Core Insights - The rise of "rent now, pay later" services is a response to increasing housing costs and unpredictable paychecks, particularly affecting lower-income and gig-economy workers [1][2] - Rents in the U.S. have increased nearly 28% over the past five years, leading to a growing number of renters seeking financial relief through these services [1][5] Group 1: Industry Overview - Companies like Flex, Livble, and Affirm offer services that allow renters to split their rent payments into multiple installments, which can help manage cash flow [2][6] - Approximately 109 million Americans, or about 42.5 million households, are renters, with many paying 30% or more of their income on rent, categorizing them as "cost burdened" [5] Group 2: Financial Implications - Rent now, pay later services typically function like short-term loans, often incurring additional fees that can strain budgets further [2][7] - For example, a user of Flex paid a total of $33.49 for a two-week loan of $500, resulting in an effective annual percentage rate of 172% [3][7]

Core Viewpoint - Morgan Stanley has identified SoFi Technologies as the 'best fintech asset' amidst a positive sentiment towards fintech stocks on Wall Street, with both SoFi and Affirm Holdings receiving upgrades and recognition [1]. Group 1: Company Insights - SoFi Technologies is experiencing a surge in interest from investors, highlighted by recent upgrades from analysts [1]. - The CEO of SoFi Technologies, Anthony Noto, is mentioned, indicating leadership involvement in the company's positive trajectory [1]. Group 2: Industry Trends - The fintech sector is currently favored by Wall Street, with multiple companies, including SoFi and Affirm Holdings, gaining attention and accolades [1].

Key Takeaways AFRM reports fiscal Q2 results Feb. 5, with consensus EPS of 28 cents on revenues of $1.06 billion.Affirm's GMV is projected to grow 31.9%, while merchant network revenues are seen rising 28.2% YoY.AFRM may see more transactions from higher consumers, with card network revenues up 41.1%.Leading buy now, pay later (BNPL) solution provider Affirm Holdings, Inc. (AFRM) is set to report its second-quarter fiscal 2026 results on Feb. 5, 2026, after the closing bell. The Zacks Consensus Estimate for ...

Upgrades - DA Davidson upgraded Q2 Holdings (QTWO) to Buy from Neutral with an unchanged price target of $82, citing an attractive entry point due to the stock's pullback over the last 6-8 months [2] - Citi upgraded JetBlue (JBLU) to Neutral from Sell with a price target of $6, up from $4, noting "upside risks" and strategic optionality for the airline [3] - Morgan Stanley upgraded Affirm (AFRM) to Overweight from Equal Weight with a price target of $76, down from $83, highlighting a compelling risk/reward scenario following recent stock weakness [3] - Daiwa upgraded Visa (V) to Outperform from Neutral with an unchanged price target of $370, revising earnings forecasts upward in light of Q1 earnings [4] - Northland upgraded Palantir (PLTR) to Outperform from Market Perform with a price target of $190, up from $185, following the company's strong Q4 results [4] Downgrades - Piper Sandler downgraded Adobe (ADBE) to Neutral from Overweight with a price target of $330, down from $470, due to concerns over seat-compression and vibe coding narratives [5] - RBC Capital downgraded Elevance Health (ELV) to Sector Perform from Outperform with a price target of $358, down from $392, citing softer than expected 2026 guidance [5] - BofA downgraded Figure (FIGR) to Underperform from Neutral with a price target of $42, down from $43, noting a significant valuation gap compared to Coinbase [5] - BNP Paribas downgraded Exxon Mobil (XOM) to Underperform from Neutral with a price target of $125, up from $114, based on valuation concerns [5] - Roth Capital downgraded Coterra Energy (CTRA) to Neutral from Buy with a price target of $28, down from $30, believing no higher offers will materialize at this time [5]

Affirm Holdings, Inc. (NASDAQ:AFRM) is one of the stocks on Jim Cramer’s recent game plan. Cramer was bullish on the company’s upcoming quarter, as he remarked: And then there’s Affirm, which I think will put up a fantastic quarter, and once again, the bears will be put on the run by CEO Max Levchin. I think this buy now, pay later kingpin should be bought, yes, bought ahead of the quarter. Stock market data showing an upward trajectory. Photo by Burak The Weekender on Pexels Affirm Holdings, Inc. (NA ...

This story was originally published on Payments Dive. To receive daily news and insights, subscribe to our free daily Payments Dive newsletter. Companies like Stripe and Affirm Holdings, which have applied for federal and state banking charters in recent months, are looking for greater control and greater flexibility, in addition to cost savings, according to analysts and consultants who follow the payments industry.  Other companies pursuing state and federal charters include PayPal, Revolut, Fiserv and ...

Core Viewpoint - Analysts forecast Affirm Holdings (AFRM) will report quarterly earnings of $0.28 per share, reflecting a year-over-year increase of 21.7%, with anticipated revenues of $1.06 billion, showing a 22% increase compared to the previous year [1]. Earnings Projections - The consensus EPS estimate has been revised downward by 8.7% over the past 30 days, indicating a collective reassessment by analysts [2]. - Changes in earnings projections are crucial for predicting investor reactions, as empirical studies show a strong correlation between earnings estimate trends and short-term stock price movements [3]. Revenue Estimates - Analysts expect 'Revenue- Merchant network' to be $313.83 million, representing a 28.2% increase from the year-ago quarter [4]. - The 'Revenue- Card network' is projected at $82.05 million, indicating a 41.1% year-over-year change [5]. - 'Revenue- Interest income' is estimated at $484.64 million, reflecting an 18.4% increase compared to the previous year [5]. - The consensus for 'Revenue- Servicing income' stands at $41.60 million, showing a 45% increase from the prior-year quarter [5]. - 'Revenue- Gain on sales of loans' is expected to reach $132.79 million, indicating a 6% increase from the prior-year quarter [6]. - Analysts project 'Gross Merchandise Volume (GMV)' to be $13,321.57 billion, up from $10,100.00 billion in the same quarter last year [6]. Consumer Metrics - The estimated number of 'Active Consumers' is projected to be 25, up from 21 a year ago [7]. - 'Transactions per Active Consumer' are forecasted to reach 6, compared to 5 in the previous year [7]. Stock Performance - Affirm Holdings shares have returned -18.6% over the past month, contrasting with the Zacks S&P 500 composite's +0.7% change, and the stock holds a Zacks Rank 3 (Hold), suggesting it is expected to mirror overall market performance in the near future [7].

Core Insights - Expedia Group and Affirm have announced an expanded multi-year partnership, making Affirm the exclusive provider of BNPL installment payment methods for lodging and packages across Expedia, Hotels.com, and Vrbo [1] - The partnership will also extend to Canadian travelers on select properties in the near future [1] Payment Options - Eligible travelers can receive real-time approval decisions and choose customized monthly payment plans of up to 24 months when shopping for hotels and packages [2] - In the US, eligible travelers can access 0% APR offers on three- or six-month plans [2] Strategic Vision - The partnership aims to empower travelers by providing clarity and confidence in payment options, enhancing their ability to plan meaningful experiences [3] - The integration of payment choice and transparency is becoming increasingly important in the booking experience, especially with the rise of AI-powered tools [3] Market Position - Affirm has been a partner of Expedia Group for a decade, indicating a long-standing relationship that adapts to changing consumer preferences regarding payment methods [4] - Expedia Group is part of a network of nearly 420,000 merchants globally that trust Affirm for flexible payment options, including major brands like Amazon and Costco [4]

Core Insights - Affirm Holdings, Inc. and Expedia Group, Inc. have expanded their travel payment partnership, making Affirm the exclusive Buy Now, Pay Later option for lodging and packages on major travel brands [1] Group 1: Expanded US Coverage - Under the new agreement, Affirm's installment payment option will be the only Buy Now, Pay Later method for travelers booking hotels and vacation packages on Expedia, Hotels.com, and Vrbo in the U.S. [2] - Eligible customers will receive real-time approval decisions and customized monthly payment plans that can extend up to 24 months [2] - Affirm plans to expand its Buy Now, Pay Later service to Canadian travelers on select properties in the near future [2] Group 2: Payment Options - In the U.S., eligible buyers can select three- or six-month plans with 0% APR, with no compounding interest or late fees, and all terms are visible before checkout [3] - The Vice President of Global Payments at Expedia Group emphasized that clear payment choices help individuals pursue meaningful travel experiences [3] Group 3: Adapting to New Booking Habits - Expedia Group is evolving consumer trip planning with tools like AI-powered itinerary discovery, which integrates payment decisions earlier in the booking process [4] - The Senior Vice President of Revenue at Affirm noted that travelers are now considering payment options alongside their destination choices, reflecting the integration of payment flexibility in modern trip planning [4] - Affirm collaborates with nearly 420,000 merchants globally, including major retail brands, to enhance customer access and increase average order value for businesses [5]

Core Insights - Affirm has become the exclusive provider of buy now, pay later (BNPL) payment options for Expedia Group brands in the U.S. [1] - The partnership will soon extend to Canadian travelers, enhancing payment flexibility for customers [2][3] Partnership Details - The collaboration between Affirm and Expedia Group is part of a multi-year expansion [2] - Affirm is now among nearly 420,000 merchants globally that offer flexible payment options [4] Customer Experience - Affirm's BNPL offerings are designed to provide clarity and confidence in payment selection for customers [3] - The partnership aims to enhance the travel planning experience by integrating payment considerations with travel choices [5] Recent Developments - Affirm reported record volumes and profitable growth in Q1 of fiscal 2026, supported by demand for transparent credit options [5] - Recent partnerships include collaborations with Bolt, Esusu, and Gr4vy to expand BNPL services and flexible payment options [6] Technology and Innovation - Expedia Group is leveraging AI, automation, and partner connectivity to meet growing travel demand [7] - The company's technology systems are designed to create a connected experience for travelers and supply partners [7]