Affirm Q1 FY2027 earnings beat but shares slide on credit concerns and lower price targets
Affirm reported fiscal first‑quarter 2027 earnings of $0.47 per share on revenue of $1.26 billion, surpassing consensus estimates of $0.38 and $1.21 billion. The company warned of higher credit‑loss allowances and gave a cautious gross merchandise volume outlook, prompting a 1.9% pre‑market drop to $68.32. Major analysts cut their price targets, with Barclays to $100, Goldman Sachs to $103, TD Cowen to $110 and Morgan Stanley to $79.
Why it matters
The analyst price‑target cuts signal a lower near‑term valuation for AFRM despite the earnings beat, which may pressure the stock further. Investors should weigh the credit‑loss risk and subdued GMV guidance when assessing upside potential.
Key facts
- 1Affirm posted earnings of $0.47 per share, beating the consensus of $0.38 per share. finance.yahoo.com
- 2Revenue was $1.26 billion, exceeding the consensus estimate of $1.21 billion. finance.yahoo.com
- 3Shares fell 1.9% in pre‑market trading, reaching $68.32. finance.yahoo.com
- 4Barclays lowered its price target to $100 from $105. finance.yahoo.com
- 5Goldman Sachs cut its price target to $103 from $115. finance.yahoo.com
- 6TD Cowen reduced its price target to $110 from $124. finance.yahoo.com
Summary written by AlphAI AI Desk from 11 of 11 sources. Not investment advice. Figures are as stated by the linked sources.