Affirm CEO Max Levchin remains optimistic about the US consumer’s resilience, citing strong demand for buy now, pay later services. Despite market response, Affirm’s internal data shows healthy repayment curves and high credit quality due to AI underwriting. However, consumer sentiment remains low, signaling potential challenges ahead.

Levchin believes Affirm’s business model creates a strong defense against competitors, with 96% of transactions coming from existing consumers. He emphasizes the importance of brand loyalty and deep merchant integrations in the age of AI. Analysts like Citi’s Bryan Keane remain bullish on Affirm’s growth potential, highlighting strong merchant growth and attractive funding sources.

Despite beating Q2 expectations, Affirm’s stock dipped after the earnings report. Investors were concerned about the company’s guidance on a slowdown in gross merchandise volume growth. The central question remains whether Affirm can sustain its growth amid economic uncertainties and changing consumer behavior.

Read more at Yahoo Finance: Affirm CEO says ‘demise’ of the American consumer is ‘greatly exaggerated’