This story was originally published on Payments Dive. To receive daily news and insights, subscribe to our free daily Payments Dive newsletter. Dive Brief: Buy now, pay later company Affirm has options for dropping less profitable lending; asking some consumers for down payments; and requiring more financial information from consumers if they become more financially stressed in a potential U.S. economic downturn, Chief Financial Officer Rob O'Hare said Tuesday. His comments were hypothetical, but if ca ...

In discussing how Affirm might respond to a more contractionary environment, management framed tightening as primarily removing loans that are “break even or better” at the low end of the credit spectrum within many large merchant programs. As a result, the company said it would expect a slowdown in GMV under higher stress assumptions, but “pretty minimal” profitability headwinds because most profitability comes from the middle to upper portions of its credit spectrum.Affirm emphasized that it underwrites “ ...

It has been a brutal past few months for fintech stocks, as some leaders in this space have been in free fall. Specifically, two of the most prominent and well-known fintechs -- Upstart Holdings (NASDAQ: UPST) and Affirm Holdings (NASDAQ: AFRM) -- have seen their stock prices fall roughly 36% year to date. The drops are not really based on business growth -- or lack thereof. In fact, in the most recent quarter, Upstart, which uses artificial intelligence (AI) to process loan requests, grew loan originati ...

Affirm Holdings stock is feeling bearish pressure. Why is AFRM stock falling?Affirm Falls As Fed Signals Higher Inflation OutlookThe cautious macro backdrop appeared to pressure growth-oriented and rate-sensitive names, with broader equity indexes also moving lower after the announcement. For Affirm, the combination of elevated inflation expectations, a still-restrictive rate environment and weaker appetite for higher-multiple technology stocks may have contributed to the afternoon pullback.Affirm Analysts ...

A fund holding consumer and small-business loans made by companies including Affirm and Block is the latest corner of the private-credit market to come under stress. ...

Question-and-Answer SessionHarry BartlettRothschild & Co Redburn, Research Division Great. So look, it's kind of hard to avoid the current environment at the moment. So maybe I'll start there looking at the consumer. So I guess given we're seeing kind of increasing geopolitical risk and I guess, depending on how long this lasts and we could see some spillover effects. I mean, I guess in terms of what you're seeing from the consumer in terms of demand in the credit side, maybe you can talk us through there. ...

Affirm (NasdaqGS:AFRM) Fireside Chat Summary Company Overview - **Company**: Affirm - **Date of Call**: March 17, 2026 - **Context**: Discussion on current market conditions, consumer behavior, and Affirm's business strategies Key Points Industry and Market Conditions - **Geopolitical Risks**: Current geopolitical tensions are noted, but no immediate impact on consumer demand is observed despite elevated oil prices [6][7] - **Consumer Behavior**: Demand remains steady, with no discernible stress on consumers from rising fuel prices at present [6][7] Business Operations and Strategies - **Underwriting Practices**: Affirm underwrites every transaction, allowing for nimbleness in response to consumer stress [7] - **Loan Origination**: The company originates approximately $150 million in loans daily, using early repayment signals as leading indicators for underwriting posture [8][9] Credit Stress and GMV Growth - **Credit Stress Impact**: A potential 50% increase in credit stress could lead to a 10 percentage point reduction in GMV growth [10][11] - **Profitability Management**: Most profitability comes from the middle to upper credit spectrum, minimizing the impact of tightening underwriting standards [12][13] Funding and Securitization - **Recent Securitization**: Affirm's recent securitization deal was upsized from $500 million to $750 million due to strong demand, priced at 116 basis points [17][18] - **Funding Channels**: Affirm utilizes various funding channels, including ABS, forward flow loan buying relationships, and warehouse loans, with $4 billion of untapped warehouse capacity available [20][21] Product Development and Growth - **Affirm Card Growth**: The Affirm Card has grown to represent 16% of GMV, with a year-on-year growth rate of 150% [25] - **User Engagement**: The card is primarily a second-use product, with ongoing efforts to increase user penetration and overall spend [27][28] 0% APR Products - **0% APR Strategy**: The company aims to expand the number of merchants offering 0% APR loans, viewing it as a complement to interest-bearing products [35][36] - **Consumer Adoption**: There is a high propensity for consumers to utilize both 0% and interest-bearing loans throughout their lifecycle [36] Long-term Vision and Expansion - **International Expansion**: Affirm is working towards auto-enabling Shop Pay Installments for new merchants in the U.K. and plans to expand into continental Europe [61][64] - **Partnerships**: The partnership with QuickBooks aims to facilitate consumer payments for invoices, marking an expansion into the services vertical [65][68] Banking License and Future Opportunities - **Banking Subsidiary**: Affirm is pursuing a banking license to originate loans and issue cards, enhancing its position in the value chain [70][72] - **Future Product Offerings**: While currently focused on BNPL, there is potential for future offerings in secured lending, though this remains uncertain [75] Competitive Landscape - **Market Positioning**: Affirm differentiates itself by offering a broader range of loan products compared to competitors focused on Pay in 4 transactions [51][52] - **Technological Innovations**: Tools like AdaptAI and BoostAI are being utilized to optimize offers for consumers and enhance merchant partnerships [54][55] Financial Performance and Capital Allocation - **Revenue Goals**: Affirm aims to maintain a revenue less transaction cost percentage of GMV between 3%-4%, currently operating near the high end of this range [42][43] - **Capital Return Strategies**: The company has an existing buyback program for convertible bonds, with future capital allocation strategies to be considered as the business matures [80][81] Additional Insights - **Agentic Commerce**: Affirm is prepared to adapt to shifts in consumer demand towards agentic commerce, ensuring its financing options remain relevant [59][60] - **M&A Considerations**: The company is open to acquisitions as a means to accelerate growth and enhance product offerings [84][85]

I previously covered Affirm ( AFRM ) in November 2025, discussing why the fintech was an even better Buy after the prior correction nearer to my Buy Zones, thanks to the expanding fintech/BigTech/PSP partnerships andI am a full-time analyst interested in a wide range of stocks. With my unique insights and knowledge, I hope to provide other investors with a contrasting view of my portfolio, given my particular background.If you have any questions, feel free to reach out to me via a direct message on Seeking ...

Affirm Holdings Inc. (NASDAQ:AFRM) ranks among the best growth stocks to buy and hold for the long term. Following the company’s conference presentation, Baird reaffirmed a Neutral rating on Affirm Holdings Inc. (NASDAQ:AFRM) with a $55 price target on March 5. Baird believes the company’s risk-reward profile is balanced to moderately favorable at 36x calendar 2026 projections. The firm recognized the company’s solid growth rate and potential for market dominance. However, these benefits are outweighed b ...

Affirm Holdings Inc. (NASDAQ:AFRM) is one of the 10 best financial stocks with highest upside potential. On February 17, Affirm Holdings Inc. (NASDAQ:AFRM) and Lowe’s (LOW) announced their new partnership, which will enable Affirm to provide payment plans for Lowe’s customers on Lowe’s website and Lowe’s mobile app. The companies indicated that Lowe’s will be featured on the Affirm marketplace, expanding their customer base to Affirm’s shopper network. Copyright: daviles / 123RF Stock Photo Affirm’s Ch ...