Affirm Holdings’ (AFRM) IPO in January grabbed the attention of investors, as evidenced by the stock’s triple-digit price gains in its first day of trading. However, given the stock market’s recent correction owing to a broader technology sector sell-off, is it worth buying AFRM now? Read more to find out.Affirm Holdings, Inc. (AFRM) is a provider of digital payment solutions in the United States and Canada. The company made its stock market debut on January 13. It offered 24.60 million shares priced at $49.
On the stock’s first trading day it soared 110.2% to hit an intraday high of $103. It hit its all-time high of $140.50 on February 11.
However, shares of AFRM have been losing momentum since. The stock has declined 61.8% over the past three months, and 29.3% over the past month. Despite such steep share-price declines, we think the stock is still overvalued. This, coupled with its weak fundamentals, make it best avoided now.