Affirm Holdings (AFRM) Surpasses Q1 Earnings and Revenue Estimates

Core Insights - Affirm Holdings reported quarterly earnings of $0.23 per share, exceeding the Zacks Consensus Estimate of $0.11 per share, and showing a significant improvement from a loss of $0.31 per share a year ago, resulting in an earnings surprise of +109.09% [1] - The company achieved revenues of $933.34 million for the quarter ended September 2025, surpassing the Zacks Consensus Estimate by 5.46% and reflecting a year-over-year increase from $698.48 million [2] - Affirm Holdings has consistently outperformed consensus EPS estimates over the last four quarters, achieving this four times [2] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $0.25 on revenues of $1.04 billion, while the estimate for the current fiscal year is $0.86 on revenues of $3.99 billion [7] - The stock's immediate price movement will largely depend on management's commentary during the earnings call and the trends in earnings estimate revisions [3][4] Industry Context - The Internet - Software industry, to which Affirm Holdings belongs, is currently ranked in the top 35% of over 250 Zacks industries, indicating a favorable outlook compared to the bottom 50% [8] - Empirical research suggests a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked by investors [5]