Shares of Affirm Holdings, Inc. (AFRM) have plunged 38.3% in the year-to-date period, underperforming the S&P 500’s 14.1% drop and the industry’s 7.1% slide. Even major digital payments service provider PayPal Holdings, Inc. (PYPL) lost 31.4% during this time. Established financial giants in credit and debit card solutions like Visa Inc. (V) and Mastercard Incorporated (MA) have only declined modestly, falling 1.2% and 7.8%, respectively.Price Performance – AFRM, PYPL, V, MA Industry & S&P 500 Image Source: ...

Affirm Holdings (AFRM) shares ended the last trading session 5.1% higher at $37.57. The jump came on an impressive volume with a higher-than-average number of shares changing hands in the session. This compares to the stock's 31.2% loss over the past four weeks.After several days of decline triggered by newly announced tariffs impacting tech and consumer finance sectors, Affirm saw its stock rebound. This uptick stood out on a bearish day for the broader market, suggesting a renewed investor appetite for th ...

Core Insights - Pomerantz LLP is investigating claims on behalf of investors of Affirm Holdings, Inc. regarding potential securities fraud or unlawful business practices by the company and its officers [1] - Klarna has replaced Affirm as the exclusive provider of Buy Now, Pay Later loans for Walmart, leading to a significant drop in Affirm's stock price [3] Group 1: Company Overview - Affirm Holdings, Inc. is a fintech company that specializes in Buy Now, Pay Later (BNPL) services [3] - The company's stock price fell by $6.38 per share, or 12.74%, closing at $43.70 per share following the announcement of Klarna's partnership with Walmart [3] Group 2: Legal Investigation - Pomerantz LLP, a firm known for its work in corporate and securities class litigation, is leading the investigation into Affirm [1][4] - The investigation aims to determine if there have been any fraudulent activities or breaches of fiduciary duty by Affirm and its leadership [1]

Group 1 - Affirm Holdings, Inc. (NASDAQ: AFRM) is expected to experience rapid growth due to the significant expansion of the buy now, pay later market over the next decade [1] - The buy now, pay later market is projected to grow considerably, indicating a favorable environment for companies like Affirm [1] Group 2 - The article emphasizes the importance of innovation and disruption in the financial sector, particularly for growth buyouts and value stocks [2] - There is a focus on high-tech and early growth companies, highlighting the potential investment opportunities within these sectors [2]

Core Viewpoint - The announcement of widespread tariffs by President Trump has significantly impacted fintech companies and credit card issuers, leading to a substantial decline in their stock values due to their close ties to consumer spending and credit [1][4]. Group 1: Market Impact - Affirm's stock fell by 19%, Robinhood decreased by 10%, and PayPal dropped by 8% following the tariff announcement [2]. - American Express and Capital One each saw a decline of 10%, while Discover fell by more than 8% [2]. - The overall market experienced a loss of nearly $2 trillion in value from the S&P 500, with the Nasdaq dropping 6%, marking its worst day since the onset of the Covid pandemic in 2020 [4]. Group 2: Company Exposure and Risk - Companies like PayPal and Affirm are considered to have more cyclical risk and higher exposure to tariffs, while larger firms in the fintech space are viewed as more defensive [5]. - Visa, Mastercard, and Fiserv demonstrated better resilience during the market downturn, with Fiserv being described as a "safe haven" due to its lower exposure to tariff volatility [5]. Group 3: Consumer Behavior and Credit Performance - Affirm's executives have indicated that rising prices due to tariffs could lead to increased demand for their buy now, pay later services, suggesting a potential shift in consumer behavior [6]. - However, concerns about delinquencies have been raised, with comparisons made to private label store cards, indicating that delinquency rates tend to double during recessions compared to traditional credit cards [7].

Core Viewpoint - Affirm Holdings, Inc. has announced a strategic partnership with Stride Bank to enhance its payment options and financial products for consumers nationwide [1][2]. Group 1: Partnership Details - The partnership will allow Stride Bank to become a new card-issuing partner for the Affirm Card, which is expected to boost Affirm's innovative financial offerings [1]. - This collaboration reflects a growing trend in the financial sector where traditional banks partner with fintech companies to improve digital lending services [2]. - The partnership aims to simplify installment-based buying, making responsible lending products more accessible to consumers [3]. Group 2: Benefits and Target Audience - The partnership is anticipated to benefit both companies by leveraging Affirm's extensive user base of over 21 million active users and 330,000 merchants alongside Stride Bank's robust banking infrastructure [4]. - The primary target customers for this partnership are likely to be younger individuals and budget-conscious shoppers [4]. Group 3: Stock Performance - Over the past year, Affirm's stock (AFRM) has increased by 40.4%, significantly outperforming the industry growth of 9.9% [5].

Core Viewpoint - Wall Street experienced a disappointing first quarter of 2025, with concerns over the Trump administration's tariff and trade policies impacting U.S. economic growth and inflation rates [1] Group 1: Growth Stocks Recommendations - Five growth stocks identified for purchase in April include AppLovin Corp. (APP), Marvell Technology Inc. (MRVL), Reddit Inc. (RDDT), Affirm Holdings Inc. (AFRM), and EMCOR Group Inc. (EME) [2] - Each selected stock has a Zacks Rank 1 (Strong Buy) and a Growth Score of A or B [2] Group 2: AppLovin Corp. (APP) - AppLovin provides a software platform for mobile app developers to enhance marketing and monetization [5] - The introduction of AI-powered AXON 2.0 technology and expansion in gaming studios have significantly boosted revenue growth [6] - Expected revenue and earnings growth rates for the current year are 20.4% and 51.7%, respectively [7] - The short-term average price target indicates a potential increase of 90.7% from the last closing price of $282.70, with a target range of $200 to $650 [8] Group 3: Marvell Technology Inc. (MRVL) - Marvell Technology is experiencing strong demand in the data center market, with revenues increasing 98% year over year [9] - The company is well-positioned in the solid-state drive controllers' market due to growing data volume [10] - Expected revenue and earnings growth rates for the current year are 43.8% and 75.8%, respectively [12] - The short-term average price target suggests a potential increase of 96.6% from the last closing price of $62.67, with a target range of $90 to $188 [13] Group 4: Reddit Inc. (RDDT) - Reddit operates a digital community platform that facilitates user engagement and community building [14] - Expected revenue and earnings growth rates for the current year are 40.4% and over 100%, respectively [15] - The short-term average price target indicates an increase of 85.1% from the last closing price of $110.05, with a target range of $75 to $235 [16] Group 5: Affirm Holdings Inc. (AFRM) - Affirm has achieved strong revenue growth through diverse income streams and key partnerships, including with Apple Pay [17][18] - Expected revenue and earnings growth rates for the current year are 36.9% and 89.2%, respectively [19] - The average short-term price target suggests a potential increase of 64.4% from the last closing price of $45.51, with a target range of $56 to $86 [20] Group 6: EMCOR Group Inc. (EME) - EMCOR Group benefits from resilient demand in sectors such as semiconductors and healthcare, with remaining performance obligations of $10.1 billion, up 14.2% year over year [22] - Expected revenue and earnings growth rates for the current year are 12.8% and 8.6%, respectively [23] - The average short-term price target indicates a potential increase of 33.5% from the last closing price of $375.50, with a target range of $445 to $515 [24]

Core Viewpoint - The Portnoy Law Firm has initiated an investigation into possible securities fraud involving Affirm Holdings, Inc. and may file a class action on behalf of affected investors [1][2]. Group 1: Company Developments - Klarna has announced it will replace Affirm as Walmart's exclusive provider of Buy Now, Pay Later loans ahead of its U.S. initial public offering [2]. - Following the announcement of Klarna's partnership with Walmart, Affirm's stock price dropped by $6.38 per share, representing a decline of 12.74%, closing at $43.70 on March 18, 2025 [3]. Group 2: Legal Actions - Investors who have incurred losses are encouraged to contact the Portnoy Law Firm for a complimentary case evaluation and to discuss their legal rights [2]. - The Portnoy Law Firm has a history of recovering over $5.5 billion for investors affected by corporate wrongdoing [3].

Core Viewpoint - Affirm Holdings Inc. is responding to competitive pressures in the buy now, pay later (BNPL) market, particularly following Walmart's exclusive partnership with Klarna, by forming a significant new partnership with J.P. Morgan Payments [1][2][4]. Group 1: Competitive Landscape - The BNPL sector is highly competitive, with companies like Affirm and Klarna vying for market share and merchant partnerships [2][3]. - Walmart's decision to partner with Klarna has negatively impacted Affirm's stock, which saw a decline of nearly 12% following the announcement [4][5]. - The competitive dynamics are influenced by evolving consumer preferences and increased regulatory scrutiny, creating a volatile environment for BNPL providers [3]. Group 2: Strategic Partnerships - Affirm's partnership with J.P. Morgan Payments allows U.S. merchants to integrate Affirm's BNPL options into their checkout processes, significantly expanding Affirm's reach [6][9]. - This collaboration is expected to mitigate the impact of losing Walmart as a partner by diversifying Affirm's merchant base [9][10]. - The partnership reinforces Affirm's positioning as a provider that meets critical needs for both merchants and consumers, enhancing its competitive edge [7][10]. Group 3: Financial Performance and Outlook - Affirm's recent Q2 fiscal year 2025 earnings exceeded expectations, with an EPS of $0.23 and a revenue growth of 47% year-over-year [15]. - The company's Gross Merchandise Volume (GMV) grew by 35%, indicating strong demand for its services [15]. - Analysts maintain a Moderate Buy rating for Affirm, with an average price target of $69.76, suggesting potential undervaluation given the current trading price of $46.20 [12][13][16]. Group 4: Investment Considerations - The recent dip in Affirm's stock price may present a buying opportunity for long-term investors, especially in light of the company's strong growth metrics and new strategic partnerships [17][16]. - Affirm's strategy of diversifying its partnerships and expanding into new verticals creates a more resilient business model, less vulnerable to the loss of any single partner [11][17].

Group 1 - Louis Stevens is a former U.S. Army engineer officer with an MBA and a BA in political science, recognized as a leading analyst in the investing community, ranking in the top 0.1% according to TipRanks [1] - Louis created L.A. Stevens Research, which includes the LAS Index, a basket of stocks selected through a proprietary investment method that has consistently outperformed market indices since its inception [2] - The research and investment services provided by Louis cater to a diverse audience, including beginners, busy professionals, and seasoned fund managers [2]