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AFRM vs. HOOD: A Head-to-Head Stock Comparison

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Here’s a clear look at AFRM and HOOD, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

SymbolAFRMHOOD
Company NameAffirm Holdings, Inc.Robinhood Markets, Inc.
CountryUnited StatesUnited States
GICS SectorFinancialsFinancials
GICS IndustryFinancial ServicesCapital Markets
Market Capitalization28.81 billion USD92.45 billion USD
ExchangeNasdaqGSNasdaqGS
Listing DateJanuary 13, 2021July 29, 2021
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of AFRM and HOOD 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.

AFRM vs. HOOD: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolAFRMHOOD
5-Day Price Return14.30%-3.62%
13-Week Price Return69.95%62.67%
26-Week Price Return38.31%126.55%
52-Week Price Return180.11%411.96%
Month-to-Date Return29.03%0.95%
Year-to-Date Return45.25%179.20%
10-Day Avg. Volume11.56M35.72M
3-Month Avg. Volume7.06M43.04M
3-Month Volatility54.83%54.36%
Beta3.692.37

Profitability

Return on Equity (TTM)

AFRM

-2.22%

Financial Services Industry

Max
40.58%
Q3
20.06%
Median
10.67%
Q1
4.19%
Min
-10.31%

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.

HOOD

22.92%

Capital Markets Industry

Max
38.97%
Q3
21.61%
Median
13.77%
Q1
8.31%
Min
-4.25%

In the upper quartile for the Capital Markets industry, HOOD’s Return on Equity of 22.92% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

AFRM vs. HOOD: A comparison of their Return on Equity (TTM) against their respective Financial Services and Capital Markets industry benchmarks.

Net Profit Margin (TTM)

AFRM

-2.33%

Financial Services Industry

Max
52.86%
Q3
25.58%
Median
12.23%
Q1
6.64%
Min
-9.92%

AFRM has a negative Net Profit Margin of -2.33%, indicating the company is operating at a net loss as its expenses exceeded its revenues.

HOOD

50.13%

Capital Markets Industry

Max
66.67%
Q3
35.11%
Median
23.49%
Q1
13.63%
Min
-15.18%

A Net Profit Margin of 50.13% places HOOD in the upper quartile for the Capital Markets industry, signifying strong profitability and more effective cost management than most of its peers.

AFRM vs. HOOD: A comparison of their Net Profit Margin (TTM) against their respective Financial Services and Capital Markets industry benchmarks.

Operating Profit Margin (TTM)

AFRM

-5.22%

Financial Services Industry

Max
77.28%
Q3
37.68%
Median
18.17%
Q1
9.27%
Min
-8.19%

AFRM has a negative Operating Profit Margin of -5.22%. This signifies the company is unprofitable at the operational level, as its core business expenses exceed its revenue.

HOOD

42.50%

Capital Markets Industry

Max
86.40%
Q3
46.46%
Median
32.80%
Q1
18.32%
Min
-21.87%

HOOD’s Operating Profit Margin of 42.50% is around the midpoint for the Capital Markets industry, indicating that its efficiency in managing core business operations is typical for the sector.

AFRM vs. HOOD: A comparison of their Operating Profit Margin (TTM) against their respective Financial Services and Capital Markets industry benchmarks.

Profitability at a Glance

SymbolAFRMHOOD
Return on Equity (TTM)-2.22%22.92%
Return on Assets (TTM)-0.61%5.41%
Net Profit Margin (TTM)-2.33%50.13%
Operating Profit Margin (TTM)-5.22%42.50%
Gross Profit Margin (TTM)--94.76%

Financial Strength

Current Ratio (MRQ)

AFRM

4.49

Financial Services Industry

Max
4.58
Q3
2.59
Median
1.33
Q1
0.69
Min
0.01

For the Financial Services industry, the Current Ratio is often not the most suitable measure of short-term liquidity.

HOOD

1.25

Capital Markets Industry

Max
3.76
Q3
1.89
Median
1.01
Q1
0.54
Min
-0.41

For the Capital Markets industry, the Current Ratio is often not the most suitable measure of short-term liquidity.

AFRM vs. HOOD: A comparison of their Current Ratio (MRQ) against their respective Financial Services and Capital Markets industry benchmarks.

Debt-to-Equity Ratio (MRQ)

AFRM

2.49

Financial Services Industry

Max
4.96
Q3
2.10
Median
0.57
Q1
0.12
Min
0.00

The Debt-to-Equity Ratio is often not the primary focus for assessing leverage in the Financial Services industry.

HOOD

1.57

Capital Markets Industry

Max
6.62
Q3
2.84
Median
1.02
Q1
0.32
Min
0.00

The Debt-to-Equity Ratio is often not the primary focus for assessing leverage in the Capital Markets industry.

AFRM vs. HOOD: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Financial Services and Capital Markets industry benchmarks.

Interest Coverage Ratio (TTM)

AFRM

-3.76

Financial Services Industry

Max
136.23
Q3
56.08
Median
6.55
Q1
2.01
Min
-33.27

The Interest Coverage Ratio is often not a primary indicator of debt servicing capacity in the Financial Services industry.

HOOD

--

Capital Markets Industry

Max
126.03
Q3
60.98
Median
11.77
Q1
4.95
Min
-36.26

The Interest Coverage Ratio is often not a primary indicator of debt servicing capacity in the Capital Markets industry.

AFRM vs. HOOD: A comparison of their Interest Coverage Ratio (TTM) against their respective Financial Services and Capital Markets industry benchmarks.

Financial Strength at a Glance

SymbolAFRMHOOD
Current Ratio (MRQ)4.491.25
Quick Ratio (MRQ)4.411.24
Debt-to-Equity Ratio (MRQ)2.491.57
Interest Coverage Ratio (TTM)-3.76--

Growth

Revenue Growth

AFRM vs. HOOD: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

AFRM vs. HOOD: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

AFRM

0.00%

Financial Services Industry

Max
8.18%
Q3
3.60%
Median
1.56%
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.

HOOD

0.00%

Capital Markets Industry

Max
10.26%
Q3
4.86%
Median
2.78%
Q1
1.22%
Min
0.00%

HOOD 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.

AFRM vs. HOOD: A comparison of their Dividend Yield (TTM) against their respective Financial Services and Capital Markets industry benchmarks.

Dividend Payout Ratio (TTM)

AFRM

0.00%

Financial Services Industry

Max
155.56%
Q3
63.71%
Median
18.08%
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.

HOOD

0.00%

Capital Markets Industry

Max
200.72%
Q3
101.92%
Median
57.97%
Q1
32.36%
Min
0.00%

HOOD 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.

AFRM vs. HOOD: A comparison of their Dividend Payout Ratio (TTM) against their respective Financial Services and Capital Markets industry benchmarks.

Dividend at a Glance

SymbolAFRMHOOD
Dividend Yield (TTM)0.00%0.00%
Dividend Payout Ratio (TTM)0.00%0.00%

Valuation

Price-to-Earnings Ratio (TTM)

AFRM

--

Financial Services Industry

Max
63.23
Q3
32.10
Median
14.41
Q1
10.81
Min
0.37

P/E Ratio data for AFRM is currently unavailable.

HOOD

52.36

Capital Markets Industry

Max
58.89
Q3
31.00
Median
18.54
Q1
12.09
Min
5.24

A P/E Ratio of 52.36 places HOOD in the upper quartile for the Capital Markets industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.

AFRM vs. HOOD: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Financial Services and Capital Markets industry benchmarks.

Price-to-Sales Ratio (TTM)

AFRM

8.81

Financial Services Industry

Max
11.16
Q3
5.45
Median
2.61
Q1
1.25
Min
0.04

The P/S Ratio is often not a primary valuation tool in the Financial Services industry.

HOOD

26.24

Capital Markets Industry

Max
14.49
Q3
7.41
Median
4.68
Q1
2.25
Min
0.04

With a P/S Ratio of 26.24, HOOD trades at a valuation that eclipses even the highest in the Capital Markets industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.

AFRM vs. HOOD: A comparison of their Price-to-Sales Ratio (TTM) against their respective Financial Services and Capital Markets industry benchmarks.

Price-to-Book Ratio (MRQ)

AFRM

5.03

Financial Services Industry

Max
7.09
Q3
3.79
Median
1.46
Q1
0.83
Min
0.04

AFRM’s P/B Ratio of 5.03 is in the upper tier for the Financial Services industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.

HOOD

10.24

Capital Markets Industry

Max
9.48
Q3
4.94
Median
2.42
Q1
1.21
Min
0.38

At 10.24, HOOD’s P/B Ratio is at an extreme premium to the Capital Markets industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

AFRM vs. HOOD: A comparison of their Price-to-Book Ratio (MRQ) against their respective Financial Services and Capital Markets industry benchmarks.

Valuation at a Glance

SymbolAFRMHOOD
Price-to-Earnings Ratio (TTM)--52.36
Price-to-Sales Ratio (TTM)8.8126.24
Price-to-Book Ratio (MRQ)5.0310.24
Price-to-Free Cash Flow Ratio (TTM)38.6815.83