· Clipped: Tue-20-Jul-2021 · Original:
Affirm Holdings price target trimmed at Mizuho on Apple Pay competition
Jul. 19, 2021 12:17 PM ET
By: Max Gottlich
SA News Editor
ismagilov/iStock via Getty Images
Mizuho Bank analyst Dan Dolev trims Affirm Holdings'
price target as it faces
from Apple Pay's buy-now-pay-later product.
Reduces price target to $76 from $90
; the target still implies potential 32% upside to AFFRM's closing price of $57.50 on Friday.
Mizuho Bank's survey of 178 Apple Pay users indicates 54% are willing to try a potential Apple Pay BNPL product; it also signals significant customer overlap as 60% of Apple Pay users also use BNPL.
Dolev notes that Affirm is less vulnerable than other BNPL providers given more modest customer overlap with Apple Pay (20% vs. 20-30% for others) and a higher AOV.
Shares of AFRM shares
in midday trading; AAPL
Dolev's Buy rating on AFRM is in line with the Bullish
Wall St. analyst rating
(4 Very Bullish, 3 Bullish, 4 Neutral, 1 Bearish) and diverges from the
Neutral average author rating
(2 Bullish, 1 Neutral, 1 Bearish).
Apple and Goldman Sachs team up to enter BNPL arena to rival Affirm Holdings
According to the
below, on a YTD basis the total return for AFRM (+17%) outperforms StoneCo
(-32%), Broadridge Financial Solutions
(+11%), and S&P 500 (+16%).
Affirm Stock: Now, The Plot Thickens