- Mizuho analyst Dan Dolev revisited its Affirm Holdings, Inc (NASDAQ:AFRM) securitization trust and delinquency tracker.
- With the updated data points for Calendar 2Q, trends look slightly less optimistic versus April, noted Dolev.
- Data for May shows a slight change from April, as 30- day delinquencies for significant non-0% APR trusts accelerated.
- On a more positive note, he noticed modest improvements mainly in both trusts' 60- and 90-day delinquency classifications.
- He expects the upcoming June data to be the critical determinant of sentiment for AFRM.
- Although Dolev remains bullish on Affirm's enterprise partnerships, the multiple reflects the recent double-digit decline in payments/fintech multiples and the rising risk of further delinquencies and charge-offs.
- Dolev reiterated a Buy with a price target of $50 (154% upside).
- Price Action: AFRM shares traded higher by 2.52% at $19.69 on the last check Wednesday.
