AFRM vs. ESTC: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at AFRM and ESTC, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Overview
AFRM’s market capitalization of 22.30 billion USD is substantially larger than ESTC’s 9.20 billion USD, indicating a significant difference in their market valuations.
AFRM’s beta of 3.58 points to significantly higher volatility compared to ESTC (beta: 1.07), suggesting AFRM has greater potential for both gains and losses relative to market movements.
| Symbol | AFRM | ESTC |
|---|---|---|
| Company Name | Affirm Holdings, Inc. | Elastic N.V. |
| Country | US | US |
| Sector | Technology | Technology |
| Industry | Software - Infrastructure | Software - Application |
| CEO | Max Roth Levchin | Ashutosh Kulkarni |
| Price | 69.19 USD | 87.2 USD |
| Market Cap | 22.30 billion USD | 9.20 billion USD |
| Beta | 3.58 | 1.07 |
| Exchange | NASDAQ | NYSE |
| IPO Date | January 13, 2021 | October 5, 2018 |
| ADR | No | No |
Historical Performance
This chart compares the performance of AFRM and ESTC by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period.
Data is adjusted for dividends and splits.
Profitability
Return on Equity
AFRM
-2.22%
Software - Infrastructure Industry
- Max
- 80.61%
- Q3
- 29.97%
- Median
- 2.84%
- Q1
- -8.35%
- Min
- -56.26%
AFRM has a negative Return on Equity of -2.22%. This indicates the company is generating a loss for its shareholders, which can be a result of unprofitability or negative shareholder equity and is often a sign of financial distress.
ESTC
-12.88%
Software - Application Industry
- Max
- 59.01%
- Q3
- 17.85%
- Median
- 4.73%
- Q1
- -10.56%
- Min
- -52.94%
ESTC has a negative Return on Equity of -12.88%. This indicates the company is generating a loss for its shareholders, which can be a result of unprofitability or negative shareholder equity and is often a sign of financial distress.
Return on Invested Capital
AFRM
-0.85%
Software - Infrastructure Industry
- Max
- 39.31%
- Q3
- 11.97%
- Median
- 1.67%
- Q1
- -7.10%
- Min
- -34.29%
AFRM has a negative Return on Invested Capital of -0.85%. This indicates that its operations are failing to generate a profit on the total capital invested, signaling significant inefficiency or value destruction.
ESTC
-11.70%
Software - Application Industry
- Max
- 35.07%
- Q3
- 9.72%
- Median
- 0.76%
- Q1
- -8.68%
- Min
- -34.12%
ESTC has a negative Return on Invested Capital of -11.70%. This indicates that its operations are failing to generate a profit on the total capital invested, signaling significant inefficiency or value destruction.
Net Profit Margin
AFRM
-2.07%
Software - Infrastructure Industry
- Max
- 46.46%
- Q3
- 14.65%
- Median
- 2.66%
- Q1
- -7.70%
- Min
- -35.45%
AFRM has a negative Net Profit Margin of -2.07%, indicating the company is operating at a net loss as its expenses exceeded its revenues.
ESTC
-7.29%
Software - Application Industry
- Max
- 48.14%
- Q3
- 16.07%
- Median
- 1.83%
- Q1
- -9.60%
- Min
- -45.64%
ESTC has a negative Net Profit Margin of -7.29%, indicating the company is operating at a net loss as its expenses exceeded its revenues.
Operating Profit Margin
AFRM
-2.53%
Software - Infrastructure Industry
- Max
- 48.51%
- Q3
- 16.56%
- Median
- 4.48%
- Q1
- -6.43%
- Min
- -40.18%
AFRM has a negative Operating Profit Margin of -2.53%. This signifies the company is unprofitable at the operational level, as its core business expenses exceed its revenue.
ESTC
-3.69%
Software - Application Industry
- Max
- 51.67%
- Q3
- 15.35%
- Median
- 1.79%
- Q1
- -12.42%
- Min
- -45.17%
ESTC has a negative Operating Profit Margin of -3.69%. This signifies the company is unprofitable at the operational level, as its core business expenses exceed its revenue.
Profitability at a Glance
| Symbol | AFRM | ESTC |
|---|---|---|
| Return on Equity (TTM) | -2.22% | -12.88% |
| Return on Assets (TTM) | -0.60% | -4.17% |
| Return on Invested Capital (TTM) | -0.85% | -11.70% |
| Net Profit Margin (TTM) | -2.07% | -7.29% |
| Operating Profit Margin (TTM) | -2.53% | -3.69% |
| Gross Profit Margin (TTM) | 71.61% | 74.39% |
Financial Strength
Current Ratio
AFRM
63.09
Software - Infrastructure Industry
- Max
- 3.80
- Q3
- 2.25
- Median
- 1.51
- Q1
- 1.10
- Min
- 0.23
AFRM’s Current Ratio of 63.09 is exceptionally high, placing it well outside the typical range for the Software - Infrastructure industry. This indicates a very strong liquidity position, though such a high ratio may also suggest that the company is not using its assets efficiently to generate profits.
ESTC
1.92
Software - Application Industry
- Max
- 5.09
- Q3
- 2.84
- Median
- 1.70
- Q1
- 1.12
- Min
- 0.04
ESTC’s Current Ratio of 1.92 aligns with the median group of the Software - Application industry, indicating that its short-term liquidity is in line with its sector peers.
Debt-to-Equity Ratio
AFRM
2.56
Software - Infrastructure Industry
- Max
- 2.56
- Q3
- 1.12
- Median
- 0.33
- Q1
- 0.05
- Min
- 0.00
AFRM’s leverage is in the upper quartile of the Software - Infrastructure industry, with a Debt-to-Equity Ratio of 2.56. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.
ESTC
0.03
Software - Application Industry
- Max
- 1.85
- Q3
- 0.77
- Median
- 0.18
- Q1
- 0.05
- Min
- 0.00
Falling into the lower quartile for the Software - Application industry, ESTC’s Debt-to-Equity Ratio of 0.03 points to a conservative financing strategy. This results in lower financial risk but potentially limits strategic investments compared to more leveraged competitors.
Interest Coverage Ratio
AFRM
-0.24
Software - Infrastructure Industry
- Max
- 32.21
- Q3
- 5.24
- Median
- 0.95
- Q1
- -17.99
- Min
- -50.82
AFRM has a negative Interest Coverage Ratio of -0.24. This indicates that its earnings were insufficient to cover even its operational costs, let alone its interest payments, signaling significant financial distress.
ESTC
-4.02
Software - Application Industry
- Max
- 39.23
- Q3
- 8.55
- Median
- 1.48
- Q1
- -14.59
- Min
- -39.97
ESTC has a negative Interest Coverage Ratio of -4.02. This indicates that its earnings were insufficient to cover even its operational costs, let alone its interest payments, signaling significant financial distress.
Financial Strength at a Glance
| Symbol | AFRM | ESTC |
|---|---|---|
| Current Ratio (TTM) | 63.09 | 1.92 |
| Quick Ratio (TTM) | 63.09 | 1.92 |
| Debt-to-Equity Ratio (TTM) | 2.56 | 0.03 |
| Debt-to-Asset Ratio (TTM) | 0.71 | 0.01 |
| Net Debt-to-EBITDA Ratio (TTM) | 19.75 | 74.71 |
| Interest Coverage Ratio (TTM) | -0.24 | -4.02 |
Growth
The following charts compare key year-over-year (YoY) growth metrics for AFRM and ESTC. These metrics are based on the companies’ annual financial reports.
Revenue Growth
Earnings Per Share (EPS) Growth
Free Cash Flow Growth
Dividend
Dividend Yield
AFRM
0.00%
Software - Infrastructure Industry
- Max
- 4.07%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
AFRM currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.
ESTC
0.00%
Software - Application Industry
- Max
- 3.66%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
ESTC currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.
Dividend Payout Ratio
AFRM
0.00%
Software - Infrastructure Industry
- Max
- 48.68%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
AFRM has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.
ESTC
0.00%
Software - Application Industry
- Max
- 81.09%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
ESTC has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.
Dividend at a Glance
| Symbol | AFRM | ESTC |
|---|---|---|
| Dividend Yield (TTM) | 0.00% | 0.00% |
| Dividend Payout Ratio (TTM) | 0.00% | 0.00% |
Valuation
Price-to-Earnings Ratio
AFRM
-360.51
Software - Infrastructure Industry
- Max
- 107.77
- Q3
- 54.40
- Median
- 28.10
- Q1
- 18.03
- Min
- 5.32
AFRM has a negative P/E Ratio of -360.51. This occurs when a company has negative earnings (a net loss), making the ratio unsuitable for valuation analysis.
ESTC
-82.58
Software - Application Industry
- Max
- 194.31
- Q3
- 98.56
- Median
- 51.87
- Q1
- 22.76
- Min
- 1.02
ESTC has a negative P/E Ratio of -82.58. This occurs when a company has negative earnings (a net loss), making the ratio unsuitable for valuation analysis.
Forward P/E to Growth Ratio
AFRM
-6.16
Software - Infrastructure Industry
- Max
- 8.12
- Q3
- 3.94
- Median
- 2.13
- Q1
- 0.94
- Min
- 0.01
AFRM has a negative Forward PEG Ratio of -6.16. This typically results from negative earnings or forecasts of declining future earnings, making the ratio not meaningful for valuation.
ESTC
-7.51
Software - Application Industry
- Max
- 15.44
- Q3
- 6.57
- Median
- 2.78
- Q1
- 0.55
- Min
- 0.00
ESTC has a negative Forward PEG Ratio of -7.51. This typically results from negative earnings or forecasts of declining future earnings, making the ratio not meaningful for valuation.
Price-to-Sales Ratio
AFRM
7.42
Software - Infrastructure Industry
- Max
- 18.25
- Q3
- 9.05
- Median
- 4.77
- Q1
- 2.30
- Min
- 0.11
AFRM’s P/S Ratio of 7.42 aligns with the market consensus for the Software - Infrastructure industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.
ESTC
6.20
Software - Application Industry
- Max
- 23.49
- Q3
- 11.14
- Median
- 5.62
- Q1
- 2.84
- Min
- 0.33
ESTC’s P/S Ratio of 6.20 aligns with the market consensus for the Software - Application industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.
Price-to-Book Ratio
AFRM
7.80
Software - Infrastructure Industry
- Max
- 19.94
- Q3
- 10.91
- Median
- 6.33
- Q1
- 2.95
- Min
- 0.51
The P/B Ratio is often not a primary valuation metric for the Software - Infrastructure industry.
ESTC
9.63
Software - Application Industry
- Max
- 21.03
- Q3
- 10.49
- Median
- 6.36
- Q1
- 2.89
- Min
- 0.12
The P/B Ratio is often not a primary valuation metric for the Software - Application industry.
Valuation at a Glance
| Symbol | AFRM | ESTC |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | -360.51 | -82.58 |
| Forward PEG Ratio (TTM) | -6.16 | -7.51 |
| Price-to-Sales Ratio (P/S, TTM) | 7.42 | 6.20 |
| Price-to-Book Ratio (P/B, TTM) | 7.80 | 9.63 |
| Price-to-Free Cash Flow Ratio (P/FCF, TTM) | 36.63 | 35.15 |
| EV-to-EBITDA (TTM) | 93.06 | -904.30 |
| EV-to-Sales (TTM) | 9.41 | 5.73 |