GoodRx Holdings (GDRX – Research Report), the Healthcare sector company, was revisited by a Wall Street analyst yesterday. Analyst Stan Berenshteyn from Wells Fargo maintained a Buy rating on the stock and has a $7.00 price target.
Stan Berenshteyn’s rating is based on several key factors that highlight GoodRx Holdings’ potential for growth and stability. The company’s earnings for the first quarter of 2025 modestly exceeded expectations, with revenue and adjusted EBITDA surpassing both Wells Fargo’s and consensus estimates. This performance indicates a strong operational footing despite the ongoing challenges in the pharmacy sector.
Furthermore, GoodRx’s management has shown confidence in maintaining a solid growth trajectory, particularly in its Manufacturer Solutions segment, which is expected to achieve 20% growth for the year. The company’s ability to gain market share in the discount card market, even amidst industry pressures, further supports the Buy rating. Additionally, the acquisition of VCRx, although not materially impacting revenue, is seen as a strategic move to strengthen partnerships and enhance market positioning. These factors collectively contribute to Stan Berenshteyn’s positive outlook on GoodRx Holdings, justifying the Buy rating.
In another report released yesterday, TD Cowen also maintained a Buy rating on the stock with a $8.00 price target.