If you have been using Affirm to make purchases online, maybe you have thought of buying Affirm stock.
Can You Buy Affirm Stock?
If are you interested in purchasing Affirm Stock, yes you can buy Affirm shares.
The Buy Now, Pay Later (BNPL) company trades on the NASDAQ as Affirm Holdings Inc with the ticker symbol AFRM.
Affirm went public in January 2021, another big success for the Silicon Valley tech Founder and CEO Max Levchin.
Affirm’s Stock Market Performance
Affirm’s stock shows that the BNPL market is growing since its IPO in January 2021. The BNPL and overall economic market dynamics have fluctuated quite a bit.
Affirm as a whole has performed decently as a stock in the timeframe since it’s IPO and the writing of this article.
Affirm’s stock launched at $49 per share during the IPO in January 2021. The price trajectory includes:
| Time Period | Price Movement |
|---|---|
| IPO Day (Jan 2021) | +98% to $97.24 |
| Peak (Nov 2021) | $176.65 |
| Low (May 2023) | $8.62 |
Current Stock Price and Market Cap
As of this writing Affirm (NASDAQ: AFRM) was trading at $55.87 per share. Affirm’s market capitalization is $17.35 billion dollars currently.
The company maintains a daily trading volume on average of 15 million shares.
| Metric | Value |
|---|---|
| Share Price | $55.87 |
| Market Cap | $17.35B |
| Daily Volume | 15M shares |
| 52-Week Range | $22.25 – $73.34 |
Why Invest in Affirm?
Buying Affirm stock offers you an investment into the rapidly growing BNPL sector. Being one of the “big 3” players along with competitors Afterpay and Klarna.
As of this writing you can only invest in Afterpay via buying parent company Block. Block Inc. has several other companies that in manages which includes Tidal, Cash Ahpp, Square, and Spiral.
I personally would not want to buy Block shares with all of those companies under it’s management. Spiral, which is a crypto company, doesn’t make sense to me. Tidal, a music streaming service, makes even less sense. I believe the Cash App, Square, and Afterpay are a good combination though.
Klarna is set to IPO soon but currently you cannot purchase shares in the Swedish BNPL company. When there is a Klarna IPO, we will definitely cover it on WalletWell.
That means if you only want to invest in the BNPL sector, Affirm is a good option at this point in time… as it is the only option.
Affirm has some major collaborations with major companies that include;
- Amazon for any purchases over $50.
- Walmart partnership that covers both online and in store transactions.
- The big retailer Target.
- E-commerce software firm Shopify.
- Stripe for payment processing.
- Affirm is in use with over 235,000+ retailers and merchants.
Buy Now Pay Later Industry Growth
The BNPL market is expected to growth significantly as we have covered on WalletWell. Consumers are expected to push the BNPL sector from $132 billion in 2021 to an estimated $3.98 trillion by 2030.
| BNPL Market Metrics | Values |
|---|---|
| Expected CAGR 2021-2030 | 45.7% |
| Global Users 2023 | 900 million |
| US Market Size 2023 | $75.6 billion |
Affirm will capitalize on this expanding consumer interest and growth for more clear lending options.
Affirm Stock – Risks and Considerations
Investing in any stock comes with risks.
You should try to understand the market factors and what BNPL companies compete with by reading more articles on WalletWell. We don’t recommend or endorse stocks nor do we give financial advice.
However, I did consider buying Affirm around $8 – $10 per share… now it trades around $50 – $60 per share. So that was my bad.
As always, we do recommend that you do your own research. Whether Affirm stock fits as a investment, really depends on your personal financial goals.
We do believe Affirm with grow over the years as the BNPL sector becomes even more mainstream.
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