Affirm Holdings, Inc. (NASDAQ:AFRM) is one of the Best Growth Stocks to Buy with the Most Upgrade Potential. The Street has bullish sentiment on Affirm Holdings, Inc. (NASDAQ:AFRM), as 27 of the 34 analysts covering the stock maintain a Buy rating. Additionally, the analyst’s average 12-month price target suggests an upside of more than 75% from the current level.
Recently, on March 31, TD Cowen lowered the company’s price target on the stock from $95 to $80, while maintaining a Buy rating on the stock. The company cited lowering pricing targets among the consumer finance group as part of its first-quarter earnings preview. TD Cowen highlighted that the macro environment has created uncertainty among investors. Additionally, the impact of AI on employment and rising gas prices are also creating obstacles for low-income consumers. Despite lowering the price target, TD Cowen named Affirm one of its top picks in the sector.
Early on March 18, Mizuho had reiterated an Outperform rating on Affirm Holdings, Inc. (NASDAQ:AFRM) with a $95 price target. The firm addressed concerns about a Wall Street Journal report about Stone Ridge that limited repayments from a fund that held Affirm loans. The firm highlighted strong investor demand for Affirm loans, noting that an issuance of asset-backed securities (ABS) increased from $500 million to $750 million. Mizuho emphasized Affirm’s short loan durations as a factor that allows for rapid underwriting adjustments to macroeconomic or geopolitical crises, along with stable delinquency rates.
Affirm Holdings, Inc. (NASDAQ:AFRM) operates a payments network in Canada, the United States and internationally. The company’s platform includes a consumer-centric application, a consumer point-of-sale payment solution, and merchant commerce solutions. It offers BNPL loans, payment solutions and financial services to consumers and merchants. It was incorporated in 2012 and is headquartered in San Francisco, California.
While we recognize AFRM’s potential as an investment, we believe certain AI stocks offer greater growth potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that’s also benefiting significantly from Trump-era tariffs and the offshoring trend, check out our free report on best short-term AI stock.
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