In This Article:
For new and old investors, taking full advantage of the stock market and investing with confidence are common goals.
While you may have an investing style you rely on, finding great stocks is made easier with the Zacks Style Scores. These are complementary indicators that rate stocks based on value, growth, and/or momentum characteristics.
Is This 1 Momentum Stock a Screaming Buy Right Now?
Different than value or growth investors, momentum-oriented investors live by the saying "the trend is your friend." This investing style is all about taking advantage of upward or downward trends in a stock's price or earnings outlook. Employing factors like one-week price change and the monthly percentage change in earnings estimates, the Momentum Style Score can indicate favorable times to build a position in high-momentum stocks.
Affirm Holdings (AFRM)
Founded in 2012 and headquartered in San Francisco, CA, Affirm Holdings, Inc. is a financial technology company specializing in payment solutions that provide consumers with flexible, transparent installment loans — both interest-free and interest-bearing — at the point of sale. By partnering with a diverse range of merchants, Affirm enables customers to pay for purchases over time.
AFRM sits at a Zacks Rank #3 (Hold), holds a Momentum Style Score of A, and has a VGM Score of B. The stock is down 7.8% and up 13.5% over the past one-week and four-week period, respectively, and Affirm Holdings has gained 54.1% in the last one-year period as well. Additionally, an average of 9,439,077 shares were traded over the last 20 trading sessions.
A company's earnings performance is important for momentum investors as well. For fiscal 2025, four analysts revised their earnings estimate higher in the last 60 days for AFRM, while the Zacks Consensus Estimate has increased $0.19 to $0.01 per share. AFRM also boasts an average earnings surprise of 102.2%.
With strong earnings growth, a good Zacks Rank, and top-tier Momentum and VGM Style Scores, investors should think about adding AFRM to their portfolios.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Affirm Holdings, Inc. (AFRM) : Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).