine Adkins sold 82,316 shares of the business’s 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 sale, the insider now owns 91,499 shares of the company’s stock, valued at $4,117,455. The trade was a 47.36 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, CFO Robert O’hare sold 100,938 shares of the business’s stock in a transaction on Monday, November 11th. The shares were sold at an average price of $55.00, for a total value of $5,551,590.00. The disclosure for this sale can be found here. Insiders sold 1,380,667 shares of company stock valued at $88,399,613 in the last three months. 12.41% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

A number of hedge funds have recently modified their holdings of AFRM. Lord Abbett & CO. LLC acquired a new position in shares of Affirm in the third quarter valued at approximately $2,644,000. Tidal Investments LLC grew its position in shares of Affirm by 208.6% in the third quarter. Tidal Investments LLC now owns 21,775 shares of the company’s stock valued at $889,000 after purchasing an additional 14,720 shares during the period. Arete Wealth Advisors LLC acquired a new position in Affirm in the third quarter valued at $244,000. Y Intercept Hong Kong Ltd purchased a new position in Affirm during the third quarter worth about $1,618,000. Finally, Main Management ETF Advisors LLC acquired a new stake in Affirm in the 3rd quarter worth about $2,629,000. 69.29% of the stock is owned by hedge funds and other institutional investors.

Wall Street Analysts Forecast Growth

Several analysts have recently issued reports on AFRM shares. Bank of America increased their price objective on Affirm from $50.00 to $74.00 and gave the company a “buy” rating in a research note on Friday, November 22nd. Wedbush raised shares of Affirm from an “underperform” rating to a “neutral” rating and raised their target price for the company from $25.00 to $45.00 in a report on Monday, October 14th. Needham & Company LLC restated a “hold” rating on shares of Affirm in a research note on Friday, September 6th. BTIG Research raised Affirm from a “neutral” rating to a “buy” rating and set a $68.00 price target for the company in a report on Tuesday, October 8th. Finally, The Goldman Sachs Group boosted their target price on Affirm from $57.00 to $78.00 and gave the stock a “buy” rating in a research note on Monday, December 2nd. One analyst has rated the stock with a sell rating, seven have given a hold rating and eight have issued a buy rating to the stock. According to MarketBeat, the company has an average rating of “Hold” and a consensus price target of $55.36.

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.