Mizuho Trims Target Price on Affirm (AFRM) to $95

Core Viewpoint - Affirm Holdings Inc. is identified as a high-risk, high-reward growth stock, with a recent target price reduction by Mizuho to $95 from $114, while maintaining an Outperform rating, citing an unjustified selloff and two positive catalysts: a partnership with Intuit and conservative FY2026 guidance [1][2]. Group 1: Partnership with Intuit - On February 2, Affirm announced a multi-year exclusive partnership with Intuit, making Affirm the built-in pay-over-time solution in QuickBooks Payments, which provides access to millions of small and mid-market businesses with over $2 trillion in invoices annually [2]. - The integration of Affirm into QuickBooks Payments is expected to offer businesses a transparent way to provide customers with payment options while ensuring businesses receive payments upfront [2]. Group 2: Financial Performance - Affirm's Q2 FY2026 earnings report revealed a 36% year-over-year growth in gross merchandise volume, reaching $13.8 billion, and a 30% year-over-year revenue growth to $1.1 billion [2][3]. - Active consumers increased by 23% year-over-year to 25.8 million, and transactions per active customer grew by 20% year-over-year to 6.4 times [2]. Group 3: Future Revenue Guidance - For Q3 FY2026, Affirm expects revenue between $0.97 billion and $1.00 billion, indicating a year-over-year growth rate of 23.9% to 27.7% [3]. - For Q4 FY2026, the revenue guidance is set between $1.06 billion and $1.09 billion, suggesting a year-over-year growth rate of 21.0% to 24.4% [3]. Group 4: Company Overview - Affirm Holdings, Inc. operates a payment network across Canada, the United States, and internationally, offering a consumer-focused app, point-of-sale payment solutions, and merchant commerce solutions [4].