Affirm Holdings (NASDAQ:AFRM) just smashed through its 52-week high, hitting over $55a jaw-dropping 140% surge over the last year. The buzz? Investors are all in on Affirm’s “Buy Now, Pay Later” playbook, betting big on its growth trajectory and market edge. This isn’t just hype; the numbers back it up. First-quarter revenue shot up 41% year-over-year to $698 million, blowing past Wall Street estimates. Meanwhile, GMVthe total value of transactions processedclimbed 35% to $7.6 billion, showing just how much consumers are loving Affirm’s offering.
But the real kicker? Affirm’s got heavy hitters like Apple (NASDAQ:AAPL), Amazon (NASDAQ:AMZN), and Shopify (NYSE:SHOP) in its corner. Its Apple Pay deal lets iPhone users apply for BNPL loans with a tap, and that’s already moving the needle. Analysts are loving Affirm’s secret saucetop-notch underwriting for big-ticket, interest-bearing purchases, which keeps it ahead of the pack in a crowded payments market. The company isn’t slowing down either. With a revenue forecast of up to $810 million next quarter and plans to crush it in the UK market, Affirm’s growth story is just warming up.
Looking down the road, Affirm’s aiming for GAAP profitability by 2025, and all signs point to them pulling it off. CEO Max Levchin is doubling down on consumer engagement strategies while declining funding costs sweeten the pot. Add in the holiday shopping surge, and Affirm looks primed to deliver even more wins. Whether it’s building momentum with Apple or breaking new ground in the UK, Affirm’s playing a long gameand investors are betting it’s a winner.
This article first appeared on GuruFocus.
