Affirm Holdings Trading Volume Drops 41.59% to $217 Million Despite Stock Price Rise

On June 20, 2025, Affirm Holdings (AFRM) saw a trading volume of $217 million, marking a 41.59% decrease from the previous day. The stock price rose by 0.65%, marking the second consecutive day of gains, with a total increase of 3.64% over the past two days.

Affirm's recent partnership with PGIM Fixed Income, announced on June 18, 2025, is a significant development for the company. This $3 billion revolving loan facility provides Affirm with a stable and low-cost capital source, reducing its reliance on traditional asset-backed securitizations (ABS). The facility allows Affirm to continuously sell loans to PGIM up to a $500 million threshold, offering cost efficiency and scalability.

This partnership is expected to fuel Affirm's growth by expanding its merchant network, which currently includes 358,000 active partners. With immediate access to $500 million in liquidity, Affirm can aggressively court new merchants, especially in high-GMV verticals like travel and e-commerce. The partnership also supports Affirm's global ambitions, helping it navigate regulatory hurdles in markets like Canada and the UK.

Affirm's proactive stance on regulatory compliance positions it as a leader in the BNPL industry. By reporting all loans to credit bureaus and emphasizing no-hidden-fees, Affirm aligns with new regulations while building consumer trust. PGIM's risk-sharing model further reduces Affirm's balance sheet strain, critical as default rates rise in a slowing economy.

As market consolidation accelerates, Affirm's scale and partnerships with giants like Walmart and Amazon give it a competitive edge. The company's capital flexibility and regulatory alignment make it well-positioned to outpace competitors in merchant deals and global expansion. However, investors should monitor macro risks like consumer debt levels and regulatory overreach.