Better Buy: Affirm vs. American Express

The way people pay for things is changing rapidly, as new technologies and platforms emerge that accelerate the transformation of payments. One fintech that has had an effect on the industry is Affirm Holdings (NASDAQ: AFRM). This buy now, pay later company had a meteoric rise after its initial public offering (IPO) in early 2021, but has dropped sharply since then and is now worth less than the day of its January 2021 IPO. But many overpriced fintechs have suffered the same fate in this volatile market cycle.

Meanwhile, one of the biggest brands and most established names in the payment industry, American Express (NYSE: AXP), is beating the market this year, up about 14%. It is among the very best performers in this industry over the past year. But is it too late to buy? Does it make more sense to invest in a beaten-down Affirm? Letʻs take a look to see which of these competitors is the better buy right now.

Image source: Getty Images.

Source Fool.com