Shares Confirm holdings (NASDAQ:) rose more than 5% on Tuesday after Apple (NASDAQ:) announced that the company’s payment products are expected to be available to Apple Pay users in the US later this year.
In a press release, Apple said that users in the US will be able to apply for loans directly through Affirm when paying with Apple Pay.
In a statement, Affirm said the partnership will allow users who make online or in-app purchases using Apple Pay on iPhone and iPad to be able to apply to pay over time with Affirm.
However, “Affirm does not expect this partnership to have a material impact on revenue or gross sales in fiscal year 2025.”
Reacting to the news, Mizuho analysts said the partnership “further strengthens Affirm’s position.”
“This news is a big positive for AFRM, especially since the stock has traded lower several times in the past when Apple announced its entry into BNPL,” Mizuho said. “The bottom line, in our view, is that Affirm’s strong brand and sophisticated underwriting technology have a moat that Apple likely won’t be able to replicate on its own.”