Affirm Holdings (NASDAQ:AFRM) witnessed an impressive surge of nearly 18% in its stock on Thursday following a significant announcement from ecommerce giant Amazon. Amazon revealed that its business-to-business store, Amazon Business, will be integrating Affirm’s buy-now-pay-later service at the checkout.
Starting from Thursday, Amazon Business will introduce Affirm to eligible sole-proprietor sellers. Furthermore, the buy-now-pay-later option will be accessible to all eligible customers in time for Black Friday on November 24, according to Amazon’s official statement.
This collaboration marks a notable milestone for Affirm as it becomes the first buy-now-pay-later lender to be featured on Amazon Business. It’s worth noting that Affirm’s services were already available to Amazon’s retail customers.
Amazon Business and Affirm have simplified the process for small business owners. By selecting Affirm at the Amazon Business checkout and providing a few essential details such as the registered business name and address, these entrepreneurs can instantly receive a credit decision.
In response to this exciting development, Affirm’s shares experienced a substantial increase, reaching $20.72, reflecting a remarkable 17.7% gain. Notably, the stock has more than doubled in value over the course of this year and is currently on track for its most significant daily percentage increase since August.
Analyzing the stock’s performance, data from LSEG reveals that the median price target of the 18 analysts covering Affirm’s stock is $16.50, and their current recommendation is “hold.” Affirm had previously reported better-than-expected quarterly results in August, primarily driven by increased loan transaction activity. This positive outcome led to a remarkable 29% surge in the company’s shares in a single trading session. The company is scheduled to announce its next quarterly earnings on November 8.
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Author Faith Yakubu 
