AFRM vs. SOFI: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at AFRM and SOFI, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Profile
| Symbol | AFRM | SOFI |
|---|---|---|
| Company Name | Affirm Holdings, Inc. | SoFi Technologies, Inc. |
| Country | United States | United States |
| GICS Sector | Financials | Financials |
| GICS Industry | Financial Services | Consumer Finance |
| Market Capitalization | 24.70 billion USD | 31.56 billion USD |
| Exchange | NasdaqGS | NasdaqGS |
| Listing Date | January 13, 2021 | January 4, 2021 |
| Security Type | Common Stock | Common Stock |
Historical Performance
This chart compares the performance of AFRM and SOFI 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.
Historical Performance at a Glance
| Symbol | AFRM | SOFI |
|---|---|---|
| 5-Day Price Return | 3.80% | -0.23% |
| 13-Week Price Return | 6.50% | 37.01% |
| 26-Week Price Return | 66.69% | 121.33% |
| 52-Week Price Return | 97.04% | 236.65% |
| Month-to-Date Return | 3.80% | -0.23% |
| Year-to-Date Return | 24.56% | 71.17% |
| 10-Day Avg. Volume | 7.22M | 65.72M |
| 3-Month Avg. Volume | 6.88M | 70.63M |
| 3-Month Volatility | 62.15% | 45.98% |
| Beta | 3.64 | 1.97 |
Profitability
Return on Equity (TTM)
AFRM
1.80%
Financial Services Industry
- Max
- 39.28%
- Q3
- 18.88%
- Median
- 9.97%
- Q1
- 4.03%
- Min
- -10.25%
AFRM’s Return on Equity of 1.80% is in the lower quartile for the Financial Services industry. This indicates a less efficient generation of profit from its equity base when compared to its competitors.
SOFI
8.58%
Consumer Finance Industry
- Max
- 32.87%
- Q3
- 21.72%
- Median
- 12.80%
- Q1
- 9.07%
- Min
- -3.88%
SOFI’s Return on Equity of 8.58% is in the lower quartile for the Consumer Finance industry. This indicates a less efficient generation of profit from its equity base when compared to its competitors.
Net Profit Margin (TTM)
AFRM
1.62%
Financial Services Industry
- Max
- 52.16%
- Q3
- 25.35%
- Median
- 12.68%
- Q1
- 6.11%
- Min
- -11.69%
Falling into the lower quartile for the Financial Services industry, AFRM’s Net Profit Margin of 1.62% indicates weaker profitability. This means the company retains a smaller portion of each dollar in sales as profit compared to its competitors.
SOFI
-19.79%
Consumer Finance Industry
- Max
- 19.68%
- Q3
- 17.11%
- Median
- 13.55%
- Q1
- 9.71%
- Min
- -0.75%
SOFI has a negative Net Profit Margin of -19.79%, indicating the company is operating at a net loss as its expenses exceeded its revenues.
Operating Profit Margin (TTM)
AFRM
-0.29%
Financial Services Industry
- Max
- 75.57%
- Q3
- 37.78%
- Median
- 19.09%
- Q1
- 10.04%
- Min
- -19.42%
AFRM has a negative Operating Profit Margin of -0.29%. This signifies the company is unprofitable at the operational level, as its core business expenses exceed its revenue.
SOFI
-19.92%
Consumer Finance Industry
- Max
- 50.11%
- Q3
- 32.02%
- Median
- 19.92%
- Q1
- 14.90%
- Min
- -5.45%
SOFI has a negative Operating Profit Margin of -19.92%. This signifies the company is unprofitable at the operational level, as its core business expenses exceed its revenue.
Profitability at a Glance
| Symbol | AFRM | SOFI |
|---|---|---|
| Return on Equity (TTM) | 1.80% | 8.58% |
| Return on Assets (TTM) | 0.49% | 1.50% |
| Net Profit Margin (TTM) | 1.62% | -19.79% |
| Operating Profit Margin (TTM) | -0.29% | -19.92% |
| Gross Profit Margin (TTM) | 92.49% | -- |
Financial Strength
Current Ratio (MRQ)
AFRM
4.20
Financial Services Industry
- Max
- 4.83
- Q3
- 2.70
- Median
- 1.44
- Q1
- 0.86
- Min
- 0.01
For the Financial Services industry, the Current Ratio is often not the most suitable measure of short-term liquidity.
SOFI
--
Consumer Finance Industry
- Max
- 7.85
- Q3
- 4.26
- Median
- 2.28
- Q1
- 0.82
- Min
- 0.07
For the Consumer Finance industry, the Current Ratio is often not the most suitable measure of short-term liquidity.
Debt-to-Equity Ratio (MRQ)
AFRM
2.48
Financial Services Industry
- Max
- 5.07
- Q3
- 2.14
- Median
- 0.66
- 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.
SOFI
0.57
Consumer Finance Industry
- Max
- 6.63
- Q3
- 3.60
- Median
- 2.40
- Q1
- 0.99
- Min
- 0.23
The Debt-to-Equity Ratio is often not the primary focus for assessing leverage in the Consumer Finance industry.
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.
SOFI
--
Consumer Finance Industry
- Max
- 49.63
- Q3
- 28.11
- Median
- 4.75
- Q1
- 2.86
- Min
- -15.69
The Interest Coverage Ratio is often not a primary indicator of debt servicing capacity in the Consumer Finance industry.
Financial Strength at a Glance
| Symbol | AFRM | SOFI |
|---|---|---|
| Current Ratio (MRQ) | 4.20 | -- |
| Quick Ratio (MRQ) | 4.20 | -- |
| Debt-to-Equity Ratio (MRQ) | 2.48 | 0.57 |
| Interest Coverage Ratio (TTM) | -3.76 | -- |
Growth
Revenue Growth
EPS Growth
Dividend
Dividend Yield (TTM)
AFRM
0.00%
Financial Services Industry
- Max
- 8.12%
- Q3
- 3.37%
- Median
- 1.70%
- 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.
SOFI
0.00%
Consumer Finance Industry
- Max
- 7.21%
- Q3
- 3.38%
- Median
- 2.39%
- Q1
- 0.67%
- Min
- 0.00%
SOFI 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 (TTM)
AFRM
0.00%
Financial Services Industry
- Max
- 132.10%
- Q3
- 64.32%
- Median
- 18.23%
- 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.
SOFI
0.00%
Consumer Finance Industry
- Max
- 145.89%
- Q3
- 88.89%
- Median
- 25.97%
- Q1
- 9.25%
- Min
- 0.00%
SOFI 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 | SOFI |
|---|---|---|
| Dividend Yield (TTM) | 0.00% | 0.00% |
| Dividend Payout Ratio (TTM) | 0.00% | 0.00% |
Valuation
Price-to-Earnings Ratio (TTM)
AFRM
473.02
Financial Services Industry
- Max
- 45.81
- Q3
- 30.21
- Median
- 16.29
- Q1
- 10.14
- Min
- 0.70
At 473.02, AFRM’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Financial Services industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.
SOFI
55.86
Consumer Finance Industry
- Max
- 35.93
- Q3
- 20.63
- Median
- 12.65
- Q1
- 9.73
- Min
- 3.96
At 55.86, SOFI’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Consumer Finance industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.
Price-to-Sales Ratio (TTM)
AFRM
7.66
Financial Services Industry
- Max
- 10.88
- Q3
- 5.34
- Median
- 2.64
- Q1
- 1.24
- Min
- 0.06
The P/S Ratio is often not a primary valuation tool in the Financial Services industry.
SOFI
3.35
Consumer Finance Industry
- Max
- 3.79
- Q3
- 2.71
- Median
- 1.91
- Q1
- 1.14
- Min
- 0.61
SOFI’s P/S Ratio of 3.35 is in the upper echelon for the Consumer Finance industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.
Price-to-Book Ratio (MRQ)
AFRM
7.27
Financial Services Industry
- Max
- 7.93
- Q3
- 3.78
- Median
- 1.49
- Q1
- 0.88
- Min
- 0.08
AFRM’s P/B Ratio of 7.27 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.
SOFI
2.93
Consumer Finance Industry
- Max
- 3.80
- Q3
- 2.83
- Median
- 2.02
- Q1
- 1.18
- Min
- 0.26
SOFI’s P/B Ratio of 2.93 is in the upper tier for the Consumer Finance 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.
Valuation at a Glance
| Symbol | AFRM | SOFI |
|---|---|---|
| Price-to-Earnings Ratio (TTM) | 473.02 | 55.86 |
| Price-to-Sales Ratio (TTM) | 7.66 | 3.35 |
| Price-to-Book Ratio (MRQ) | 7.27 | 2.93 |
| Price-to-Free Cash Flow Ratio (TTM) | 41.02 | 44.55 |