Rothschild & Co has upgraded Affirm Holdings Inc (AFRM) from Neutral to Buy, signaling a more optimistic outlook on the company's future. This change, effective October 5, 2025, comes as Affirm continues to enhance its position in the financial services sector, particularly in the realm of digital and mobile-first commerce.
Headquartered in San Francisco, Affirm operates a platform that includes point-of-sale payment solutions for consumers, merchant commerce solutions, and a consumer-focused app. The company went public on January 13, 2021, and currently has a market capitalization of $21.6 billion. As of November 20, 2025, Affirm's price-to-earnings ratio stands at 92.54, with earnings per share reported at 0.65.
Analysts are anticipating upcoming earnings reports, with estimates for May 7, 2026, showing earnings per share (EPS) of $0.20 on revenue of $995.9 million, while February 5, 2026, estimates suggest an EPS of $0.26 and revenue of $1.1 billion. Recent performance has also been strong; in Q1 2026, Affirm reported an EPS of $0.23, exceeding expectations by 110.4%.
This upgrade reflects improved fundamentals and heightened confidence in Affirm's strategic direction. Analyst ratings are often viewed as valuable insights, but they are based on assumptions that may not always hold true. Investors should consider a range of factors, including company fundamentals and industry trends, when making decisions.
As of November 1, 2025, analyst consensus for Affirm includes 8 Strong Buy, 17 Buy, and 8 Hold ratings, reinforcing a general positive sentiment surrounding the company.