Founded in 2012, Affirm is a market leader in the buy now, pay later space with around $36 billion in transaction volume in fiscal 2025. Affirm offers both zero-interest financing, which is merchant-subsidized, and interest-bearing loans, which function as personal loans that are approved on a per-transaction basis.
It is a $27.3B financial services company. Revenue grew 32.2% over the last year, and it keeps 45¢ of every dollar of sales as profit. It trades at 14.1× earnings.
- Website
- affirm.com
- Location
- San Francisco, CA
- Employees
- 2 358
- Sector
- Financial Services
- Founded
- 2012
Skills
Six independent scores, 0–100, built from reported numbers and valuation history. Click a row to see how it was scored.
Valuation, Growth, Health, Quality and Moat lag behind.
Valuation36
- P/E vs own history59th pct · 12/25
- FCF yield3.6% · 12/25
- P/S6.4x · 12/25
- EV/EBITDA49.0x · 0/25
Growth25
- Revenue CAGR33.3% · 25/25
- Net income CAGRn/a · 0/25
- EPS CAGR ~5Yn/a · 0/25
- Fwd implied growth-57.0% · 0/25
Profitability62
- ROICn/a · 0/25
- ROE47.9% · 25/25
- Net margin45.3% · 25/25
- Operating margin9.8% · 12/25
Health25
- Altman Zn/a · 0/25
- Current ratio4.16 · 25/25
- Interest coverage-3.8x · 0/25
- Net cash / debtn/a · 0/25
Quality40
- Piotroski F5/9 · 15/25
- Beneish M1.98 · 0/25
- FCF conversion206% · 25/25
- Margin stabilityσ 30.9% · 0/25
Moat5
- ROIC >12% years0/5 yrs · 0/25
- Median gross margin-35.0% · 0/25
- FCF-positive years3/6 yrs · 5/25
- Worst-year net marginworst -62.1% · 0/25
Experience
The company's career so far — founding, the IPO, landmark products and acquisitions, plus revenue milestones and insider buying.
- FY2026FinancialBest year on record$1.93B net income
- FY2025FinancialTurned profitable$52.2M net income after a loss year
- 2024MilestoneThe company's installment loans became available to shoppers using Apple Pay
- 2024ProductAffirm launched its installment loans in the U.K
- 2023ProductPayment processor Worldpay launched a partnership with Affirm, enabling Worldpay merchants to use…
- 2022ProductReuters mentioned Affirm as the "biggest BNPL firm in the United States" while noting that the "rising…
- FY2022FinancialRevenue crossed $1B$1.35B for the year
- 2021AcquisitionAffirm acquired Returnly, a financial technology service company, for US$300 million
- Jan 13, 2021IPOAffirm listed on the Nasdaq with symbol AFRM, raising about $1.2 billion in its IPO
- 2017ProductAccording to Racked in November 2017, Affirm had launched an app which allowed consumers to take out loans for…
- 2012FoundedFounded in 2012 by PayPal co-founder Max Levchin, it is the largest U.S
Achievements
Verifiable track record, straight from the reported numbers.
Strengths & watch-outs
What a bull and a bear would each point to. Both lists come from the reported numbers, not opinions.
Strengths
- High gross margin (92.7%)
- Strongly profitable — 45.3% net margin
- Revenue growing 32.2% year over year
- Strong cash conversion — FCF is 23.3% of revenue
Watch-outs
- Thin interest coverage (-3.8×)
- Loss-making in 4 of the recent years
Qualifications
The basics a company should meet before you research it further. Each check uses the reported numbers.
- Revenue growing — the company sells more than a year ago+32.2% YoY
- Profitable — makes more than it spends$1.93B TTM
- Profit growing — earnings are higher than last year+3597.9% YoY
- Generates cash — cash left after running and investing$993M TTM
- Debt under control — could handle its obligationscurrent ratio 4.16
- Established company — not a micro-cap — lower blow-up risk$27.3B market cap
- Not printing shares — share count not ballooning — you keep your slice+119.1% shares over ~5y
- Proven track record — years of profitability behind it2/6 profitable years
- Financially stable — balance sheet not near distresshealth score 28/100
- Pays a dividend — returns cash to shareholdersno data
- Valuation not extreme — price not wildly above earningsP/E 14.1
Peer comparisonAffirm Holdings, Inc. vs 6 largest financial services peers — cap, P/E, growth and margin side by sideOpen ▾Close ▴
| Company | Market cap | P/E | Revenue growth | Net margin | Profile |
|---|---|---|---|---|---|
| AFRM this company | $27.3B | 14.1 | +32.2% | 45.3% | Strained |
| BRK.A Berkshire Hathaway Inc. | $1.1T | 11.6 | +3.9% | 22.3% | Mixed |
| BRK.B Berkshire Hathaway | $1.1T | 11.6 | +0.0% | 18.0% | Strong |
| JPM JPMorgan Chase & Co. | $886.2B | 13.6 | +13.5% | 32.6% | Strained |
| V VISA Inc. | $723.9B | 31.9 | +14.4% | 50.8% | Solid |
| MA Mastercard Incorporated | $516.4B | 31.7 | +16.0% | 46.3% | Mixed |
| BAC Bank of America Corporation | $380.4B | 11.3 | +15.9% | 27.8% | Mixed |
Head-to-head: AFRM vs BRK.A · AFRM vs BRK.B · AFRM vs JPM
References
What covering analysts publish about the company — information only, not a recommendation.
Appendix · Financial records
The full statements behind this CV, FY2021–FY2026. For readers who want to check the numbers.
Live data and quarterly detail: stockcv.com/AFRM
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Deeper analysis of AFRM on PreMarketPriceFigures are derived from company filings (quarterly values normalised from as-filed year-to-date data where applicable) and may be delayed, restated or incomplete. This page is information, not investment advice. Latest price $80.77 · market cap $27.3B.