We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Affirm Stock to Gain From Value-Driven Holiday Shopping: Here's How
Read MoreHide Full Article
Affirm Holdings, Inc. (AFRM - Free Report) recently shared research findings showing that 71% of Canadians plan to maintain or increase their holiday spending this year despite economic challenges. However, shoppers are adopting a more thoughtful approach, focusing on meaningful purchases, seeking the best deals, and using flexible payment options like buy now, pay later (BNPL) to better manage their budgets.
The research reveals that 77% of consumers are adopting a "slow shopping" approach, taking extra time to evaluate whether a purchase is truly necessary. Additionally, 59% plan to complete their purchases on or after Black Friday, spreading their shopping across December. This strategy will likely help shoppers secure the best deals, explore promotions, and compare brands and styles.
Nearly 50% are using BNPL options to manage budgets effectively. Many shoppers are tilting towards 0% APR financing options without hidden fees and compound interests for shopping over traditional discounts. As consumers prioritize budgeting, value-driven shopping, and avoiding credit card debt, Affirm's payment plans have become more appealing. This will drive higher transaction volumes on its platform.
Retailers offering such flexible and transparent payment options are better equipped to capture a greater market share. By addressing the demand for such services, Affirm has managed to rapidly grow its merchant network. Recently, it integrated JD Sports into AFRM's extensive network of more than 320,000 merchants, including Amazon, Peloton, American Airlines, SeatGeek and others.
Price Performance
Over the past year, shares of Affirm have surged 108.7% compared with the 31.2% growth of the industry it belongs to.
The Zacks Consensus Estimate for Coinbase’s current-year earnings of $5.39 per share indicates a massive jump from the year-ago level of 37 cents. COIN beat earnings estimates in three of the trailing four quarters and met once, with the average surprise being 341.4%. The consensus estimate for current-year revenues is pegged at $5.6 billion, implying 80.6% year-over-year growth.
The Zacks Consensus Estimate for Cantaloupe’s current-year earnings indicates a 113.3% year-over-year surge. CTLP beat earnings estimates in two of the trailing four quarters, met once and missed on the other occasion, with the average surprise being 20%. The consensus estimate for current-year revenues implies 15.9% year-over-year growth.
The consensus estimate for DLocal’s current-year earnings is pegged at 47 cents per share, which witnessed three upward revisions in the past month against none in the opposite direction. It beat earnings estimates in two of the trailing four quarters and missed twice, with the average surprise being 22.6%. The consensus estimate for DLO’s current-year revenues is pegged at $745 million, implying 14.6% year-over-year growth.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Affirm Stock to Gain From Value-Driven Holiday Shopping: Here's How
Affirm Holdings, Inc. (AFRM - Free Report) recently shared research findings showing that 71% of Canadians plan to maintain or increase their holiday spending this year despite economic challenges. However, shoppers are adopting a more thoughtful approach, focusing on meaningful purchases, seeking the best deals, and using flexible payment options like buy now, pay later (BNPL) to better manage their budgets.
The research reveals that 77% of consumers are adopting a "slow shopping" approach, taking extra time to evaluate whether a purchase is truly necessary. Additionally, 59% plan to complete their purchases on or after Black Friday, spreading their shopping across December. This strategy will likely help shoppers secure the best deals, explore promotions, and compare brands and styles.
Nearly 50% are using BNPL options to manage budgets effectively. Many shoppers are tilting towards 0% APR financing options without hidden fees and compound interests for shopping over traditional discounts. As consumers prioritize budgeting, value-driven shopping, and avoiding credit card debt, Affirm's payment plans have become more appealing. This will drive higher transaction volumes on its platform.
Retailers offering such flexible and transparent payment options are better equipped to capture a greater market share. By addressing the demand for such services, Affirm has managed to rapidly grow its merchant network. Recently, it integrated JD Sports into AFRM's extensive network of more than 320,000 merchants, including Amazon, Peloton, American Airlines, SeatGeek and others.
Price Performance
Over the past year, shares of Affirm have surged 108.7% compared with the 31.2% growth of the industry it belongs to.
Image Source: Zacks Investment Research
Zacks Rank & Key Picks
Affirm currently has a Zacks Rank #3 (Hold).
Some better-ranked stocks in the broader Business Services space are Coinbase Global, Inc. (COIN - Free Report) , Cantaloupe, Inc. (CTLP - Free Report) and DLocal Limited (DLO - Free Report) , each carrying a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
The Zacks Consensus Estimate for Coinbase’s current-year earnings of $5.39 per share indicates a massive jump from the year-ago level of 37 cents. COIN beat earnings estimates in three of the trailing four quarters and met once, with the average surprise being 341.4%. The consensus estimate for current-year revenues is pegged at $5.6 billion, implying 80.6% year-over-year growth.
The Zacks Consensus Estimate for Cantaloupe’s current-year earnings indicates a 113.3% year-over-year surge. CTLP beat earnings estimates in two of the trailing four quarters, met once and missed on the other occasion, with the average surprise being 20%. The consensus estimate for current-year revenues implies 15.9% year-over-year growth.
The consensus estimate for DLocal’s current-year earnings is pegged at 47 cents per share, which witnessed three upward revisions in the past month against none in the opposite direction. It beat earnings estimates in two of the trailing four quarters and missed twice, with the average surprise being 22.6%. The consensus estimate for DLO’s current-year revenues is pegged at $745 million, implying 14.6% year-over-year growth.