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AFRM vs MA

AFRM
Affirm Holdings, Inc.
BEARISH
Price
$46.88
Market Cap
$15.62B
Sector
Financial Services
AI Confidence
85%
MA
Mastercard Incorporated
NEUTRAL
Price
$499.66
Market Cap
$445.92B
Sector
Financial Services
AI Confidence
80%

Valuation

P/E Ratio
AFRM
57.88
MA
30.28
Forward P/E
AFRM
12.29
MA
22.05
P/B Ratio
AFRM
4.39
MA
57.74
P/S Ratio
AFRM
4.2
MA
13.6
EV/EBITDA
AFRM
44.08
MA
22.13

Profitability

Gross Margin
AFRM
47.78%
MA
100.0%
Operating Margin
AFRM
10.47%
MA
57.73%
Profit Margin
AFRM
7.6%
MA
45.65%
ROE
AFRM
8.92%
MA
209.91%
ROA
AFRM
1.23%
MA
23.72%

Growth

Revenue Growth
AFRM
29.6%
MA
17.6%
Earnings Growth
AFRM
59.3%
MA
24.2%

Financial Health

Debt/Equity
AFRM
2.59
MA
2.56
Current Ratio
AFRM
13.85
MA
1.03
Quick Ratio
AFRM
10.21
MA
0.68

Dividends

Dividend Yield
AFRM
--
MA
0.7%
Payout Ratio
AFRM
0.0%
MA
18.4%

AI Verdict

AFRM BEARISH

AFRM's Piotroski F-Score of 7/9 indicates strong operational health, but the absence of an Altman Z-Score raises concern about bankruptcy risk, particularly given a high Debt/Equity ratio of 2.59. The stock trades at a premium valuation (P/E 57.88 vs. sector average 30.46) despite mixed earnings quality, with recent Q/Q EPS growth at +213% but year-over-year EPS down 5.3%. Insider selling totaling $56.66M in the last six months signals bearish sentiment from management. While revenue and earnings growth remain robust (29.6% and 59.3% YoY), the lack of cash flow data and high leverage undermine financial stability. The current price of $46.88 is significantly above both the Graham Number ($13.95) and intrinsic value estimate ($23.9), suggesting a substantial valuation premium driven by growth expectations.

Strengths
Strong Piotroski F-Score of 7/9 indicating solid operational efficiency and profitability trends
High revenue and earnings growth rates (29.6% and 59.3% YoY respectively)
Significant positive earnings surprises in recent quarters (avg +37.94%)
Risks
High Debt/Equity ratio of 2.59, well above sector average of 1.50, indicating elevated financial leverage
Insider selling of $56.66M in last 6 months with no buys, signaling potential misalignment with shareholders
Current price ($46.88) is nearly 200% above the Graham Number ($13.95) and 95% above intrinsic value ($23.9)
MA NEUTRAL

MA shows neutral fundamentals based on deterministic rules. Financial strength is strong (F-Score 6/9). Mixed signals with both opportunities and risks present.

Strengths
Strong profitability (45.6% margin)
Strong revenue growth of 17.6%
Strong ROE of 209.9%
Risks
High valuation with P/E of 30.3
Premium vs Graham Number ($56.68)
High debt burden with D/E of 2.56

Compare Another Pair

AFRM vs MA: Head-to-Head Comparison

This page compares Affirm Holdings, Inc. (AFRM) and Mastercard Incorporated (MA) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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