Affirm Investors: A Golden Opportunity to Join the Schall Law Firm’s Fraud Investigation

The recent announcement by Klarna that it had replaced Affirm Holdings (NASDAQ: AFRM) as Walmart’s exclusive Buy Now, Pay Later (BNPL) provider sent shockwaves through the market. On March 18, 2025, AFRM’s stock plummeted 12.7%, closing at $43.70—a stark drop of $6.38 from the previous day. This abrupt decline has ignited a securities class action investigation led by the Schall Law Firm, with the Pomerantz Law Firm also involved. For investors who incurred losses, this represents a critical moment to act. Here’s what you need to know.

The Trigger: Klarna’s Move and Affirm’s Falling Stock

The investigation centers on whether Affirm misled investors about its key partnerships and competitive risks. Klarna’s sudden takeover of Walmart’s BNPL services—a partnership Affirm had reportedly held since 2021—exposed vulnerabilities in Affirm’s business model. The Schall Law Firm alleges Affirm failed to disclose material risks, such as reliance on a single client or competitive threats, leading to inflated stock prices before the Walmart announcement.

This data will show the dramatic 12.7% drop on March 18, underscoring the market’s reaction to the news.

Why This Matters for Investors

Securities class actions aim to recover losses caused by corporate misconduct. If Affirm’s disclosures were false or omitted critical risks, shareholders who bought shares before March 17, 2025, could qualify for compensation. The Schall Law Firm’s track record includes high-profile cases, and its involvement signals a strong case for investors.

Key Considerations:
- Timing: The investigation is active as of April 2025, but statutes of limitations for securities fraud are typically short.
- Eligibility: Investors must prove losses tied directly to the alleged misstatements or omissions.
- Precedent: A 2022 class action against Affirm (unrelated to the 2025 case) also targeted misleading claims about its BNPL business, resulting in a settlement.

This comparison highlights Affirm’s struggles in a competitive space, with its stock underperforming peers like PayPal, which rose 20% over the same period.

Risks and Next Steps

While the case is promising, outcomes depend on proving Affirm’s intent or negligence. The Pomerantz Law Firm’s parallel investigation adds pressure, but no guarantees exist. Investors should:
1. Contact the Schall Law Firm to discuss eligibility:
- Phone: 310-310-301-3335
- Email: bschall@schallfirm.com
2. Review purchase timelines and losses.
3. Monitor updates from both law firms.

Conclusion: A Calculated Move for Affirm Investors

The Schall Law Firm’s investigation presents a clear path for investors to recover losses from Affirm’s alleged missteps. With a 12.7% stock plunge and dual legal probes, the evidence points to material non-disclosure. Historically, such cases can take years, but early participation maximizes recovery chances.

The Numbers Tell the Story:
- Affirm’s stock has lost over 50% of its value since 2021 highs, reflecting broader industry skepticism.
- The BNPL sector itself faces regulatory scrutiny, with the U.S. FTC investigating data practices—a risk Affirm may have downplayed.

Investors holding pre-March 2025 shares should act swiftly. This is not just about compensation; it’s about holding corporate leaders accountable in an era where transparency is paramount.

Stay informed. Act decisively.