Jim Cramer Prefers Affirm Over Klarna Despite 15% Sales Growth
During a lightning round segment, Jim Cramer said he would rather invest in Affirm after interviewing CEO Max Levchin, despite acknowledging Klarna’s 15% sales growth and valuation near $17 billion. He noted Klarna trades at roughly 5.4 times projected 2026 sales versus Affirm’s sub-7 times and highlighted Affirm’s profitability.
1. Cramer’s Preference
During a lightning round, Jim Cramer was asked about Klarna and stated he preferred investing in Affirm after interviewing CEO Max Levchin, emphasizing Affirm’s profitability and stronger fundamentals compared to Klarna.
2. Valuation and Growth Metrics
Cramer highlighted Klarna’s valuation near $17 billion implies roughly 5.4 times projected 2026 sales of $3.23 billion, and compared it to Affirm trading at under seven times sales and Sezzle at about 6.9 times, noting the latter two are profitable.