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AFRM vs. RKT: Affirm vs. Rocket Stock Comparison

How do Affirm (AFRM) and Rocket (RKT) stack up? This page sets them side by side across company profile, performance and risk, profitability, growth, financial strength, dividends, and valuation, with selected fundamentals also measured against each stock's industry-group peers.

Company Profile

Affirm (AFRM) and Rocket (RKT) both belong to the Financial Services industry, though AFRM is classified under Transaction & Payment Processing Services while RKT falls under Commercial & Residential Mortgage Finance.

Company profile comparison for Affirm (AFRM) and Rocket (RKT)
Profile ItemAFRMRKT
NameAffirm Holdings, Inc.Rocket Companies Inc. Class A Common Stock
Country/RegionUnited StatesUnited States
GICS SectorFinancialsFinancials
GICS Industry GroupFinancial ServicesFinancial Services
GICS IndustryFinancial ServicesFinancial Services
GICS Sub-IndustryTransaction & Payment Processing ServicesCommercial & Residential Mortgage Finance
Market Capitalization23.09 billion USD42.74 billion USD
CurrencyUSDUSD
ExchangeNasdaqNYSE
Listing DateJanuary 13, 2021August 6, 2020
Security TypeCommon StockCommon Stock

Price Performance

Cumulative Growth

AFRM
RKT
GSPC
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Affirm (AFRM) vs. Rocket (RKT), with S&P 500 (GSPC) for reference: Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Trailing Returns

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Trailing total returns for Affirm (AFRM) and Rocket (RKT). Returns over one year are annualized.

Calendar-Year Returns

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Calendar-year total returns for Affirm (AFRM) and Rocket (RKT). Each bar is that year's total return, measured year-end to year-end.

Performance Metrics

Price performance metrics for Affirm (AFRM) and Rocket (RKT)
MetricAFRMRKT
Total Return (1Y)-6.89%-7.27%
Total Return (3Y, Annualized)40.23%26.30%
Total Return (5Y, Annualized)-15.36%0.22%

Risk Profile

Drawdown History

AFRM
RKT
GSPC
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Affirm (AFRM) vs. Rocket (RKT), with S&P 500 (GSPC) for reference: Drawdown from the running peak over the past five years. Each line shows the decline from its prior peak; 0% marks a new high.

Return Distribution

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Distribution of monthly total returns for Affirm (AFRM) and Rocket (RKT). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Risk profile metrics for Affirm (AFRM) and Rocket (RKT)
MetricAFRMRKT
Volatility (1Y, Annualized)58.20%58.88%
Beta (5Y)3.702.19
Max Drawdown (5Y)-94.35%-59.90%
Avg. Volume (3M)4.46M34.27M

Risk-Adjusted Performance

Risk-Return Positioning

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AFRM and RKT are plotted by 1-year volatility (risk) and 1-year return. The dashed Capital Allocation Line runs from the risk-free rate through the shared industry median.

Risk-Adjusted Metrics

Risk-adjusted metrics for Affirm (AFRM) and Rocket (RKT)
MetricAFRMRKT
Sharpe Ratio (1Y)-0.19-0.20
Sortino Ratio (1Y)-0.28-0.29

Profitability

ROE (TTM)

Affirm (AFRM) at 44.49% sits in the top ROE quartile, while Rocket (RKT) at 7.86% is closer to the peer norm — stronger capital efficiency for AFRM.

AFRM

Financial Services industry group

44.49%

Max
44.78%
AFRM
44.49%
Q3
21.85%
Median
12.91%
Q1
4.48%
Min
-18.71%

RKT

Financial Services industry group

7.86%

Max
44.78%
Q3
21.85%
Median
12.91%
RKT
7.86%
Q1
4.48%
Min
-18.71%
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Affirm (AFRM) vs. Rocket (RKT): A comparison of their ROE against the Financial Services industry group benchmark.

Net Margin (TTM)

Affirm (AFRM) at 43.86% retains a top-quartile share of revenue as profit, ahead of Rocket (RKT) at 11.02%, which keeps about the industry-typical share.

AFRM

Financial Services industry group

43.86%

Max
62.84%
AFRM
43.86%
Q3
28.05%
Median
15.36%
Q1
4.82%
Min
-28.52%

RKT

Financial Services industry group

11.02%

Max
62.84%
Q3
28.05%
Median
15.36%
RKT
11.02%
Q1
4.82%
Min
-28.52%
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Affirm (AFRM) vs. Rocket (RKT): A comparison of their net margin against the Financial Services industry group benchmark.

Operating Margin (TTM)

Both Affirm (AFRM) at 14.82% and Rocket (RKT) at 43.54% run core operations about as efficiently as their industries’ norm — neither stands out on operating profitability.

AFRM

Financial Services industry group

14.82%

Max
107.33%
Q3
55.90%
Median
30.09%
AFRM
14.82%
Q1
14.60%
Min
-44.34%

RKT

Financial Services industry group

43.54%

Max
107.33%
Q3
55.90%
RKT
43.54%
Median
30.09%
Q1
14.60%
Min
-44.34%
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Affirm (AFRM) vs. Rocket (RKT): A comparison of their operating margin against the Financial Services industry group benchmark.

Profitability Metrics

Profitability metrics for Affirm (AFRM) and Rocket (RKT)
MetricAFRMRKT
ROE (TTM)44.49%7.86%
ROA (TTM)2.42%4.45%
Net Margin (TTM)43.86%11.02%
Operating Margin (TTM)14.82%43.54%
Gross Margin (TTM)----

Growth

Revenue Growth

Both Affirm (AFRM) at 32.15% and Rocket (RKT) at 26.87% sit in the top peer quartile for revenue growth, so each is growing its top line faster than typical industry peers.

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Affirm (AFRM) vs. Rocket (RKT): A comparison of their Revenue Growth across different time periods.

EPS Growth

Affirm (AFRM) at 3,586.67% delivers above-range EPS growth, while Rocket (RKT) at -123.81% falls into the bottom quartile — a wide split in earnings momentum.

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Affirm (AFRM) vs. Rocket (RKT): A comparison of their EPS Growth across different time periods.

Growth Metrics

Growth metrics for Affirm (AFRM) and Rocket (RKT)
MetricAFRMRKT
Revenue Growth (YoY)32.15%26.87%
Revenue Growth (3Y CAGR)38.96%3.25%
EPS Growth (YoY)3,586.67%-123.81%
EPS Growth (3Y CAGR)----

Financial Strength

Current Ratio (MRQ)

current ratio doesn’t apply on either side: Affirm (AFRM) in Financial Services and Rocket (RKT) in Financial Services both report balance sheets without a current/non-current split, so their short-term liquidity is better judged through regulatory and funding measures.

Debt / Equity (MRQ)

debt-to-equity ratio is set aside for both: Affirm (AFRM) in Financial Services and Rocket (RKT) in Financial Services run businesses where balance-sheet leverage is part of the model, so capital-adequacy and funding measures are the better gauges of balance-sheet risk.

Financial Strength Metrics

Financial strength metrics for Affirm (AFRM) and Rocket (RKT)
MetricAFRMRKT
Current Ratio (MRQ)----
Debt / Equity (MRQ)----
Net Debt / EBITDA----

Dividends

Dividend Yield (TTM)

Neither Affirm (AFRM) nor Rocket (RKT) pays a dividend this period — they may reinvest, use buybacks, or simply not return cash through dividends.

AFRM

Financial Services industry group

0.00%

Max
9.77%
Q3
3.92%
Median
1.09%
AFRM
0.00%
Q1
0.00%
Min
0.00%

RKT

Financial Services industry group

0.00%

Max
9.77%
Q3
3.92%
Median
1.09%
RKT
0.00%
Q1
0.00%
Min
0.00%
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Affirm (AFRM) vs. Rocket (RKT): A comparison of their dividend yield against the Financial Services industry group benchmark.

Dividend Payout Ratio (TTM)

Neither Affirm (AFRM) nor Rocket (RKT) pays a dividend this period — they may reinvest, use buybacks, or simply not return cash through dividends.

AFRM

Financial Services industry group

0.00%

Max
241.07%
Q3
97.36%
Median
25.77%
AFRM
0.00%
Q1
0.00%
Min
0.00%

RKT

Financial Services industry group

0.00%

Max
241.07%
Q3
97.36%
Median
25.77%
RKT
0.00%
Q1
0.00%
Min
0.00%
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Affirm (AFRM) vs. Rocket (RKT): A comparison of their payout ratio against the Financial Services industry group benchmark.

Dividend Metrics

Dividend metrics for Affirm (AFRM) and Rocket (RKT)
MetricAFRMRKT
Dividend Yield (TTM)0.00%0.00%
Dividend Payout Ratio (TTM)0.00%0.00%

Valuation

P/E Ratio (TTM)

An earnings multiple is available for just one side: Affirm (AFRM) trades at 11.80 times trailing earnings, ranked against its peers, while Rocket (RKT) has no P/E ratio this period.

AFRM

Financial Services industry group

11.80

Max
45.85
Q3
24.64
Median
15.37
AFRM
11.80
Q1
9.68
Min
0.16

RKT

Financial Services industry group

--

Max
45.85
Q3
24.64
Median
15.37
Q1
9.68
Min
0.16
RKT
--
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Affirm (AFRM) vs. Rocket (RKT): RKT does not report P/E ratio, so it has no value marker; AFRM is benchmarked against the Financial Services industry group.

P/S Ratio (TTM)

Rocket (RKT) at 3.61 is priced about in line with its industry on P/S ratio, while Affirm (AFRM) at 5.03 sits in the pricier quartile — AFRM costs more per dollar of sales.

AFRM

Financial Services industry group

5.03

Max
9.23
AFRM
5.03
Q3
4.57
Median
2.72
Q1
1.28
Min
-0.55

RKT

Financial Services industry group

3.61

Max
9.23
Q3
4.57
RKT
3.61
Median
2.72
Q1
1.28
Min
-0.55
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Affirm (AFRM) vs. Rocket (RKT): A comparison of their P/S ratio against the Financial Services industry group benchmark.

P/B Ratio (MRQ)

Rocket (RKT) at 1.76 is valued about in line with its industry on P/B ratio, while Affirm (AFRM) at 4.01 carries an above-peer premium to book — AFRM is pricier on assets.

AFRM

Financial Services industry group

4.01

Max
7.79
AFRM
4.01
Q3
3.63
Median
1.57
Q1
0.81
Min
-0.39

RKT

Financial Services industry group

1.76

Max
7.79
Q3
3.63
RKT
1.76
Median
1.57
Q1
0.81
Min
-0.39
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Affirm (AFRM) vs. Rocket (RKT): A comparison of their P/B ratio against the Financial Services industry group benchmark.

Valuation Metrics

Valuation metrics for Affirm (AFRM) and Rocket (RKT)
MetricAFRMRKT
P/E Ratio (TTM)11.80--
P/S Ratio (TTM)5.033.61
P/B Ratio (MRQ)4.011.76
Free Cash Flow Yield (TTM)----