Shares of Affirm, Toast, Bill.com, PayPal and other consumer-focused fintech firms turned lower Thursday. Goldman Sachs warned that higher import duties could squeeze margins for hardware-dependent fintechs like Toast and Block.
The fintech sector rallied Wednesday following the Trump administration's announcement of a 90-day pause on planned tariffs. Affirm was up 20%, Toast and Block rose 13% and PayPal increased 10%.
Affirm and Shopify have expanded their pay-later offering beyond U.S. borders. The companies announced Wednesday (April 9) that Shopify merchants in Canada who have signed up for early access can begin offering the Affirm-powered Shop Pay Installments program, marking its first availability outside the U.S.
Affirm (AFRM -3.33%) stock is down significantly due to the broader market sell-off.
AFRM is developing debit products and exploring banking integrations to make its services part of customers' everyday spending.
Investors looking for ways to find stocks that are set to beat quarterly earnings estimates should check out the Zacks Earnings ESP.
Affirm Holdings (AFRM) saw its shares surge in the last session with trading volume being higher than average. The latest trend in earnings estimate revisions may not translate into further price increase in the near term.
Affirm Holdings (AFRM) has been upgraded to a Zacks Rank #1 (Strong Buy), reflecting growing optimism about the company's earnings prospects. This might drive the stock higher in the near term.
Affirm Holdings is poised for rapid growth due to the expanding BNPL market, expected to reach $77 billion by 2033 with 17% annual growth. Affirm's profitability is improving, with 21 million active customers and significant growth in transaction volumes and Affirm Card users, leading to positive net income in 2Q25. Lower short-term interest rates could boost BNPL demand, positioning Affirm Holdings as a compelling investment with peer-leading profit growth prospects.
Affirm shares plummeted about 30% in two days following President Trump's tariff announcements, on concerns that consumers will pull back on spending. Rival Klarna delayed its long-anticipated IPO, as did ticket marketplace StubHub.
Fintech and credit card stocks were hit particularly hard in the market rout that followed President Trump's tariff announcement. Analysts expressed concern about consumer spending and credit.
AFRM and REVOLVE collaborate to introduce hassle-free, transparent payment options to fashion-forward customers in the United States.