AFRM vs. MSTR: A Head-to-Head Stock Comparison
UpdatedHere’s a clear look at AFRM and MSTR, comparing key factors like performance, valuation metrics, dividends, and financial strength. It’s built for investors or anyone curious to see how these two stocks match up.
Company Overview
MSTR stands out with 110.10 billion USD in market value—about 7.22× AFRM’s market cap of 15.24 billion USD.
With betas of 3.66 for AFRM and 3.81 for MSTR, both show similar volatility profiles relative to the overall market.
| Symbol | AFRM | MSTR |
|---|---|---|
| Company Name | Affirm Holdings, Inc. | MicroStrategy Incorporated |
| Country | US | US |
| Sector | Technology | Technology |
| Industry | Software - Infrastructure | Software - Application |
| CEO | Mr. Max Roth Levchin | Mr. Phong Q. Le |
| Price | 47.24 USD | 402.69 USD |
| Market Cap | 15.24 billion USD | 110.10 billion USD |
| Beta | 3.66 | 3.81 |
| Exchange | NASDAQ | NASDAQ |
| IPO Date | January 13, 2021 | June 11, 1998 |
| ADR | No | No |
Performance Comparison
This chart compares the performance of AFRM and MSTR over the past year by tracking the growth of an initial $10,000 investment in each (starting one year ago).
Hover over the lines to see the investment’s value and total return (%) at specific dates.
Data is adjusted for dividends and splits.
Valuation Metrics Comparison
The section examines key financial ratios to assess the valuation of AFRM and MSTR based on earnings, cash flow, sales, and book value. Pay attention to the following notable points where extreme values stand out.
- Neither AFRM nor MSTR turned a profit—both carry negative P/E ratios of -246.14 and -19.34, underscoring continued losses that pressure their valuations.
- AFRM posts a negative forward PEG of -1.38, hinting at anticipated earnings decline, whereas MSTR at 0.07 has projections for stable or growing earnings.
- MSTR reports a negative Price-to-Free Cash Flow ratio of -5.36, showing a cash flow shortfall that could threaten its operational sustainability, while AFRM at 25.04 maintains positive cash flow.
| Symbol | AFRM | MSTR |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | -246.14 | -19.34 |
| Forward PEG Ratio (TTM) | -1.38 | 0.07 |
| Price-to-Sales Ratio (P/S, TTM) | 5.07 | 239.72 |
| Price-to-Book Ratio (P/B, TTM) | 5.32 | 79.17 |
| Price-to-Free Cash Flow Ratio (P/FCF, TTM) | 25.04 | -5.36 |
| EV-to-EBITDA (TTM) | 69.85 | -14.54 |
| EV-to-Sales (TTM) | 7.07 | 239.82 |
| EV-to-Free Cash Flow (TTM) | 34.90 | -5.37 |
Dividend Comparison
Neither AFRM nor MSTR currently pays a dividend yield; this often indicates they are reinvesting earnings for growth, prioritizing long-term expansion over immediate cash returns to shareholders.
| Symbol | AFRM | MSTR |
|---|---|---|
| Dividend Yield (TTM) | 0.00% | 0.00% |
Financial Strength Metrics Comparison
This section dives into the financial resilience of AFRM and MSTR, spotlighting key metrics like liquidity, leverage, and debt coverage. Check out the standout observations below where notable differences or extremes pop up.
- MSTR’s current ratio of 0.66 indicates its assets may not cover near-term debts, whereas AFRM at 63.09 maintains healthy liquidity.
- MSTR posts a quick ratio of 0.66, indicating limited coverage of short-term debts from its most liquid assets—while AFRM at 63.09 enjoys stronger liquidity resilience.
- Both AFRM and MSTR report negative interest coverage ratios (-0.24, -229.74), meaning EBIT itself is negative—neither can cover interest, a critical solvency warning.
| Symbol | AFRM | MSTR |
|---|---|---|
| Current Ratio (TTM) | 63.09 | 0.66 |
| Quick Ratio (TTM) | 63.09 | 0.66 |
| Debt-to-Equity Ratio (TTM) | 2.56 | 0.08 |
| Debt-to-Assets Ratio (TTM) | 0.71 | 0.00 |
| Interest Coverage Ratio (TTM) | -0.24 | -229.74 |