ASX buy now, pay later (BNPL) shares could be the focus of attention on Friday after the share price of BNPL giant Affirm Holdings Inc (NASDAQ: AFRM) plunged 21% amid an accidental tweet.
Astonishingly, Affirm was forced to release its earnings for the December quarter early after a human error saw it post some of its results to Twitter Inc (NYSE: TWTR).
The Affirm share price plunged to close at $58.68 – 21.42% lower than its previous close – during yesterday's session in the United States (US).
That's despite the stock trading up to 11% higher prior to the release of its quarterly results.
The international BNPL giant's dip has likely put ASX BNPL shares on watch today. Let's take a closer look.
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Affirm share price tumbles on early release of quarterly earnings
ASX BNPL shares like Zip Co Ltd (ASX: Z1P), Sezzle Inc (ASX: SZL), and Block Inc CDI (ASX: SQ2) – now the home of Afterpay – will be watched closely when the market opens this morning after Affirms' dramatic and disappointing quarterly results.
Affirm – with its market capitalisation of around US$16 billion – reported a US$159.7 million loss for the 3 months ended 31 December.
That meant its earnings per share (EPS) for the period equated to a 57 US cent loss.
According to my Foolish colleagues in the US, analysts had been predicting EPS would come to a 34 US cent loss.
It was also a far greater impact than the US$26.6 million loss it recorded in the same quarter of the previous year.
However, Affirm saw a 77% increase in revenue over the December quarter, reaching US$361 million. Its gross merchandise volume also grew 115% to US$4.5 billion.
Finally, the number of active customers using Affirm increased 150% on the prior comparable quarter and 29% quarter-on-quarter.
Affirm conceded to Twitter the previously tweeted results were a result of "human error".
What could be in store for ASX BNPL shares on Friday?
Plenty of eyes will be on the Zip share price on Friday morning, as well as those of Sezzle and Block.
Particularly as the Affirm share price's slump helped drive the tech-heavy Nasdaq Index down 2.1% in Thursday's session.
The index's falls generally weigh on the S&P/ASX 200 Info Tech Index (ASX: XIJ) and the S&P/ASX All Technology Index (ASX: XTX).
The share price of US-listed Block Inc (NYSE: SQ) also slumped overnight, ending 3.4% lower.
Meanwhile, shares in payment service providers Paypal Holdings Inc (NASDAQ: PYPL) and Visa Inc (NYSE: V), which each offer a BNPL service, fell 3% and 2% respectively.
