SAN FRANCISCO, August 28, 2026, 06:46 (EDT)
- Affirm shares gained 12.9%, reaching $87.51 ahead of Friday’s market open.
- GMV for the quarter rose 36% to $14.1 billion, surpassing forecasts.
- GMV for fiscal 2027 is projected to surpass $64 billion.
Affirm Holdings shares rose 12.9% in premarket trading on Friday, driven by robust transaction growth and an optimistic annual forecast.
Affirm Holdings, Inc. (NASDAQ: AFRM) was trading at $87.51 as of 06:32 EDT, up $10.02 from Thursday’s closing price of $77.49 premarket quote.
The increase boosted implied equity value by approximately $3.36 billion. This estimate is based on 334.9 million shares outstanding and accounts for the premarket rise.
Gross merchandise volume totaled $14.06 billion in the fiscal fourth quarter of 2026, reflecting a 36% increase compared to the same period a year earlier Affirm earnings supplement.
| Fiscal Q4 metric | 2026 | Year-over-year change |
|---|---|---|
| GMV | $14.06 billion | up 36% |
| Revenue | $1.17 billion | increased 33% |
| Revenue less transaction costs | $589 million | surged 39% |
| Active consumers | 27.8 million | rose 21% |
| GAAP operating margin | 12.6% | climbed 6 percentage points |
Revenue climbed 33% to $1.17 billion. Revenue excluding transaction costs was up 39% to $589 million.
Approximately half of the GMV growth came from direct merchant integrations. The number of active consumers rose 21% to reach 27.8 million Barron’s.
Operating leverage rose as volume increased. GAAP operating income totaled $147.3 million, resulting in a 12.6% margin.
GAAP earnings reached $4.62 per share, but most of that result was due to a $1.45 billion tax benefit.
Management projects GMV above $64 billion for fiscal 2027. Fiscal 2026 GMV registered $50.17 billion company release.
Market sentiment on Wall Street is upbeat following the report. Out of 34 analysts, 25 rate it a Buy while nine recommend Hold. The mean price target stands at $92.47 analyst forecast.
Risks: Credit losses and funding expenses continue to depend on consumers and interest rates. Thirty-day installment delinquencies stood at 2.5% as of June 30. The tax benefit is not expected every quarter.
The central challenge for investors is now clear. Affirm needs to translate faster payment volume into sustainable transaction profits, all while maintaining strict credit standards.
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