Affirm HoldingsSTU:78P 81 Altman Z-Score is 2.82 as of Jun. 29, 2026, which is 30% above its 10-year median of 2.17. GuruFocus rates STU:78P with a GF Score™ of 81/100. The stock has 7 warning signs investors should review. Among 406 Credit Services companies, Affirm Holdings ranks better than 70.69% on this metric.
The Altman Z-Score is a model designed to predict the likelihood of a company going bankrupt within the next two years. Created by American finance professor Edward Altman in 1968, the model is specifically designed for publicly traded manufacturing companies with assets greater than $1 million.
Warning Sign:
Altman Z-score of 2.97 is in the grey area. This implies that the company is under some kind of financial stress. If it is below 1.8, the company may face bankruptcy risk.
Affirm Holdings has a Altman Z-Score of 2.82, indicating it is in Grey Zones. This implies that Affirm Holdings is in some kind of financial stress. If it is below 1.81, the company may face bankrupcy risk.
The zones of discrimination were as such:
When Altman Z-Score <= 1.8, it is in Distress Zones.
When Altman Z-Score >= 3, it is in Safe Zones.
When Altman Z-Score is between 1.8 and 3, it is in Grey Zones.
The historical rank and industry rank for Affirm Holdings's Altman Z-Score or its related term are showing as below:
STU:78P'
s Altman Z-Score Range Over the Past 10 Years
Min: 0.76 Med: 2.17 Max: 6.88
Current: 2.97
During the past 7 years, Affirm Holdings's highest Altman Z-Score was 6.88. The lowest was 0.76. And the median was 2.17.
X1: The Working Capital/Total Assets (WC/TA) ratio is a measure of the net liquid assets of the firm relative to the total capitalization. Working capital is defined as the difference between current assets and current liabilities. Ordinarily, a firm experiencing consistent operating losses will have shrinking current assets in relation to total assets. Altman found this one proved to be the most valuable liquidity ratio comparing with the current ratio and the quick ratio. This is however the least significant of the five factors.
X2: Retained Earnings/Total Assets: the RE/TA ratio measures the leverage of a firm. Retained earnings is the account which reports the total amount of reinvested earnings and/or losses of a firm over its entire life. Those firms with high RE, relative to TA, have financed their assets through retention of profits and have not utilized as much debt.
X3, Earnings Before Interest and Taxes/Total Assets (EBIT/TA): This ratio is a measure of the true productivity of the firm's assets, independent of any tax or leverage factors. Since a firm's ultimate existence is based on the earning power of its assets, this ratio appears to be particularly appropriate for studies dealing with corporate failure. This ratio continually outperforms other profitability measures, including cash flow.
X4, Market Value of Equity/Book Value of Total Liabilities (MVE/TL): The measure shows how much the firm's assets can decline in value (measured by market value of equity plus debt) before the liabilities exceed the assets and the firm becomes insolvent.
X5, Revenue/Total Assets (S/TA): The capital-turnover ratio is a standard financial ratio illustrating the sales generating ability of the firm's assets.
Altman Z-Score does not apply to financial companies.
Affirm Holdings Altman Z-Score Related Terms
Affirm Holdings Altman Z-Score Historical Data
* Premium members only.
The historical data trend for Affirm Holdings's Altman Z-Score can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
STU:78P vs SYF, SOFI, ALLY: Altman Z-Score Comparison
For the Credit Services subindustry, Affirm Holdings's Altman Z-Score, along with its competitors' market caps and Altman Z-Score data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Affirm Holdings Altman Z-Score vs Credit Services Industry
For the Credit Services industry and Financial Services sector, Affirm Holdings's Altman Z-Score distribution charts can be found below:
* The bar in red indicates where Affirm Holdings's Altman Z-Score falls into.
Altman Z-Score model is an accurate forecaster of failure up to two years prior to distress. It can be considered the assessment of the distress of industrial corporations.
Affirm Holdings's Altman Z-Score for today is calculated with this formula:
Z
=
1.2
*
X1
+
1.4
*
X2
+
3.3
*
X3
+
0.6
*
X4
+
1.0
*
X5
=
1.2
*
0.8696
+
1.4
*
-0.2088
+
3.3
*
0.0637
+
0.6
*
2.5909
+
1.0
*
0.3022
=
2.82
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency. GuruFocus does not calculate Altman Z-Score when X4 or X5 value is 0.
Affirm Holdings (STU:78P) has a Altman Z-Score of 2.82 as of Jun. 29, 2026. The Altman Z-score measures a company's bankruptcy risk. View historical data on Affirm Holdings and its competitors. This is 30% above median its historical median of 2.17. Over the past decade, Affirm Holdings' Altman Z-Score has ranged from 0.76 to 6.88. According to the industry distribution chart, Affirm Holdings ranks #119 out of 406 companies in the Credit Services industry, placing it in the top 29.3%.
Is Affirm Holdings' Altman Z-Score too high?
Affirm Holdings' current Altman Z-Score of 2.82 is 30% above median its 10-year median of 2.17. Over the past 10 years, this metric has ranged from a low of 0.76 to a high of 6.88. The Credit Services industry median Altman Z-Score is 1.74. Affirm Holdings' value of 2.82 is 62.1% above this industry median. Based on the distribution chart, Affirm Holdings ranks #119 out of 406 companies in the Credit Services industry, which is above the industry midpoint. Overall, Affirm Holdings has a GF Score™ of 81/100, reflecting its overall financial health beyond just this single metric.
How does Affirm Holdings' Altman Z-Score compare to SYF and SOFI?
According to the Credit Services industry distribution chart, Affirm Holdings ranks #119 out of 406 companies for Altman Z-Score. This puts Affirm Holdings in the upper half of its industry. The industry median Altman Z-Score is 1.74. Affirm Holdings' value of 2.82 is 62.1% above this benchmark. Historically, Affirm Holdings' own Altman Z-Score has ranged from 0.76 to 6.88 over the past decade. While the company's 10-year median is 2.17 vs. the industry median of 1.74, Affirm Holdings has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Altman Z-Score for a Credit Services company?
The median Altman Z-Score among Credit Services companies is 1.74, based on 406 companies in the industry. Companies in the top quartile (top 25%) have a Altman Z-Score significantly above this median, while those in the bottom quartile fall well below. However, Altman Z-Score should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Affirm Holdings's current Altman Z-Score of 2.82 is 62.1% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Altman Z-Score mean?
A high Altman Z-Score can signal that a stock is expensive relative to its fundamentals. The Altman Z-score measures a company's bankruptcy risk. View historical data on Affirm Holdings and its competitors. For the Credit Services industry, the median Altman Z-Score is 1.74 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Affirm Holdings's current Altman Z-Score is 2.82, which is 30% above median its own 10-year median of 2.17. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Affirm Holdings stock overvalued right now?
Affirm Holdings (STU:78P) has a current Altman Z-Score of 2.82. The current Altman Z-Score is 2.82, which is 30% above median its 10-year median of 2.17 and 62.1% above the Credit Services industry median of 1.74. Affirm Holdings' overall GF Score™ is 81/100 with 7 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Altman Z-Score calculated?
Altman Z-Score is calculated from a company's financial statements. For Affirm Holdings (STU:78P), the current Altman Z-Score is 2.82 as of Jun. 29, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Founded in 2012, Affirm is a market leader in the buy now, pay later space with around $36 billion in transaction volume in fiscal 2025. Affirm offers both zero-interest financing, which is merchant subsidized, and interest-bearing loans, which function as personal loans that are approved on a per-transaction basis. Over 70% of Affirm's transaction volume comes from its interest-bearing loans, which also constitute the majority of its revenue. Affirm primarily operates in the United States, which accounted for more than 95% of its revenue in 2025, but it has also expanded to Canada and the United Kingdom.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
STU:78P has been successfully added to your 