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Beachbody Company (BODI)
NASDAQ:BODI
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Beachbody Company (BODI) AI Stock Analysis

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BODI

Beachbody Company

(NASDAQ:BODI)

Rating:52Neutral
Price Target:
$5.50
▼(-4.68% Downside)
Beachbody Company's overall stock score is primarily impacted by its weak financial performance, characterized by declining revenues, persistent losses, and poor cash flow management. Technical analysis provides some positive momentum, but the valuation remains unattractive due to a negative P/E ratio and lack of dividends. The earnings call offers a mixed outlook, with some strategic positives overshadowed by ongoing revenue and subscription declines.
Positive Factors
Cost Management
The shift away from the MLM model to an omnichannel and affiliate model is seen as a positive change for reducing operating costs.
Debt Refinancing
BODI de-risked its balance sheet by refinancing its term loan, pushing out the maturity and lowering the interest rate.
Financial Performance
BODI reported 1Q results ahead of guidance with sales beating estimates and guidance.
Negative Factors
Nutrition Business
The nutrition business is projected to be more impacted from moving away from the MLM model, which may pressure its performance.
Revenue Impact
The switch from an MLM model may initially lead to sales deleverage as sellers leave the platform.
Sales Performance
Active digital subscriptions were down -16.4% YoY and Nutrition subscriptions were down -46.7% YoY.

Beachbody Company (BODI) vs. SPDR S&P 500 ETF (SPY)

Beachbody Company Business Overview & Revenue Model

Company DescriptionThe Beachbody Company, Inc. operates as a subscription health and wellness company that provides fitness, nutrition, and stress-reducing programs in the United States and internationally. The company operates Beachbody on Demand, a digital subscription platform that provides access to a library of live and on-demand fitness and nutrition content; and Beachbody on Demand Interactive (BODi) for live fitness and nutrition programs. It also offers nutritional products, such as Shakeology, a nutrition shake; Beachbody Performance supplements comprising pre-workout energize, hydrate, post-workout recover, and protein supplement recharge products; BEACHBAR, a low-sugar snack bar; supplements under the LADDER brand; connected fitness products; and BODi Bike Studio, a package subscription to BODi with a bike and accessories. The Beachbody Company, Inc. was founded in 1998 and is headquartered in El Segundo, California.
How the Company Makes MoneyBeachbody Company generates revenue primarily through its subscription services, which include Beachbody On Demand and BODi, offering customers access to a vast library of fitness content and live classes. These services operate on a recurring subscription model, providing a steady income stream. Additionally, Beachbody earns revenue from the sale of nutritional supplements and performance products, which complement its fitness programs. The company also benefits from partnerships with fitness influencers and trainers who promote its products and services, further driving customer acquisition and retention.

Beachbody Company Earnings Call Summary

Earnings Call Date:Aug 05, 2025
(Q2-2025)
|
% Change Since: |
Next Earnings Date:Nov 18, 2025
Earnings Call Sentiment Neutral
The earnings call presents a mixed picture. While Beachbody has exceeded its revenue and EBITDA expectations and achieved significant cost reductions and refinancing benefits, it also faces notable challenges, such as substantial revenue declines and decreased digital and nutrition subscriptions. The company's strategic plans for retail expansion and new product launches are positive, but the impact of ongoing revenue declines and subscriber losses weighs on the overall sentiment.
Q2-2025 Updates
Positive Updates
Exceeded Revenue and EBITDA Expectations
Beachbody reported Q2 2025 revenue of $63.9 million, exceeding the guidance range of $51 million to $61 million. Adjusted EBITDA of $4.6 million also exceeded the guidance range of breakeven to $4 million.
Improved Gross Margin
The company achieved a gross margin of 72.3%, which is a 300 basis point improvement over the prior year and exceeded the high end of their previous long-term target of 65% to 70%.
Significant Cost Reductions
Selling and marketing costs decreased from 51.1% of revenue in Q2 last year to 39.9% this quarter, with a target to reach sub-35%.
Debt Refinancing
Beachbody refinanced its debt with Tiger Finance and SG Capital, reducing its overall interest rate by more than 40%, resulting in increased cash balance from $18 million to over $25 million.
Positive Free Cash Flow
Year-to-date positive free cash flow of $4.1 million was generated, with a line of sight to achieving full-year positive free cash flow for the first time since 2020.
Launch of New Retail Products
Starting in late Q1 2026, Beachbody plans to roll out Shakeology in retail markets for the first time, followed by the launch of P90x nutritional line and INSANITY branded nutritional supplements.
New Fitness Program Success
The new 25-minute Speed Train program achieved over 1 million views in 21 days, 50% faster than previous programs.
Negative Updates
Revenue Decline
Total revenues of $63.9 million declined 11.6% sequentially and 42% year-over-year due to the strategic transition from a multilevel marketing platform to an omnichannel model.
Decrease in Digital and Nutrition Subscriptions
Digital subscriber count decreased 7.8% sequentially and 18.2% year-over-year. Nutrition subscriptions declined 12.5% sequentially and 52.1% year-over-year.
Nutrition Revenue Decline
Nutrition revenue decreased 15.6% from the prior quarter to $24.2 million and decreased 51.8% year-over-year.
Company Guidance
During the Beachbody Company, Inc. second quarter 2025 earnings call, significant guidance was provided concerning the company's financial performance and strategic direction. The company reported revenues of $63.9 million, surpassing expectations, with a gross margin of 72.3%, marking a 300 basis point improvement from the previous year. Adjusted EBITDA exceeded guidance, representing the seventh consecutive quarter of positive adjusted EBITDA, cumulatively totaling $39.5 million. The company has notably reduced its revenue breakeven point from approximately $900 million in 2022 to $200 million in 2025. Selling and marketing costs have decreased to 39.9% of revenue, with a target of sub-35%. The company refinanced its debt, reducing the overall interest rate by over 40%, and achieved positive free cash flow of $4.1 million year-to-date. Looking forward, the company aims for full-year positive free cash flow for the first time since 2020. In 2026, Beachbody plans to expand into retail markets with its Shakeology brand and later introduce the P90x nutritional line, creating cross-marketing opportunities. Despite temporary revenue declines in 2025 during the business model transition, the company is focused on leveraging its brand portfolio for future growth.

Beachbody Company Financial Statement Overview

Summary
Beachbody Company faces substantial financial challenges across all verticals. The income statement reflects declining revenues and persistent losses, while the balance sheet shows limited equity and poor returns. Cash flow is weak, with negative growth and insufficient cash generation. The company needs to address these issues to improve its financial health and stability.
Income Statement
35
Negative
The income statement reveals significant challenges for Beachbody Company. The TTM data shows a negative revenue growth rate of -12.46%, indicating declining sales. Gross profit margin is relatively healthy at 69.42%, but the net profit margin is deeply negative at -17.02%, reflecting substantial losses. EBIT and EBITDA margins are also negative, suggesting operational inefficiencies. Overall, the company is struggling with profitability and revenue growth.
Balance Sheet
40
Negative
The balance sheet shows a moderate debt-to-equity ratio of 0.81, indicating manageable leverage. However, the return on equity is highly negative at -142.49%, highlighting poor returns for shareholders. The equity ratio stands at 13.82%, suggesting a low proportion of equity financing. The company's financial stability is concerning due to low equity and poor returns.
Cash Flow
30
Negative
Cash flow analysis indicates significant issues. The free cash flow growth rate is negative at -59.12%, and the operating cash flow to net income ratio is -0.036, showing weak cash generation relative to net losses. The free cash flow to net income ratio is positive at 1.84, but this is due to negative net income. Overall, cash flow management is a critical concern for the company.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue324.87M418.80M527.11M692.20M873.64M863.58M
Gross Profit227.47M287.34M323.09M369.57M544.98M613.88M
EBITDA-14.13M-38.36M-80.40M-94.75M-168.92M46.08M
Net Income-58.21M-71.64M-152.64M-194.19M-228.38M-21.43M
Balance Sheet
Total Assets145.89M174.56M276.84M443.39M637.61M356.25M
Cash, Cash Equivalents and Short-Term Investments29.81M20.19M40.10M80.09M104.05M56.83M
Total Debt26.03M22.48M32.82M46.45M7.13M41.62M
Total Liabilities125.74M146.39M194.08M231.85M252.23M257.00M
Stockholders Equity20.16M28.17M82.76M211.54M385.38M99.26M
Cash Flow
Free Cash Flow-3.17M-1.98M-29.11M-73.67M-293.16M23.50M
Operating Cash Flow933.00K2.56M-22.54M-47.17M-215.25M61.43M
Investing Cash Flow-4.11M1.06M-10.83M-26.49M-125.19M-46.69M
Financing Cash Flow-3.58M-15.87M-13.72M47.56M390.65M165.00K

Beachbody Company Technical Analysis

Technical Analysis Sentiment
Positive
Last Price5.77
Price Trends
50DMA
4.63
Positive
100DMA
4.34
Positive
200DMA
5.55
Positive
Market Momentum
MACD
0.33
Negative
RSI
65.30
Neutral
STOCH
50.70
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BODI, the sentiment is Positive. The current price of 5.77 is above the 20-day moving average (MA) of 5.32, above the 50-day MA of 4.63, and above the 200-day MA of 5.55, indicating a bullish trend. The MACD of 0.33 indicates Negative momentum. The RSI at 65.30 is Neutral, neither overbought nor oversold. The STOCH value of 50.70 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for BODI.

Beachbody Company Risk Analysis

Beachbody Company disclosed 76 risk factors in its most recent earnings report. Beachbody Company reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Beachbody Company Peers Comparison

Overall Rating
UnderperformOutperform
Sector (60)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
63
Neutral
$428.94M20.953.27%-22.16%
61
Neutral
$92.08M-16.65%105.31%95.66%
60
Neutral
$46.29B4.07-13.11%4.12%1.85%-42.71%
54
Neutral
$793.88M-14.27%9.65%56.50%
52
Neutral
$40.71M-133.94%-31.96%56.06%
50
Neutral
$158.76M25.25-75.68%-10.52%-420.74%
42
Neutral
$372.77M-475.54%
* Communication Services Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
BODI
Beachbody Company
5.77
-0.41
-6.63%
SEAT
Vivid Seats
15.94
-78.86
-83.19%
CCG
Cheche Group
1.08
0.48
80.00%
NXDR
Nextdoor Holdings
2.07
-0.20
-8.81%
ZH
Zhihu
4.87
1.51
44.94%
UPXI
Upexi
6.04
2.25
59.37%

Beachbody Company Corporate Events

Delistings and Listing ChangesBusiness Operations and Strategy
Beachbody Company Transfers Stock Listing to Nasdaq
Positive
Aug 20, 2025

On August 20, 2025, The Beachbody Company announced its decision to transfer the listing of its Class A common stock from the New York Stock Exchange to the Nasdaq Capital Market, effective September 3, 2025. This strategic move is aimed at leveraging Nasdaq’s advanced trading technology and market data services, aligning Beachbody with a marketplace that supports innovative companies, and potentially enhancing its industry positioning.

Executive/Board ChangesShareholder Meetings
Beachbody Company Elects Directors at Annual Meeting
Neutral
Jun 6, 2025

On June 4, 2025, Beachbody Company held its annual stockholders meeting where nine directors were elected to the board for a one-year term, and Deloitte & Touche LLP was ratified as the independent accounting firm for the fiscal year ending December 31, 2025. Additionally, the company’s executive compensation was approved, reflecting shareholder support for the current management and strategic direction, which may impact the company’s governance and operational strategies moving forward.

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: Aug 21, 2025