10:56 AM EDT, 08/26/2025 (MT Newswires) -- Affirm Holdings ( AFRM ) has some "underappreciated" upside drivers that can sustain "robust" growth for the payment company, Morgan Stanley said in an earnings preview Tuesday.

The investment bank said it expects Affirm to continue experiencing strong growth because of upside drivers such as its Fidelity National Information Services ( FIS ) partnership and sustained card growth.

Morgan Stanley said the payment network operator is expected to report "robust" fiscal Q4 results on Thursday, but fiscal 2026 guidance will be the focus with Walmart ( WMT ) headwind being a key factor.

The potential headwind related to the loss of exclusivity with Walmart ( WMT ) is "likely lower than investors appreciate," the firm said.

Morgan Stanley raised its price target to $70 from $60, with an equalweight rating on the stock.

Shares were up 1.8% in recent trading.

Price: 78.82, Change: +1.43, Percent Change: +1.84