Why Affirm (AFRM) Stock Is Trading Lower Today

What Happened?

Shares of buy now, pay later company Affirm (NASDAQ:AFRM) fell 0.4% in the afternoon session after the company announced it was piloting a program with financial technology platform Esusu to allow renters to split their monthly rent payments. 

The plan enabled renters to break up their rent into two equal, bi-weekly payments with a 0% annual percentage rate. According to the announcement, the program had no hidden fees, late charges, or compounding interest. The collaboration with Esusu also aimed to help renters build their credit scores by reporting timely rent payments to the major credit bureaus. Adding to the positive news, a Citizens analyst reiterated a positive outlook on the buy now, pay later company.

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What Is The Market Telling Us

Affirm’s shares are extremely volatile and have had 52 moves greater than 5% over the last year. In that context, today’s move indicates the market considers this news meaningful but not something that would fundamentally change its perception of the business.

The previous big move we wrote about was 9 days ago when the stock dropped 6.2% on the news that market volatility spiked as President Donald Trump proposed a one-year 10% cap on credit card interest rates. 

The stock initially jumped in early trading on the news. The thinking was that a cap on traditional credit cards could drive more consumers to buy-now-pay-later firms like Affirm. However, the gains were given back as the initial positive reaction faded. Investor sentiment shifted sharply amid uncertainty about the regulatory impacts and whether the proposal would ever become law. The sell-off was not limited to Affirm, as other companies in the buy-now-pay-later sector also saw their shares decline.

Affirm is down 3.8% since the beginning of the year, and at $71.22 per share, it is trading 22.7% below its 52-week high of $92.18 from September 2025. Investors who bought $1,000 worth of Affirm’s shares 5 years ago would now be looking at an investment worth $653.53.

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