Affirm Holdings, Inc. AFRM recently announced an expansion of its collaboration with Adyen to the United Kingdom. Following this move, U.K. merchants using Adyen can integrate Affirm's interest-free and interest-bearing installment options at checkout, allowing consumers greater financial flexibility. This move builds on the success of their partnership in the United States and Canada, where merchants have seen significant growth by offering Affirm’s pay-over-time plans.

The expansion of Affirm’s presence in the U.K. aligns with the increasing demand for flexible payment solutions among businesses. With this integration, merchants will have access to a wider customer base, while consumers will benefit from additional payment options without hidden fees. Moves like these should help AFRM achieve its fiscal 2025 GMV outlook of $34.74-$35.34 billion.

Affirm also announced another major step in financial transparency by reporting all pay-over-time transactions to Experian starting April 1, 2025. Previously, only longer-term monthly installment loans were reported. This new initiative will provide lenders with a more comprehensive view of consumers’ financial behaviors while helping Affirm users build credit histories responsibly.

The inclusion of all pay-over-time loans in Experian’s credit reporting system supports the responsible extension of credit. As more lenders evaluate BNPL data, this move enhances Affirm’s credibility and ensures consumers’ financial activities are accurately reflected. These developments position Affirm for substantial near-term growth. Expanding with Adyen into the U.K. unlocks new revenue streams and strengthens its global footprint, while enhanced credit reporting builds trust with lenders.

AFRM’s Price Performance

Over the past year, shares of Affirm have gained 27.2% compared with 2.3% growth of the industry it belongs to.

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Zacks Rank & Other Key Picks

Affirm currently carries a Zacks Rank #2 (Buy).

Some other top-ranked stocks in the broader Business Services space are Remitly Global, Inc. RELY, PAR Technology Corporation PAR, and Huron Consulting Group Inc. HURN, each carrying a Zacks Rank #2 at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

The Zacks Consensus Estimate for Remitly Global’s current-year earnings indicates a 110.5% improvement from the year-ago level. RELY beat earnings estimates in each of the trailing four quarters, with the average surprise being 58.8%. The consensus estimate for current-year revenues is pegged at $1.57 billion, suggesting 24% year-over-year growth.

The Zacks Consensus Estimate for PAR Technology’s current-year earnings indicates a 115.1% year-over-year improvement. PARbeat earnings estimates in two of the trailing four quarters and missed twice, with the average surprise being 18.6%. The consensus estimate for current-year revenues implies a 16.9% year-over-year increase.

Huron Consulting’s earnings outpaced estimates in each of the trailing four quarters, the average surprise being 21.54%. The Zacks Consensus Estimate for HURN’s 2025 earnings indicates an improvement of 10.5% from the 2024 figure. The consensus mark for revenues implies growth of 8.9% from the 2024 figure. The consensus mark for HURN’s earnings has moved 3.5% north in the past 30 days.

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