Valuation check: AFRM's ROE is 35.19%, below the Technology sector average of 54.72%.
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+ Follow35.19%
Return on Equity measures how efficiently a company uses shareholders' equity to generate profits. A higher ROE indicates better profitability relative to equity.
Affirm Holdings's return on equity stands at 35.19%. That is below the Technology sector average of 54.72%. Stockcircle updates this page with the newest filings so you can track how the metric evolves quarter by quarter.
Affirm Holdings sits lower the Technology benchmark (54.72%) with a ROE of 35.19%. That is roughly 35.7% below the sector mean. Peer context matters because what looks expensive or cheap in absolute terms can be normal for the sector.
A ROE of 35.19% for Affirm Holdings means each unit of related capital or sales is generating that return rate. Higher is usually better for profitability metrics, but extremely high figures can reflect one-time items or thin equity bases. Review several years of data on this page before extrapolating.
The history chart shows how Affirm Holdings's ROE evolved across reporting periods, while the comparison chart places AFRM next to similar companies. Use both: a rising metric that still lags peers tells a different story than a rising metric that already leads the group. Growth charts, when available, highlight acceleration or slowdown.
Yes — within Technology, ROE is commonly used to spot outliers. Affirm Holdings's reading of 35.19% (sector avg 54.72%) is a starting point; confirm whether differences come from growth, margins, accounting choices, or one-time items before treating an outlier as a buy or sell signal.