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Leafly Holdings (LFLH) AI Stock Analysis

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LFLH

Leafly Holdings

(Other OTC:LFLH)

Select Model
Rating:42Neutral
Price Target:$36.00▼(-2.70% Downside)
Action:upgraded
Date:09/23/25

Severe financial distress—driven by revenue declines, net losses, and negative equity—is the primary concern. Technical weakness and unprofitable valuation further limit upside, though oversold conditions may offer minor near-term support.

Positive Factors
Strong Gross Profit MarginsLeafly's high gross profit margins indicate efficient cost management in core operations, providing a buffer against revenue fluctuations and aiding in potential future profitability.
Negative Factors
Declining Revenue TrendThe declining revenue trend reflects challenges in market demand or competitive pressures, potentially impacting long-term financial health and necessitating strategic adjustments to reverse the trend.

Leafly Holdings (LFLH) vs. SPDR S&P 500 ETF (SPY)

-5%0%5%10%15%20%LFLH0.00%SPY+14.55%Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26Nov '26
Market Cap
$114.90M
Dividend Yield
―
Average Volume (3M)
―
Price to Earnings (P/E)
-21.8
Beta (1Y)
-3.84
Revenue Growth
―
EPS Growth
―
Country
US
Employees
110
Sector
General
Sector Strength
55
Industry
Medical - Pharmaceuticals

Leafly Holdings Business Overview & Revenue Model

Company Description

Leafly Holdings, Inc. owns and operates a platform to provide consumers with cannabis information and connects consumers to cannabis brands and licensed retailers. It offers subscription-based marketplace listings, digital advertising solutions, and...

How the Company Makes Money

Leafly generates revenue through multiple streams, primarily from digital advertising, subscription services, and partnerships with cannabis retailers. The company's advertising revenue comes from brands paying to promote their products on the Leafly...

Leafly Holdings Earnings Call Summary

Earnings Call Date:Aug 08, 2024(Q2-2024)|% Change Since:-96.57%|Next Earnings Date:May 15, 2025
Earnings Call SentimentNeutral

While Leafly achieved a positive adjusted EBITDA and made strategic expansions, significant revenue declines, retail account reductions, and ongoing payment delinquencies present notable challenges. The positive aspects are countered by financial and operational hurdles.

Positive Updates

Positive Adjusted EBITDA
Leafly reported a positive adjusted EBITDA of $483,000 for Q2, reflecting continued focus on profitability despite muted revenue performance.

Negative Updates

Revenue Decline
Leafly reported a Q2 revenue of $8.7 million, down 18.3% year-over-year and 3.6% sequentially.

Company Guidance

During the Leafly Q2 2024 earnings call, the company provided guidance for the third quarter, projecting revenue of around $8.4 million and an adjusted EBITDA loss of less than $1 million. For Q2, Leafly reported revenue of $8.7 million, a net loss of $1.3 million, and a positive adjusted EBITDA of $483,000, surpassing guidance. The company highlighted a 6.4% reduction in retail accounts, ending the quarter with 3,595 accounts, and noted that payment delinquencies accounted for nearly 40% of the monthly recurring revenue lost. Despite a 25% year-over-year decline in brand revenue to $1.4 million, there was an observed increase from Q1, attributed to seasonal spending around the 420 holiday. Leafly also reported improvements in gross margin, which stood at 89%, and a decrease in operating expenses, down 17.5% year-over-year. The company continues to focus on operational efficiency and stabilizing revenues while expressing optimism about ongoing projects and market opportunities in regions like Ohio and Washington, D.C.

Leafly Holdings Financial Statement Overview

Summary

Strong gross margins (89.4%) and improved cash flows are offset by declining revenue (-18.0%), net losses (-16.6% margin), negative equity (-$15.1M), and high debt, indicating severe financial distress.

Income Statement

30Negative

Balance Sheet

10Very Negative

Cash Flow

50Neutral

Leafly Holdings Technical Analysis

Technical Analysis SentimentNeutral
Last Price37.00

Price Trends

50DMA37.00Neutral
100DMA37.00Neutral
200DMA37.00Neutral

Market Momentum

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For LFLH, the sentiment is Neutral. The current price of 37.00 is equal to the 20-day moving average (MA) of 37.00, equal to the 50-day MA of 37.00, and equal to the 200-day MA of 37.00, indicating a neutral trend. The MACD of indicates Neutral momentum. The RSI at is Neutral, neither overbought nor oversold. The STOCH value of is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for LFLH.

Leafly Holdings Risk Analysis

Leafly Holdings disclosed 90 risk factors in its most recent earnings report. Leafly Holdings reported the most risks in the "Finance & Corporate" category.

Higher RiskSector Avg.Lower RiskFinance & CorporateTech & InnovationLegal & RegulatoryProductionAbility to SellMacro & Political
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy

Latest Risks Added

0 New Risks

Leafly Holdings Peers Comparison

Overall Rating

UnderperformOutperform
Sector (55)

Financial Indicators

LFLH against its peers
NameOverall RatingMarket CapP/E RatioROEDividend YieldRevenue GrowthEPS Growth
Sector *55Neutral$6.65B3.83-15.92%6.20%10.91%7.18%
NEUPNEUP48Neutral$13.96M-0.35-77.03%―――
LFMDLFMD44Neutral$79.77M-4.23-192.39%―-25.13%-208.75%
RNTXRNTX43Neutral$48.31M-0.30-234.45%――36.23%
LFLHLFLH42Neutral$232.18K-21.8233.75%―――

* General Sector Average

Performance Comparison

-50%0%50%LFLHRNTXLFMDBAOSNEUPDec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26Nov '26
LFLH and its peers over the selected period
Show on chartTickerCompany NamePriceChange% Change
LFLHLeafly Holdings, Inc.37.000.000.00%
RNTXRein Therapeutics, Inc0.55-0.67-54.75%
LFMDLifemd, Inc.2.19-2.54-53.59%
BAOSBaosheng Media Group Holdings Ltd0.16-2.44-93.92%
NEUPNeuphoria Therapeutics Inc.2.55-2.15-45.74%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.

Date of analysis: Sep 23, 2025