Jim Cramer Remains Steadfast as Affirm Posts 30% Sales Growth and AI Push
Shares down 23.5% past year, 19.4% YTD; Stephens cut target to $65 (from $75), Needham cut to $85 (from $100) but kept ratings. Cramer said Affirm beat quarterly earnings with 30% sales growth and AI tool investments, and he remains “steadfast” on the stock.
1. Price Target Revisions
In early February Stephens cut Affirm’s share price target to $65 from $75 and maintained an Equal Weight rating, while Needham lowered its target to $85 from $100 but kept a Buy rating.
2. Share Performance
Affirm shares have declined 23.5% over the past 12 months and 19.4% year-to-date, reflecting market concerns despite strong recent earnings results.
3. Quarterly Earnings Beat
Affirm delivered a quarterly earnings beat, reporting a 30% increase in sales driven by higher transaction volumes across its buy now, pay later platform.
4. AI Investment and Cramer Endorsement
Management highlighted new AI tools for merchants that could improve growth and margins. Jim Cramer said he is “steadfast” on Affirm following these developments and remains bullish on its long-term prospects.