Is Affirm Holdings, Inc. overvalued or undervalued?

As of 17 October 2025, the valuation grade for Affirm Holdings, Inc. has moved from very expensive to attractive, indicating a shift towards a more favorable assessment. The company appears to be undervalued based on its current metrics, with a P/E ratio of 152, a Price to Book Value of 6.61, and an EV to EBITDA of 36.28. In comparison, its peer SoFi Technologies, Inc. has a P/E of 54.79, while Synchrony Financial, considered very attractive, has a significantly lower P/E of 15.06.
Affirm's recent stock performance shows a 1-year return of 54.56%, which outpaces the S&P 500's return of 14.08% over the same period, reinforcing the notion that the stock may be undervalued relative to its growth potential.