{"id":415991,"date":"2022-03-14T18:23:00","date_gmt":"2022-03-14T15:23:00","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/affirm-boosts-outlook-but-stock-falls-amid-concerns-about-cyclical-risk\/"},"modified":"2022-03-14T18:23:00","modified_gmt":"2022-03-14T15:23:00","slug":"affirm-boosts-outlook-but-stock-falls-amid-concerns-about-cyclical-risk","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/affirm-boosts-outlook-but-stock-falls-amid-concerns-about-cyclical-risk\/","title":{"rendered":"#: Affirm boosts outlook but stock falls amid concerns about \u2018cyclical risk\u2019"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_85 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a39ba5241c36\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a39ba5241c36\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-1'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/affirm-boosts-outlook-but-stock-falls-amid-concerns-about-cyclical-risk\/#%E2%80%9C_Affirm_boosts_outlook_but_stock_falls_amid_concerns_about_%E2%80%98cyclical_risk%E2%80%9D\" >&#8220;: Affirm boosts outlook but stock falls amid concerns about \u2018cyclical risk\u2019&#8221;<\/a><ul class='ez-toc-list-level-2' ><li class='ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/buradabiliyorum.com\/en\/affirm-boosts-outlook-but-stock-falls-amid-concerns-about-cyclical-risk\/#Company_says_its_enterprise_partnerships_are_helping_to_drive_strong_growth\" >Company says its enterprise partnerships are helping to drive strong growth<\/a><ul class='ez-toc-list-level-4' ><li class='ez-toc-heading-level-4'><ul class='ez-toc-list-level-4' ><li class='ez-toc-heading-level-4'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/buradabiliyorum.com\/en\/affirm-boosts-outlook-but-stock-falls-amid-concerns-about-cyclical-risk\/#Emily_Bary\" >Emily Bary<\/a><\/li><\/ul><\/li><\/ul><\/li><\/ul><\/li><\/ul><\/nav><\/div>\n<h1><span class=\"ez-toc-section\" id=\"%E2%80%9C_Affirm_boosts_outlook_but_stock_falls_amid_concerns_about_%E2%80%98cyclical_risk%E2%80%9D\"><\/span>&#8220;: Affirm boosts outlook but stock falls amid concerns about \u2018cyclical risk\u2019&#8221;<span class=\"ez-toc-section-end\"><\/span><\/h1>\n<h2 class=\"article__subhead\" itemprop=\"alternativeHeadline\"><span class=\"ez-toc-section\" id=\"Company_says_its_enterprise_partnerships_are_helping_to_drive_strong_growth\"><\/span>\n  Company says its enterprise partnerships are helping to drive strong growth<br \/>\n<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><\/p>\n<div class=\"column column--full article__content\">\n<div class=\"article__side\">\n<div class=\"container--sticky not-active\">\n<div id=\"cx-next\" data-nosnippet>\n              <\/div>\n<\/p><\/div>\n<\/p><\/div>\n<div id=\"js-article__body\" class=\"article__body article-wrap at16-col16 barrons-article-wrap\" itemprop=\"articleBody\" data-sbid=\"WP-MKTW-0000694626\" role=\"document\">\n<div class=\"barrons-article-ad-wrapper\">\n<div data-track=\"barrons-article-ad-wrap\" class=\"barrons-article-ad sticky_item\">\n<div class=\"barrons-main-article-ad-target sticky_target body_ad\" aria-hidden=\"true\"><\/div>\n<\/p><\/div>\n<\/p><\/div>\n<div data-layout=\"\n                inline\" data-layout-mobile=\"\" class=\"\n          media-object\n          type-InsetArticleReader\n              \n              inline\n  article__inset\n          article__inset--type-InsetArticleReader\n              article__inset--inline\n  \"><\/p>\n<div class=\"media-object-article-reader\">\n<div class=\"audioplayer\" data-sbid=\"WP-MKTW-0000694626\" role=\"region\" aria-label=\"Listen to Article\" tabindex=\"-1\" id=\"articlereader\" data-show-title=\"false\" data-theme=\"wsj-article-reader\" data-show-header=\"false\" data-show-subscribe=\"false\" data-ads-enabled=\"true\" data-save-publication=\"false\">\n        <\/div>\n<\/p><\/div>\n<\/p><\/div>\n<p>       Affirm Holdings Inc. boosted its outlook Monday as the buy-now, pay-later company said that it\u2019s seen better-than-expected performance thus far in the March quarter. <\/p>\n<p> The company now expects revenue of at least $335 million for its fiscal third quarter, compared with the prior guidance for $325 million to $335 million that Affirm<br \/>\n        AFRM,<br \/>\n        <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/223715966\/composite\" class=\"negative\">-11.28%<\/bg-quote><br \/>\n       issued Feb. 10. Affirm also anticipates quarterly revenue less transaction costs of at least $148 million, whereas its prior forecast was for $138 million to $143 million. <\/p>\n<div class=\"paywall\">\n       Affirm projects that it will see gross merchandise volume (GMV) of at least $3.71 billion for the quarter, whereas its prior outlook had been for $3.61 billion to $3.71 billion. The company is also anticipating that its adjusted operating loss as a percentage of revenue will be 15% or better. The company previously had been targeting 19% to 21%.<\/p>\n<p>Meanwhile, shares of Affirm were off nearly 11% in midday trading Monday, which put them on track to close at a record low. The stock has lost 74% over the past three months as the S&amp;P 500 <a rel=\"nofollow noopener\" target=\"_blank\" href=\"#phrase-company?ref=COMPANY%7CSPX;onlineSignificance=passing-mention\" class=\"icon none\">SPX<\/a> has declined about 9%.<\/p>\n<p>Bloomberg <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">News<\/a> reported late Friday that Affirm had <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.bloomberg.com\/news\/articles\/2022-03-11\/-buy-now-pay-later-lender-affirm-delays-asset-backed-bond-sale?sref=Oeyjq8by\" class=\"icon none\">halted a proposed sale of asset-backed securities<\/a> as a major investor pulled out \u201cdue to <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/general\/\" data-internallinksmanager029f6b8e52c=\"3\" title=\"General\" target=\"_blank\" rel=\"noopener\">general<\/a> market volatility that may have led to wider risk premiums than the company wanted.\u201d The report cited multiple unnamed sources. <\/p>\n<p>\u201cWhile we were pleased with the interest we received for refinancing the transaction and the support from the investor community for our program, in light of the heightened levels of credit spread and interest rate volatility, and consistent with our disciplined <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/download-scripts-themes-apps\/\" data-internallinksmanager029f6b8e52c=\"9\" title=\"Download Scripts &amp; Themes &amp; Apps\" target=\"_blank\" rel=\"noopener\">app<\/a>roach to navigating a volatile backdrop, we made the decision to temporarily hold off on issuing this particular transaction at this time,\u201d an Affirm spokesperson told MarketWatch. <\/p>\n<p>Though Barclays analyst Ramsey El-Assal said that Affirm\u2019s \u201cmodest\u201d increase to its outlook showed that its \u201cbusiness in on track,\u201d he also wrote that the company\u2019s \u201cdecision to not accept\u00a0less favorable\u00a0pricing on its\u00a0ABS securitizations feeds into bear narratives around cyclical risk.\u201d<\/p>\n<p>Affirm noted in its Monday release that its GMV growth \u201cremained strong, driven in particular by the company\u2019s enterprise partnerships.\u201d The company\u2019s higher outlook for revenue less transaction costs reflects \u201coutperformance in both network revenue and transaction costs, including provision for credit losses,\u201d the company continued.<\/p>\n<p>Affirm also discussed its \u201cdiversified funding strategy\u201d in the latest release. \u201cFor example, in the current volatile market environment for pricing ABS issuances, the company\u2019s diversified funding strategy allows it to maintain discipline by leveraging other sources of liquidity with attractive economics,\u201d Affirm said. <\/p>\n<p>The financial-<a href=\"https:\/\/buradabiliyorum.com\/en\/category\/technology\/\" data-internallinksmanager029f6b8e52c=\"4\" title=\"Technology\" target=\"_blank\" rel=\"noopener\">technology<\/a> company boosted its forecast for the full fiscal year as well. Affirm now expects revenue of $1.31 billion, whereas it had previously called for $1.29 billion to $1.31 billion. Affirm also projects revenue less transaction costs of $600 million, ahead of its prior forecast, which was for $585 million to $595 million. <\/p>\n<p>Affirm anticipates that its adjusted operating loss as a percentage of revenue will be 11 percent to 13 percent for the full fiscal year. Its earlier outlook called for 12 percent to 14 percent. Affirm models at least $14.78 billion in GMV, whereas its prior forecast called for $14.58 billion to $14.78 billion. <\/p><\/div>\n<\/div><\/div>\n<p><\/p>\n<div class=\"byline article__byline\">\n<p>    <span>By<\/span><\/p>\n<div class=\"author mobile-scrim hasMenu\" data-scrim='{\"type\":\"author\",\"header\":\"Emily Bary\",\"subhead\":\"The Wall Street Journal\",\"list\":[{\"type\":\"link\",\"icon\":\"bio\",\"url\":\"https:\/\/marketwatch.com\/author\/emily-bary\",\"text\":\"Biography\"},{\"type\":\"link\",\"icon\":\"twitter\",\"url\":\"https:\/\/twitter.com\/emilybary\",\"text\":\"@emilybary\"},{\"type\":\"link\",\"icon\":\"email\",\"url\":\"http:\/\/www.marketwatch.com\/news\/mailto:ebary@marketwatch.com\",\"text\":\"ebary@marketwatch.com\"}]}' itemscope itemprop=\"author\" itemtype=\"http:\/\/schema.org\/Person\">\n                <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/marketwatch.com\/author\/emily-bary\" aria-label=\"Emily Bary author page\"><\/p>\n<h4 itemprop=\"name\"><span class=\"ez-toc-section\" id=\"Emily_Bary\"><\/span>Emily Bary<span class=\"ez-toc-section-end\"><\/span><\/h4>\n<p><\/a>\n          <\/div>\n<\/div>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more News articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/news\/\" target=\"_blank\" rel=\"noopener\">News category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"http:\/\/www.marketwatch.com\/news\/story.asp?guid=%7B20C05575-04D4-B545-7A99-62EE1559062F%7D&#038;siteid=rss&#038;rss=1\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8220;: Affirm boosts outlook but stock falls amid concerns about \u2018cyclical risk\u2019&#8221; Company says its enterprise partnerships are helping to drive strong growth Affirm Holdings Inc. boosted its outlook Monday as the buy-now, pay-later company said that it\u2019s seen better-than-expected performance thus far in the March quarter. The company now expects revenue of at least&#8230;<\/p>\n","protected":false},"author":1,"featured_media":415992,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/images.mktw.net\/im-409036\/social","fifu_image_alt":"","footnotes":""},"categories":[70897],"tags":[],"class_list":["post-415991","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/415991","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=415991"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/415991\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/415992"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=415991"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=415991"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=415991"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}