Lowe's Teams Up With Affirm For 0% Interest Home Renovation Plans

Lowe’s Companies Inc (NYSE:LOW) is expanding its checkout flexibility by adding buy-now-pay-later plans through Affirm Holdings Inc (NASDAQ:AFRM), as the lender faces a shifting growth outlook on Wall Street.

Lowe’s Adds Affirm Installments At Checkout

Lowe’s said the new option will appear across its digital checkout flow, including its website and mobile app, giving customers another way to finance home improvement purchases.

Eligible shoppers can split purchases into biweekly installments or monthly payments, with some plans starting at 0% APR depending on qualification.

Affirm said customers will receive an instant decision and see the full repayment total upfront, with no compounding interest, late fees, or hidden charges.

Affirm Expands Merchant Reach Through Lowe’s Deal

Affirm will also feature Lowe’s in its own marketplace, which the companies said could help Lowe’s reach new shoppers browsing on Affirm’s platform.

Affirm noted that Lowe’s joins a network of nearly 478,000 merchants that offer its payment tools, though the companies did not disclose any additional financial terms.

For Lowe’s, the partnership broadens payment options beyond traditional store-linked credit products.

Analysts Weigh Strong Results Against Slowing Growth Signals

Wall Street remains divided on Affirm as analysts balance solid profitability with signs of decelerating volume growth.

JPMorgan analyst Reginald Smith said Affirm continues to outperform expectations and recently raised its full-year profit margin guidance to nearly 9%, projecting total volume growth of more than 30% this year.

However, Smith cautioned that Affirm’s fourth-quarter outlook implies a “meaningful deceleration,” which he described as the natural “law of large numbers” as the business scales.

JPMorgan lowered its price forecast from $94 to $79, arguing the stock should trade more conservatively as growth moderates.

Price Actions: Shares of Affirm Holdings were up 2.97% to $51.35 on last check Tuesday. Lowe’s shares were down 2.04%.

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