Stock fact sheet · data as of
Affirm Holdings, Inc. (AFRM): fair value, margin of safety and Wheel Score
Ticker symbol AFRM · Financial Services · Financial - Credit Services · United States · Class A common stock · Growth
AFRM is Affirm Holdings, Inc.'s Class A common stock. The classes own the same business, share the same earnings report and trade within a few cents of each other; what differs is mainly the vote each share carries - the company's annual report sets out the voting rights.
Is AFRM undervalued?
Affirm Holdings, Inc. (AFRM) closed at 75.59 on 5 Nov 2026. The GLS average fair value - the simple average of the 6 valuation models that produced a positive number - is 173.51, which puts the price 56% below it. 4 of the 6 models value the shares above the current price. A gap this wide is rare in our universe of ~7,400 US stocks and is exactly what the Value part of the Wheel Score rewards; it is also where the question "why is it this cheap?" matters most.
The 6 models disagree widely: Graham Number gives 45.51 while GLS Growth gives 348.44. A spread that wide means the average is sensitive to which methods you trust; the model table below shows where each one lands, and the Quote page lets you switch any of them off.
Ranked against every other company we cover, AFRM is clearly faster-growing than it is cheap, so the nightly engine files it under Growth (value score 51, growth score 83, out of 100).
Nine valuation models for AFRM
Each model turns the latest filed numbers into a value per share; the GLS fair value is the simple average of the ones that produce a positive number. The last two rows are shown for reference and never enter the average. The Quote page lets you switch any model off and add your own margin of safety.
| Model | Value | vs price | What it measures |
|---|---|---|---|
| DCF | - | - | Present value of the projected free cash flows, discounted at the cost of capital; no value tonight |
| Graham Number | 45.51 | -40% | The most a defensive investor pays for the earnings and book value per share |
| Graham Growth | 325.56 | +331% | Graham's growth formula: EPS × (8.5 + 2 × growth), adjusted for bond yields |
| Lynch | 142.29 | +88% | EPS × the earnings growth rate (PEG of 1), growth capped at 25% |
| GLS Growth | 348.44 | +361% | EPS compounded ten years at the blended growth rate, discounted back at 15% a year |
| 10 Cap | - | - | Owner's earnings (operating cash flow less maintenance capex) capitalised at 10%; no value tonight |
| Payback Time | 115.98 | +53% | Eight years of compounded free cash flow: the price at which the business pays for itself |
| DDM | - | - | Dividend discount model: next year's dividend ÷ (10% − 3% growth); needs a dividend; no value tonight |
| EPV | 63.24 | -16% | Earnings power value: current EPS capitalised at 9% with no growth |
| Zombie (liquidation) | -24.86 | -133% | Current assets less all liabilities, per share: the balance-sheet floor. Not in the average |
| Wall St target | 95.50 | +26% | Analysts' average 12-month price target. Not in the average |
Quality and financial health
Financial health is average - AFRM passes 5 of the nine Piotroski tests, which falls one point short of the "Piotroski 6 or more" Wheel Trade Filter. The Financials tab on the Quote page shows which tests fail. The GLS Moat score is low at 3.0 out of 10: returns on capital, margins or the balance sheet have not shown a lasting edge yet - often a young company, a thin-margin business or one that has only recently turned profitable.
Returns on capital are high - ROIC 12.6%, ROE 35.2%, ROA 12.2% - with debt at 1.79 times equity and a free-cash-flow yield of 4.4%.
Affirm Holdings, Inc. pays no dividend, so the DDM model does not apply and a covered-call holder earns only the premium and any price gain. Revenue comes mainly from Merchant Network 78%, Virtual Card Network 22% (quarter Q4 FY2026).
Institutional ownership scores 10/10, insider activity 1/10 and Congressional trading 5/10 on the GLS smart-money scales; the last recorded insider buy was on 16 Sep 2026.
| Piotroski F-score | 5 / 9 | ROIC | 12.6% |
|---|---|---|---|
| GLS Moat | 3.0 / 10 | ROE | 35.2% |
| Debt / equity | 1.79 | ROA | 12.2% |
| Free-cash-flow yield | 4.4% | Payout ratio | 0% |
| Institutions | 10 / 10 | Insiders · Congress | 1 · 5 / 10 |
Wheel Score 47: Weak
AFRM scores 47 out of 100 on the Wheel Score, in the Weak band (under 50): it fails filter 4, financially healthy - Piotroski 5/9 (under 6), and the parts are thin too - value strong, premium good, moat weak, health fair, red flags good, option trading strong, stability weak. The score is not a judgement on the company; it says the price, quality and premium do not line up for selling puts on it today.
Implied volatility is 71% on the near-the-money contracts 20-60 days out - above the 60% top of the sweet spot. It still passes the 25-80% filter, but the Wheel Score rewards it less because volatility this high usually comes with a reason. The option chain is deep: 133,231 contracts of open interest across all expiries, which means tight fills at most strikes.
Volume runs at 6.7M shares a day on a market cap of $22.6B, with a beta of 3.74 - a high beta, so the stock tends to move more than the market and a strike can be gapped through; the Stability part of the Wheel Score rates that weak.
| Filter | Wheel Trade Filter | Result | Detail |
|---|---|---|---|
| 1 | Options that actually trade | Passes | Listed options with 1,000+ contracts of open interest and 100+ traded a day |
| 2 | A real business, not a gamble | Passes | Profitable over the last twelve months - not a speculative stock, fund or note |
| 3 | Below fair value | Passes | Trading below the nine-model average fair value (margin of safety above 0) |
| 4 | Financially healthy | Fails | Piotroski 5/9 (under 6) |
| 5 | Can repay its debt | Passes | Long-term debt repaid from 3 years of operating cash flow or less (6 for real estate and utilities; banks and insurers are not judged on it) |
| 6 | No serious red flags | Passes | Red Flags score 60 or more out of 100 (earnings, margins, debt, analysts, filings and price checked the same way for every stock) |
| 7 | A premium worth selling | Passes | Implied volatility 25-80% (enough premium, not a lottery ticket) |
| 8 | Big enough | Passes | Market cap $1 billion or more |
| 9 | Not a penny stock | Passes | Share price $5 or more |
| How it ranks | Rating | From | |
|---|---|---|---|
| Value | Strong | 56% below fair value | |
| Premium | Good | implied volatility 71% | |
| Moat | Weak | moat 3.0/10 | |
| Health | Fair | Piotroski 5/9 | |
| Red Flags | Good | Red Flags score 85/100 | |
| Option trading | Strong | 18,978 contracts a day, 133,231 open interest | |
| Stability | Weak | beta 3.74, $22.6B company |
The Wheel Score ranks ~7,400 US stocks for selling cash-secured puts and covered calls: a stock must pass all 9 Wheel Trade Filters to score 70, and the score then ranks the ones that pass; the Sunday Scan is the top 10. It is updated nightly and is not a recommendation. How the Wheel Score works · the walkthrough lesson shows how it fits into a trade, start to finish.
Upcoming events
Affirm Holdings, Inc. reports earnings on 5 Nov 2026 (after the close) - inside the 14-day window the Sunday Scan avoids, because a put sold now would carry the report's gap risk.
No analyst upgrades or downgrades were recorded in the last 30 days.
Earnings, dividend, IPO, split and economic calendars for the whole market, filterable to your watchlists.
Similar stocks in Financial - Credit Services
The 12 companies below are the closest to Affirm Holdings, Inc. by market cap within the Financial - Credit Services industry, each with its own fact sheet; the Compare page puts up to eight of them side by side.
| Stock | Close | Fair value | MoS | Wheel | Mkt cap |
|---|---|---|---|---|---|
| SOFI SoFi Technologies, Inc. | 17.38 | 19.24 | +10% | 41Weak | $22.5B |
| SYF Synchrony Financial | 75.03 | 340.10 | +78% | 52Fair | $24.4B |
| GPN Global Payments Inc. | 96.09 | 65.01 | -48% | 35Weak | $25.4B |
| KKRS KKR Group Finance Co. IX LLC 4. | 15.36 | 60.27 | +75% | 31No options | $13.6B |
| IX ORIX Corporation | 37.04 | 42.91 | +14% | 33No options | $41.1B |
| ALLY Ally Financial Inc. | 39.36 | 70.99 | +45% | 83Good | $12.0B |
| PYPL PayPal Holdings, Inc. | 60.20 | 106.42 | +43% | 88Prime | $50.0B |
| FCFS FirstCash Holdings, Inc | 193.34 | 232.88 | +17% | 77Good | $8.3B |
| LU Lufax Holding Ltd | 8.51 | 43.72 | +81% | 39Weak | $7.4B |
| OMF OneMain Holdings, Inc. | 57.97 | 207.52 | +72% | 82Good | $6.6B |
| SLMBP SLM Corporation | 70.99 | 236.36 | +70% | 38No options | $6.4B |
| KLAR Klarna Group plc | 13.89 | 8.37 | -66% | 31Weak | $5.2B |
⚖ Compare AFRM with 7 of them All Financial Services stocks →
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Start free See the Sunday ScanQuestions about AFRM
What kind of share is AFRM?
AFRM is Affirm Holdings, Inc.'s Class A common stock. The classes own the same business, share the same earnings report and trade within a few cents of each other; what differs is mainly the vote each share carries - the company's annual report sets out the voting rights.
Is AFRM undervalued right now?
By the GLS models, yes: at 75.59 the stock is 56% below the average fair value of 173.51 (data as of 5 Nov 2026). Whether the discount is deserved is the question to research next.
What is the Wheel Score of AFRM and what does it mean?
AFRM scores 47 out of 100 (Weak) - it fails Wheel Trade Filter 4. The Wheel Score ranks stocks for the wheel strategy - selling cash-secured puts, then covered calls if assigned - in two parts: the 9 pass/fail Wheel Trade Filters (busy options, a real business, below fair value, Piotroski 6 or more, debt it can repay, a Red Flags score of 60 or more, implied volatility of 25-80%, a $1 billion company, $5 a share) and a ranking of how strongly a stock passes on value, premium, moat, health, red flags, option trading and stability. A stock that fails any filter stays under 70; 70-84 is Good, 85 and above is Prime. The Sunday Scan is the top 10 that pass, sorted by Wheel Score.
What is the GLS fair value for AFRM?
173.51 per share as of 5 Nov 2026 - the simple average of the 6 valuation models (out of nine: DCF, Graham Number, Graham Growth, Lynch, GLS Growth, 10 Cap, Payback Time, DDM and EPV) that produced a positive value. The models run every night on the latest filings; the Quote page lets you switch any of them off and add a margin of safety of your own.
When does Affirm Holdings, Inc. report earnings next?
The next earnings report is due on 5 Nov 2026 (after the close), 0 days from the data date of 5 Nov 2026. The Calendars page lists every upcoming report with its time of day.
Does AFRM have listed options, and how liquid are they?
Yes. The nightly snapshot found 586 listed contracts with 133,231 open interest across all expiries and implied volatility of 71% on the near-the-money contracts. The Options scanner lists the cash-secured put and covered call set-ups with premium and annualised yield worked out.