Investors Purchase Large Volume of Affirm Call Options (NASDAQ:AFRM)

Affirm Holdings, Inc. (NASDAQ:AFRM) was the target of some unusual options trading activity on Friday. Investors purchased 67,657 call options on the stock. This represents an increase of approximately 46% compared to the average volume of 46,346 call options.

Insider Activity

In other Affirm news, Director Christa S. Quarles sold 5,000 shares of Affirm stock in a transaction on Friday, February 14th. The shares were sold at an average price of $80.00, for a total transaction of $400,000.00. Following the sale, the director now owns 137,325 shares of the company’s stock, valued at $10,986,000. The trade was a 3.51 % decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, Director Keith Rabois sold 16,088 shares of the firm’s stock in a transaction dated Monday, March 3rd. The stock was sold at an average price of $63.97, for a total transaction of $1,029,149.36. Following the completion of the transaction, the director now directly owns 61,520 shares in the company, valued at approximately $3,935,434.40. This represents a 20.73 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 55,765 shares of company stock worth $3,094,694 over the last 90 days. 12.41% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Affirm

Hedge funds have recently modified their holdings of the stock. Allworth Financial LP boosted its position in shares of Affirm by 63.7% during the 1st quarter. Allworth Financial LP now owns 563 shares of the company’s stock worth $27,000 after purchasing an additional 219 shares in the last quarter. Itau Unibanco Holding S.A. purchased a new stake in Affirm in the 4th quarter valued at approximately $28,000. Geneos Wealth Management Inc. boosted its stake in shares of Affirm by 356.5% during the fourth quarter. Geneos Wealth Management Inc. now owns 525 shares of the company’s stock valued at $32,000 after acquiring an additional 410 shares during the last quarter. R Squared Ltd acquired a new stake in shares of Affirm during the 4th quarter worth about $33,000. Finally, Coppell Advisory Solutions LLC purchased a new stake in Affirm in the 4th quarter worth approximately $40,000. 69.29% of the stock is owned by institutional investors and hedge funds.

Wall Street Analysts Forecast Growth

A number of equities analysts recently commented on the company. Royal Bank of Canada lifted their price objective on Affirm from $67.00 to $81.00 and gave the stock a “sector perform” rating in a research report on Friday, February 7th. William Blair started coverage on shares of Affirm in a research report on Wednesday, January 15th. They set an “outperform” rating on the stock. The Goldman Sachs Group cut their price target on shares of Affirm from $90.00 to $56.00 and set a “buy” rating for the company in a report on Tuesday, March 18th. Bank of America lifted their target price on Affirm from $76.00 to $80.00 and gave the company a “buy” rating in a research report on Friday. Finally, UBS Group lowered their price target on Affirm from $62.00 to $56.00 and set a “neutral” rating for the company in a report on Friday. Seven investment analysts have rated the stock with a hold rating, fifteen have assigned a buy rating and one has given a strong buy rating to the company. According to data from MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus target price of $66.63.

Affirm Price Performance

Shares of AFRM opened at $46.44 on Friday. The firm has a fifty day moving average price of $46.42 and a 200 day moving average price of $56.70. The company has a debt-to-equity ratio of 2.68, a current ratio of 11.26 and a quick ratio of 11.26. Affirm has a 1-year low of $22.25 and a 1-year high of $82.53. The stock has a market cap of $14.77 billion, a PE ratio of -71.45 and a beta of 3.66.

Affirm (NASDAQ:AFRM) last released its quarterly earnings results on Thursday, May 8th. The company reported $0.01 EPS for the quarter, beating the consensus estimate of ($0.09) by $0.10. The firm had revenue of $783.14 million during the quarter, compared to the consensus estimate of $782.98 million. Affirm had a negative net margin of 7.10% and a negative return on equity of 7.25%. Affirm’s revenue for the quarter was up 35.9% on a year-over-year basis. During the same quarter in the prior year, the firm earned ($0.43) EPS. As a group, sell-side analysts anticipate that Affirm will post -0.18 EPS for the current year.

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.