In our latest article, we explore Affirm Holdings Inc. (NASDAQ:AFRM) and its position among the top digital currency and payments stocks. As the digital payments Market grows, valued at $115.93 billion in 2023 and projected to reach $180.26 billion by 2028, companies like Affirm are adapting to changing consumer preferences. The rise of e-commerce and non-cash payment methods, especially among younger generations, is driving this change. Affirm, known for its buy now, pay later services, reported impressive revenue growth and is expanding its services to new markets. While Affirm ranks 10th among the best digital payments stocks, we believe AI stocks offer even greater potential for returns.
The recent surge in digital currency and payments stocks has garnered attention, with Affirm Holdings Inc. (NASDAQ:AFRM) being a key player in this evolving sector. According to a report by The Business Research Company, the global digital payments Market was valued at $115.93 billion in 2023, with a projected compound annual growth rate (CAGR) of 9.3% expected between 2024 and 2028. This would push the Market‘s value to approximately $180.26 billion by the end of this period.
Younger generations, particularly millennials and Gen Z, are driving this change. They prefer digital payment solutions due to their ease and convenience. Consequently, there has been a significant rise in non-cash payment methods, such as mobile apps and digital wallets. In fact, recent data from the McKinsey Digital Payments Survey 2024 reveals that about 92% of US consumers have made at least one digital payment in the past year, highlighting a promising trend for companies like Affirm.
Affirm Holdings Inc. has reported impressive growth, with total revenue hitting $698 million in the first quarter of fiscal 2025—a 41% increase compared to the same period last year. The company continues to expand its Market by integrating services with major platforms like Apple Pay, making it easier for users to access its buy now, pay later options.
Investors looking for opportunities in the digital payments space may find Affirm Holdings Inc. appealing, especially considering its strong position on the list of digital currency stocks worth investing in. With its robust growth trajectory and strategic initiatives, Affirm is well-positioned to benefit from the ongoing shift towards digital payments.
For those also interested in exploring the potential of artificial intelligence stocks, it might be worth checking reports on the best AI stocks trading at favorable valuations.
Read next: 8 Best Wide Moat Stocks to Buy Now and 30 Most Important AI Stocks According to BlackRock.
Tags: Digital Currency, Payments Stocks, Affirm Holdings, E-commerce, Investment Opportunities, Digital Payments Market, Financial Technology
What is Affirm Holdings Inc. (AFRM)?
Affirm Holdings Inc. is a financial technology company that provides point-of-sale financing and buy now, pay later (BNPL) services. It allows consumers to make purchases and pay for them over time, making it easier to manage expenses.
Is Affirm a good investment for digital payments?
Affirm could be a good investment for those interested in digital payments and financial technology. It serves a growing Market as more people prefer online shopping and flexible payment options. However, like any investment, it comes with risks.
What are the risks of investing in Affirm?
The risks include competition from other fintech companies and possible regulatory changes that could impact their business. Also, investors should consider Market volatility, as stock prices can fluctuate.
How does Affirm make money?
Affirm earns money mainly by charging fees to merchants and interest on loans to consumers. When customers use Affirm at a checkout, merchants pay a fee, and if customers choose to finance their purchases, they may pay interest, which adds to Affirm’s revenue.
Is Affirm Holdings Inc. (AFRM) a buy right now?
Whether Affirm is a buy depends on your investment strategy and Market conditions. Some investors see it as a promising opportunity in digital payments, while others may prefer to wait for clearer signs of growth. It’s important to do your research or consult a financial advisor before making any investment decisions.
