Thryv Holdings (THRY) AI Stock Analysis

• Market Cap: $595.28M
• Dividend Yield: N/A
• Average Volume (3M): 674.08K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.40
• Revenue Growth: -14.71%
• EPS Growth: 66.24%
• Country: US
• Employees: 2,986
• Sector: Communication Services
• Sector Strength: 81
• Industry: Internet Content & Information
• EPS (TTM): -0.22
• Shares Outstanding: 43,738,224
• 10 Day Avg. Volume: 783,904
• 30 Day Avg. Volume: 674,075
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.00
• Price to Cash Flow (P/CF): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 1.51
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: 1.67
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $20.80
• Price Target Upside: 52.83% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 6

Thryv Holdings' overall stock score is weighed down by its financial struggles, including declining revenues and profitability issues, as well as weak valuation metrics. However, strong SaaS revenue growth and strategic transformation provide optimism. Addressing profitability and leverage issues is crucial for improving stock performance.

Positive Factors

Platform Expansion

Thryv’s platform expansion over the past several years has created a significant opportunity to cross-sell and grow ARPU with existing customers, which should be the primary driver of growth.

Software Business Performance

The company’s software business has been executing well and grew 24% organically.

Undervaluation

Shares are trading at just 9 times SaaS EBITDA, suggesting the stock is significantly undervalued with potential upside to $50-plus a share.

Negative Factors

Customer Additions

The SaaS segment added 3,000 new customers, lower than the 11,000 net adds in the prior quarter.

Revenue Guidance

Shares are likely reacting to the lowered full-year software revenue guidance, which management cut out of an abundance of caution.

Thryv Holdings Business Overview & Revenue Model

Company Description

Thryv Holdings, Inc. provides digital marketing solutions and cloud-based tools to the small-to-medium sized businesses (SMBs). It operates through three segments: SaaS (Software as a Service), Marketing Services, and Thryv International. The company provides Thryv, an SMB end-to-end customer experience platform; Hub by Thryv, a solution for franchisors to offer real time oversight and day-to-day management of multiple locations; Thryv Leads, an integrated local marketing and lead generation solution, as well as related services; and ThryvPay, a payment solution that allows users to get paid through credit card and ACH. It also offers print and digital solutions, including the company's print yellow pages; internet yellow pages, such as yellowpages.com, superpages.com, dexknows.com, and extended search solutions; search engine marketing solutions; and other digital media solutions, including online display and social advertising, online presence and video, and search engine optimization tools. The company was formerly known as Dex Media Holdings, Inc. and changed its name to Thryv Holdings, Inc. in July 2019. Thryv Holdings, Inc. is based in DFW Airport, Texas.

How the Company Makes Money

Thryv Holdings generates revenue primarily through subscription fees for its software solutions. The company offers its platform on a subscription basis, enabling businesses to access a suite of tools designed to enhance their operational efficiency and marketing efforts. Key revenue streams include monthly or annual subscription fees from its CRM and marketing automation software, as well as additional services like website development and digital marketing. Thryv also benefits from strategic partnerships with other technology providers, which can enhance its offerings and customer reach, contributing to its revenue. In addition, the company may generate revenue from consulting and support services provided to its clients.

Thryv Holdings Financial Statement Overview

Summary

Thryv Holdings faces challenges with declining revenues and consistent losses impacting profitability. The balance sheet shows moderate risk with manageable debt levels, but the reliance on liabilities and declining equity are concerning. Cash flow generation remains strong, providing some operational stability, but revenue and margin improvements are needed for long-term financial health.

Income Statement

Thryv Holdings has seen a significant decline in revenue over recent years, with a negative trend in revenue growth. The gross profit margin has been relatively stable, but the company struggles with negative EBIT and EBITDA margins, indicating operational inefficiencies. The consistent net losses further highlight profitability issues, reflecting challenges in cost management and revenue generation.

Balance Sheet

The company's balance sheet shows a moderate debt-to-equity ratio, suggesting a balanced approach to leveraging. However, the declining stockholders' equity and total assets over the years raise concerns about asset utilization and shareholder value. The equity ratio has decreased, indicating a reliance on liabilities for funding, which may pose risks if revenue does not stabilize.

Cash Flow

The cash flow statement reveals a stable operating cash flow, though free cash flow has fluctuated. The operating cash flow to net income ratio is strong, indicating good cash flow generation despite net losses. However, the free cash flow growth rate is inconsistent, which could affect future investment and debt servicing capabilities.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
824.16M	916.96M	1.20B	1.11B	1.11B
	Gross Profit
537.24M	578.25M	780.38M	705.34M	742.74M
	EBIT
-33.30M	-200.02M	261.60M	190.01M	152.01M
	EBITDA
33.56M	-135.56M	247.77M	306.16M	256.30M
	Net Income Common Stockholders
-74.22M	-259.30M	54.35M	101.58M	149.22M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
16.31M	18.22M	16.03M	11.26M	2.41M
	Total Assets
712.16M	783.17M	1.18B	1.30B	1.21B
	Total Debt
284.34M	348.90M	469.81M	562.48M	583.20M
	Net Debt
268.03M	330.68M	453.78M	551.21M	580.79M
	Total Liabilities
515.25M	630.47M	795.61M	985.79M	1.02B
	Stockholders Equity
196.92M	152.70M	382.27M	314.71M	196.78M
Cash Flow		Free Cash Flow
56.25M	114.83M	119.34M	143.72M	205.01M
	Operating Cash Flow
89.78M	148.23M	148.57M	170.57M	232.77M
	Investing Cash Flow
-110.42M	-42.52M	-52.03M	-196.57M	-26.21M
	Financing Cash Flow
19.22M	-103.49M	-91.10M	39.09M	-206.07M

Thryv Holdings Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 13.61
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For THRY, the sentiment is Neutral. The current price of 13.61 is above the 20-day moving average (MA) of 12.11, below the 50-day MA of 14.23, and below the 200-day MA of 16.19, indicating a neutral trend. The MACD of -0.13 indicates Negative momentum. The RSI at 54.37 is Neutral, neither overbought nor oversold. The STOCH value of 74.65 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for THRY.

Thryv Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
EVER	81 Outperform	$965.74M	30.68	29.75%	―	73.72%	―
SSTK	67 Neutral	$590.85M	16.63	6.87%	―	6.94%	-66.92%
Sector *	59 Neutral	$13.76B	7.70	-1.87%	3.86%	2.21%	-37.55%
ANGI	59 Neutral	$565.33M	16.56	3.42%	―	-17.69%	―
THRY	53 Neutral	$595.28M	―	-51.21%	―	-14.71%	66.24%
PODC	52 Neutral	$45.31M	―	-36.00%	―	22.98%	69.10%
KIND	46 Neutral	$575.13M	―	-19.38%	―	13.27%	34.93%

Thryv Holdings Corporate Events

Thryv Holdings Reports Strong Q1 2025 SaaS Growth

In the first quarter of 2025, Thryv Holdings reported a 50% year-over-year increase in SaaS revenue, which now accounts for over 60% of its total revenue. The company exceeded its guidance for the quarter, highlighting its strategic transformation into a premier SMB software business. Despite a consolidated net loss of $9.6 million, Thryv achieved a record seasoned net revenue retention of 103%, driven by upselling and cross-selling efforts. The company’s focus on expanding its product-led strategy and entering new verticals is expected to foster continued growth and profitability.

Spark’s Take on THRY Stock

According to Spark, TipRanks’ AI Analyst, THRY is a Neutral.

Thryv Holdings’ overall stock score reflects a mix of challenges and opportunities. Financial performance is hindered by declining revenues and negative profitability, but improvements in leverage and cash flow generation offer some resilience. Technical analysis shows bearish trends, and valuation is weak due to negative earnings. However, the earnings call provides optimism with strong SaaS growth and strategic focus. The company needs to address profitability and leverage issues to enhance its stock performance.

To see Spark’s full report on THRY stock, click here.

Thryv Holdings Reports Strong Q4 2024 SaaS Growth

In the fourth quarter of 2024, Thryv Holdings reported a significant increase in Total SaaS revenue by 41% year-over-year, marking a pivotal shift as SaaS now constitutes the majority of its revenue. The integration of Keap, a marketing automation company for SMBs, contributed to a 73% increase in total SaaS subscribers. Despite a 21% decline in consolidated total revenue, Thryv achieved a consolidated net income of $7.9 million, reversing a loss from the previous year. The company anticipates continued growth and profitability in 2025, driven by its expanded SaaS offerings and operational efficiencies.