Why Affirm Stock Plummeted on Friday
Affirm Holdings (NASDAQ: AFRM) saw its stock price drop sharply on Friday. Shares of the buy now, pay later (BNPL) fintech were up 5% shortly after the bell, rising on yesterday's momentum and some decent bank earnings. But things turned south, and as of 3:25 p.m., the stock was down about 6.6% to $17.51.
Some solid bank earnings gave the market a lift shortly after the opening bell; shares of JPMorgan Chase, Wells Fargo, Citigroup, and US Bancorp were all up on better-than-expected third-quarter earnings.
But that initial surge did an about-face following the release of some economic news that directly impacted Affirm, a payment stock. Most notably, September consumer spending was flat, according to the Commerce Department's retail sales report. This was below analysts' estimates for a 0.3% gain in retail sales and less than the 0.4% gain in August.
Source Fool.com
