In a report released today, Mihir Bhatia from Bank of America Securities reiterated a Buy rating on Affirm Holdings, with a price target of $98.00.
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Mihir Bhatia has given his Buy rating due to a combination of factors, including Affirm Holdings’ strong start to the fiscal year and its ability to exceed expectations in the first quarter. The company not only beat its quarterly targets but also raised its guidance for 2026, showcasing robust growth in gross merchandise value (GMV) and maintaining credit quality. Despite a conservative outlook on revenue less transaction costs (RLTC) for the second half of the year, Affirm’s execution remains solid.
Another reason for the Buy rating is Affirm’s strategic moves, such as renewing its contract with Amazon for an additional five years, which is expected to drive further growth. The company’s GMV exceeded both Bank of America and street estimates, and its Affirm card continues to gain momentum with significant year-over-year growth in cardholders and transaction volumes. These factors, combined with the company’s expansion into new products and geographies, position Affirm well for continued success.