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Affirm Holdings (AFRM) Stock Sinks As Market Gains: What You Should Know

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In the latest trading session, Affirm Holdings (AFRM - Free Report) closed at $30.10, marking a -0.86% move from the previous day. This move lagged the S&P 500's daily gain of 0.48%. At the same time, the Dow added 0.2%, and the tech-heavy Nasdaq lost 0.01%.

Coming into today, shares of the operator of digital commerce platform had lost 36.35% in the past month. In that same time, the Business Services sector lost 8.81%, while the S&P 500 lost 8.48%.

Affirm Holdings will be looking to display strength as it nears its next earnings release, which is expected to be May 12, 2022. In that report, analysts expect Affirm Holdings to post earnings of -$0.54 per share. This would mark year-over-year growth of 25%. Meanwhile, our latest consensus estimate is calling for revenue of $344.57 million, up 49.38% from the prior-year quarter.

Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of -$2.77 per share and revenue of $1.33 billion. These totals would mark changes of -9.06% and +52.58%, respectively, from last year.

Any recent changes to analyst estimates for Affirm Holdings should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.36% higher within the past month. Affirm Holdings currently has a Zacks Rank of #3 (Hold).

The Business - Services industry is part of the Business Services sector. This industry currently has a Zacks Industry Rank of 213, which puts it in the bottom 16% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Make sure to utilize to follow all of these stock-moving metrics, and more, in the coming trading sessions.

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