Affirm Holdings shares rose approximately 6% on September 2 after Scotiabank initiated coverage with a Sector Outperform rating and a $95 price target. The stock reached around $74.17, up from a previous close of $73.11. Scotiabank argues that Wall Street continues to value Affirm as a capital-intensive, economically sensitive lender even as its business increasingly resembles payments infrastructure. The bank highlighted continued gross merchandise volume growth at scale and improving conversion of incremental revenue into operating profit. Affirm Card is central to that strategy because it encourages more frequent consumer-initiated transactions, reduces reliance on merchant partners and provides spending data that can improve underwriting. Affirm has also expanded committed funding capacity, optimized asset-backed securities issuance and reduced the share of equity capital supporting its platform loan portfolio. Scotiabank said recent loan cohorts showed well-managed and appropriately reserved losses, while warrant exercises and stock-based compensation were becoming less dilutive. Management has set targets including $100 billion in annual gross merchandise volume and higher profit margins. Revenue grew 32% year over year over the trailing 12 months, and the company reached GAAP profitability. Other research firms also raised their targets after Affirm's fourth-quarter results, with objectives ranging from $88 to $124. Fiscal 2027 guidance calls for gross merchandise volume of $64 billion and revenue equal to approximately 8.49% of GMV. Wall Street consensus implies about 43% upside from recent trading levels, although the shares remained down roughly 6% year to date.