Affirm Stock will collapse

Published: Aug 17, 2024 Duration: 00:07:52 Category: People & Blogs

Tags : stock market news stock market crash Affirm stock unemployment rate affirm ipo affirm check spending power

Trending searches: affirm stock

hey guys so I want to make a quick video on the firm Holdings so a firm Holdings is a company that lets you do something called buy now pay later so basically you can buy a product and pay later right so so so this is what a firm offers so depending on the length of the of your terms um that that will depend your interest rate so paying four is no interest and then if it's more than four months your interest will be between zero and 36% APR that's per year so in my opinion a firm they are in trouble because our our unemployment rate has gone up the the CEO was was just on Bloomberg television a a few months ago let's see what he said why do you think it is that so many customers are reporting that much stress on a broader scale as the poll shows not sure I can speak to the industry but obviously a firm is built on the idea of underwriting every single transaction not charging late fees which is important not just because it's such a nice thing to do for the customer it's also a fundamental alignment between us and the borrower if the borrower does not pay us back we cannot benefit like we will lose money if they don't pay us as black and white as that and so yes we may be an outlier in a sense that our customers outperform relative to what sounds like a fairly uh dark sounding survey but we're also public so our numbers are in plain side at all times we just printed our last quarter yesterday our delinquencies were ever so slightly down year on year and sequentially it's still Point uh 2 point 3% as it's been for quite some time and uh so basically if the customers don't pay back they are in trouble they will lose money so the unemployment rate has gone up a t bit so as you can see on the screen for March of this year the the actual rate was at 3.9% the forecast was a 3.7 so forecast was the estimate but the actual unemployment rate came higher and now check out the the date of August 2nd 2024 the actual unemployment rate is at 4.3 and as you can see on this graph since May of 2023 the unemployment rate has gone up to 4.3% um if people are not working people will will probably pay their their mortgage first their rents first their C payments first Bills first first and then they will pay their affirm loan and um let's go check out the affirm total de as well so airms de so they are about $1.1 billion in that so let's see so total de issue so this this is the the TTM so the the 12 month trailing total day issue was at 12.6 billion but they repaid 11.16 so so that will leave you with $1.5 billion in that and that's terrible because the we we are most likely in a recession because our inment rate has gone up 022 since these past three months as you can see back on the screen this is called the sound Ru so in March our unemployment rate was at 3.9 and now it's at 4.3 so basically it's gone up 4% that that usually says we are the recession and like I said people are not working people don't have money and people will first pay the Rend their mortgage their bills their car payments and then they'll pay their affirm loan let's go check out the affirm chart so okay also airm Day Report earnings this month I believe so firm yes right here so firm reports August 28th which is Wednesday and um so they they've actually been losing less and less money every quarter they they be their EPS so last year of 2023 they they beat EPS by 18% then on the most recent quarter Q2 of 2024 they beat it by 25% but like I said we um our unemploy rate has gone up a a lot in these past four months also that that will will probably push our Federal Reserve chairman J pow to cut rates but the question is is he cutting rates because we're in trouble or is he cutting rates because he thinks our our economy is healthy healthy enough for us to to get R cuts and inflation will not get out of hand now this is a chart for for a firm so we are in the one day chart let's see the one we chart yeah that doesn't make really sense because so this company went public in so January of 2021 let's check out the one day chart okay so so firm has support at the $16 level at the 12 at the $16 level at 12 $12.60 and then the final support is at $880 they're they're most closest line of resistance is at $34 $35 and and right now my training view is is telling me to buy but in my opinion um then this price should go up but it can hit $34 and then come back down and as you can see uh I put an alert at $34 3390 so once it get there I trading you will let me know and most likely I will buy put options on the firm because I think these earnings that are our upcoming earnings a firm will will not do too well because people are probably not paying back their loans because unemployment rate has gone up but yeah guys that that's what I think per form Holdings um tell me what you guys think in the comments and don't forget to like comment subscribe and thanks for watching

Share your thoughts

Related Transcripts

NVDA Earning's Week and Beyond!

Category: News & Politics

Hey everybody it's steuart smith with smallcap voice.com and i am joined once again by my right-hand man mr kevin gray and we just wrapped up an episode of the micro cap minute and we're going to swing all the way to the other side of the spectrum it's monday it's a big week and i'll tell you why it's... Read more

Stock Market Holidays Exposed #stockmarket #shorts #short

Category: News & Politics

जून 2024 के महीने में स्टॉक मार्केट कौन सेकन से दिन बंद रहने वाला है उन सभी तारीख की डिटेल इस वीडियो में है m Read more

How Much More Can NVIDIA Drop?

Category: Education

So is nvidia a good buy at n $119 per share what's going on guys it's ricky with tech solutions here with a super quick market update so again i closed out the day at $1,596 66 as you can see i left myself with no open share so i'm not carrying anything over the 3-day weekend uh we do have labor day... Read more

Anthony Noto Getting Elon SUPER POWERS | BIG Money BUYING SoFi ⚠️ SoFi Breakout Coming

Category: Entertainment

What's going on welcome back to trending stocks today want to talk to you about sofi i want to go over some of the current data points break it down on what really caused so much volatility and how anthony is getting kind of elon powers so i'm going to go over all that but first make sure guys hit that... Read more

Asian Paints ka stock uthaa lo #shorts #stockmarket #fundamentalanalysis

Category: People & Blogs

बताइए जरा क्या टिप आई है कह रहा मैं क्या कह रहा हूं ये एशियन पेंट का स्टॉक उठा ले मैंने कहा क्यों उठाऊं कह रहा टिप आई है मैं लॉजिक क्या है तेरे तने देखा गुटके का स्टॉक ऊपर जा रहा है मैंने कहा हां जा रहा है क रहा मतलब लोग गुटका खा रहे हैं मैंने कहा हां खा रहे हैं तो कह र भाई खा रहे तो थूक कहां पे दीवार पे थूक ना दीवार को पेंट करने के लिए क्या लिखेगा एशियन पेंट लगेगा मैं कहा अरे बहन मैंने कहा एक काम करते हैं टाटा टी का स्टॉक उठाते हैं ये कह रहा... Read more

HUGE Day for SoFi │ SoFi Data is Signaling $10 Coming │ SoFi Shorts Returning

Category: Entertainment

What's going on welcome back to training stocks today we want to talk to you about sofi i want to go over some of the current data points break it down on what the hell is happening today and go over everything else you need to know but first make sure guys hit that thumbs up and with that let's get... Read more

Stock Market Winners & Losers: Markets Await Fed Minutes | DIY Projects | Eli Lilly Weight Loss Drug

Category: News & Politics

All right time to talk winners and losers on wall street with financial expert rob black joining us this morning as we're looking at a wednesday rob and what do you see on the markets this morning yeah it's kind of like we're waiting to see what the fed has to say later in the day around 11:00 a.m.... Read more

EXPLAINED: WHY AMAZON CRASHED TODAY?!?

Category: Education

So amazon stock tumbles after reporting earnings and although the earnings per share were actually beat the revenue did come in a little bit lower than what was expected causing the overall stock to actually sell off nearly 7% after market hours but it's not even the earning report it's the guidance... Read more

Is It Time To Sell Nvidia?

Category: Education

You guys know that i love talking on nvidia i'm not here to sugarcoat it but there was nothing wrong with nvidia's earnings yesterday u and and that's the part that baffles me so what's going on guys it's ricky and i want to jump right into this so nvidia is not down as much as it was yesterday after... Read more

Stock Market Holiday Party Over? [S&P500 Technical Analysis GOLD SILVER]

Category: Education

Intro what's up everybody tom here with another video today we'll be talking about the latest stock market news along with our technical analysis thoughts on the s p 500 nasdaq volatility index apple tesla and the us dollar we'll also be talking about gold and silver in this video says a lot to cover... Read more

Stock Market Winners & Losers: Nvidia Earnings | Boeing's Starliner| Kelce Brothers

Category: News & Politics

Time now to talk winners and losers on wall street with financial expert rob black and rob this morning i'm seeing nothing but a sea red uh doesn't look all that hot good morning yeah we've had a great year so we're up almost 20% in the s&p 500 so there's going to be days like this but today's a weird... Read more

Hindenburg Strikes Again! 🚨 Stock falls 30%! Super Micro Computer Inc Exposed in Shocking Report

Category: Howto & Style

जी हां दोस्तों हिंडन बर्ग वापस आ चुका है और इस बार जिस कंपनी पे अटैक किया है वह कंपनी पिछले 3 दिन में 30 पर और मार्च के हाई से 60 पर की फॉल दिखा चुकी है लेकिन इस बार अटैक भारत की कंपनी पे नहीं बल्कि खुद के देश की कंपनी पे किया गया है कंपनी का नाम है सुपर माइक्रो कंप्यूटर आईसी n स्क पे लिस्टेड है आर्टिफिशियल इंटेलिजेंस की दुनिया में बहुत बड़ा नाम है 203 से अगर आप देखोगे 15 गुना यानी 1500 पर से ज्यादा ये रिटर्न दे चुकी थी कंपनी लेकिन हिंडन... Read more