Exploring NASDAQ:AFRM's high growth characteristics.

A possible breakout setup was detected on AFFIRM HOLDINGS INC (NASDAQ:AFRM) by our stockscreener. A breakout pattern is formed when a stock consolidates after a strong rise up. We note that this pattern is detected purely based on technical analysis and whether the breakout actually materializes remains to be seen. It could be interesting to keep an eye on NASDAQ:AFRM.

In-Depth Technical Analysis of NASDAQ:AFRM

ChartMill utilizes a proprietary algorithm to assign a Technical Rating to every stock. This rating, ranging from 0 to 10, is computed daily by analyzing a variety of technical indicators and properties.

Overall AFRM gets a technical rating of 10 out of 10. Both in the recent history as in the last year, AFRM has proven to be a steady performer, scoring decent points in every aspect analyzed.

• Both the short term and long term trends are positive. This is a very positive sign.
• AFRM is part of the Financial Services industry. There are 99 other stocks in this industry. AFRM outperforms 90% of them.
• AFRM is currently trading in the upper part of its 52 week range. The S&P500 Index however is currently trading near a new high, so AFRM is lagging the market slightly.
• When comparing the yearly performance of all stocks, we notice that AFRM is one of the better performing stocks in the market, outperforming 93% of all stocks. We also observe that the gains produced by AFRM over the past year are nicely spread over this period. However, this overall good ranking is mostly due to the recent strong move.
• In the last month AFRM has a been trading in the 61.90 - 73.34 range, which is quite wide. It is currently trading in the middle of this range, so some resistance may be found above.

For an up to date full technical analysis you can check the technical report of AFRM

Why is NASDAQ:AFRM a setup?

ChartMill also assign a Setup Rating to every stock. With this score it is determined to what extend the stock has been trading in a range in the recent days and weeks. This score also ranges from 0 to 10 and is updated daily. The setup score evaluates various short term technical indicators. NASDAQ:AFRM scores a 7 out of 10:

AFRM has an excellent technical rating and also presents a decent setup pattern. Prices have been consolidating lately and the volatility has been reduced. There is a support zone below the current price at 65.64, a Stop Loss order could be placed below this zone. We notice that large players showed an interest for AFRM in the last couple of days, which is a good sign.

What matters for high growth investors.

• The EPS of AFFIRM HOLDINGS INC has exhibited growth from one quarter to another (Q2Q), with a 45.61% increase. This underscores the company's ability to generate higher earnings and improve its financial standing.
• With impressive quarter-to-quarter (Q2Q) revenue growth of 40.67%, AFFIRM HOLDINGS INC showcases its ability to generate increased sales and revenue. This growth indicates the company's strong customer demand and its effective business strategies.
• With impressive 1-year revenue growth of 46.96%, AFFIRM HOLDINGS INC showcases its ability to generate increased sales and revenue. This growth highlights the company's strong customer demand and its effective business strategies.
• Analysts' average next Quarter EPS Estimate for AFFIRM HOLDINGS INC has witnessed a 44.04% change in the last 3 months, underscoring the dynamic nature of market sentiment towards the company's EPS prospects.
• The quarterly earnings of AFFIRM HOLDINGS INC have shown a 45.61% increase compared to the previous quarter, as revealed in the recent financial report. This growth signifies positive momentum in the company's financials, pointing towards a promising upward trend
• accelerating EPS growth for AFFIRM HOLDINGS INC: the current Q2Q growth of 45.61% exceeds the previous year Q2Q growth of 33.72%.
• AFFIRM HOLDINGS INC has experienced notable growth in its operating margin over the past year, reflecting improved operational performance. This growth suggests the company's ability to generate higher profits from its core business activities.
• The free cash flow (FCF) of AFFIRM HOLDINGS INC has seen steady growth over the past year, indicating enhanced cash flow generation and financial health. This trend underscores the company's effective capital management and its ability to generate sustainable cash flows.
• The ownership composition of AFFIRM HOLDINGS INC reflects a balanced investor ecosystem, with institutional shareholders owning 80.12%. This indicates a broader market participation and potential for increased trading liquidity.
• With a track record of beating EPS estimates in the last 4 quarters, AFFIRM HOLDINGS INC showcases its consistent ability to deliver earnings surprises. This reflects the company's strong execution and its competitive position in the market.
• The Relative Strength (RS) of AFFIRM HOLDINGS INC has consistently been strong, with a current 93.04 rating. This indicates the stock's ability to exhibit relative price outperformance and reflects its competitive strength. AFFIRM HOLDINGS INC demonstrates promising potential for sustained price momentum.

More ideas for high growth momentum breakouts can be found on ChartMill in our High Growth Momentum Breakout screen.

Disclaimer

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.