Jim Cramer’s Latest Game Plan: 15 Stocks to Watch

13. Affirm Holdings, Inc. (NASDAQ:AFRM)

Number of Hedge Fund Holders: 34

Cramer discussed affiliate plays, noting that he believes they occupy a strong niche for advertisers aiming to reach hard-to-target audiences. He also mentioned that he thinks that Affirm Holdings, Inc. (NASDAQ:AFRM) will report similar great numbers as Reddit.

“… and Affirm drops this numbers too. And we know this buy now pay later enabler has been crushing it. Stock’s been almost straight up since it reported last time.”

Affirm (NASDAQ:AFRM) is a fintech company that specializes in providing Buy Now, Pay Later (BNPL) services, offering consumers flexible and transparent repayment options. The company’s core product allows consumers to make purchases immediately and pay over time in installments. Its model gives borrowers more control and transparency over their debt, with loans underwritten on a per-transaction basis.

Unlike many of its competitors, it does not charge late fees, and if borrowers opt for a longer repayment period, the company applies simple interest, rather than the more common compound interest. Founded with the goal of helping businesses increase sales while offering consumers responsible spending solutions, the company has grown to become a leader in the BNPL space. It partners with a range of major retailers, including e-commerce giants like Shopify and Amazon, and has more than 18.6 million users.

It also serves over 303,000 merchants. The company generates revenue from both interest-bearing loans and merchant fees, and it has seen significant growth in the number of transactions processed through its platform. One of its key innovations is the Affirm Card, launched in 2021, which allows users to split payments into BNPL loans either at the time of purchase or retroactively. This card has been well-received, attracting around 1.2 million users.

Affirm (NASDAQ:AFRM) has also expanded its services through partnerships with major players like Apple, which teamed up with Affirm for its BNPL offering in 2024. Additionally, in November, it was announced that it is continuing its expansion beyond its domestic market, with plans to offer its fast-credit options in the UK, marking a significant step in its international growth strategy. The move to the UK reflects the company’s ongoing push to increase revenue and reach more consumers globally.