After the public appearance of the fintech company, Affirm Holdings Inc.’s stock rose by about 90% in midday trading on Wednesday.
Affirm the stock of AFRM,
The opening price was US$90.90. After being listed on the Nasdaq, the first transaction was conducted at 12:20 pm Eastern Time. The company set the price of its initial public offering at $49 per share late Tuesday, higher than the range of $41 to $44 per share it has already raised.
The company has raised at least $1
And DoorDash Inc. DASH,
Confirmation led by PayPal Holdings Inc. PYPL,
Co-founder Max Levchin provides a payment method that allows people to purchase online in installments. When a customer chooses one of Affirm’s lending methods, the company will receive compensation from the merchant. Affirm provides interest-free “0% APR” products and “simple interest” loan products, through which payment can also be obtained on the consumer side of the transaction.
Confirmation of IPO: 5 things about fintech companies greatly increasing online credit
The company’s largest customer is Peloton Interactive Inc. PTON,
In the latest fiscal year ending in June, this business accounted for approximately 28% of Affirm’s revenue. Affirm’s last fiscal year’s revenue was US$509.5 million, up from US$264.4 million in the same period last year. The company announced a net loss of US$112.6 million, compared with a loss of US$120.5 million in the same period last year.
MKM Partners analyst Rohit Kulkarni wrote in a letter to clients before the IPO: “This epidemic has created a favorable environment because more value-conscious shoppers are looking for ways to seamlessly connect online shopping.”
Affirm works with bank partners who provide many of the company’s loans.
This product is in Renaissance IPO ETF IPO,
It has risen 22% in the past three months, and as the S&P 500 SPX,
Over the same period an increase of 8.5%.