Needham analyst Scott Berg has maintained their bullish stance on THRY stock, giving a Buy rating on April 29.
Scott Berg has given his Buy rating due to a combination of factors including Thryv Holdings’ strong performance in the first quarter, which exceeded financial expectations. The company’s SaaS segment has shown significant growth, driven by a robust sales strategy that is reportedly the strongest in its history. This has led to an increase in the average revenue per user, indicating successful execution of their go-to-market strategy.
Additionally, Thryv’s Marketing Services have surpassed revenue forecasts, providing the company with clear visibility into short-term revenue from book printing. Despite a cautious reduction in the second half SaaS revenue guidance due to macroeconomic uncertainties, this move is seen as prudent, setting up a favorable scenario for the latter half of the year. The company’s leverage is expected to peak in the second quarter and then decrease significantly, aligning with expectations, which further supports the Buy rating.