William Blair analyst Andrew Jeffrey has maintained their bullish stance on AFRM stock, giving a Buy rating on March 20.
Andrew Jeffrey has given his Buy rating due to a combination of factors that highlight Affirm Holdings as a leader in the Buy Now, Pay Later (BNPL) industry. He emphasizes Affirm’s strong position in the market amidst competitive noise and macroeconomic concerns, suggesting that the company is well-positioned to navigate these challenges. The upcoming IPO of Klarna has increased investor anxiety, but Jeffrey believes Affirm’s approach to balancing consumer and merchant interests sets it apart.
Affirm’s commitment to transparency and consumer-friendly practices, such as no fees and a broad range of products, is a significant advantage over competitors like Klarna, which relies heavily on consumer-paid fees. For merchants, Affirm’s focus on maximizing conversion and providing superior technology integrations enhances economic flexibility and return on investment. These factors, according to Jeffrey, make Affirm a compelling investment opportunity in the BNPL space.