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EverQuote Inc (EVER)
NASDAQ:EVER
US Market

EverQuote (EVER) AI Stock Analysis

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EverQuote

(NASDAQ:EVER)

Rating:74Outperform
Price Target:
$26.00
▲(2.48%Upside)
EverQuote's strong financial performance, particularly in the recent earnings call, is the primary driver of its high score. Despite some technical and valuation concerns, the company's operational improvements and growth potential in the digital advertising space position it well for future success.
Positive Factors
Financial Performance
EverQuote's Q1 results came in solidly above expectations, with revenue, VMD, and adj. EBITDA all noticeably above CGe as the recovery in auto insurance customer acquisition spending continues.
Product Innovation
EverQuote has introduced a new smart campaigns product that enhances marketplace bidding for carriers, increasing their efficiency.
Revenue Growth
Management introduced an above-consensus guide, indicating strong revenue growth driven by improved carrier marketing spend trends.
Negative Factors
Cost Pressures
Tariffs are likely to increase the cost of claims for carriers due to higher costs for foreign automotive parts.
Growth Challenges
Near-term comps are challenging and growth is expected to decelerate in the second half of 2025.

EverQuote (EVER) vs. SPDR S&P 500 ETF (SPY)

EverQuote Business Overview & Revenue Model

Company DescriptionEverQuote, Inc. (EVER) is a leading online insurance marketplace that connects consumers with insurance providers. Operating primarily in the United States, EverQuote facilitates the insurance shopping process by enabling consumers to compare quotes from various insurance companies. The company focuses on a wide array of insurance types, including auto, home, life, health, and renters insurance, providing a streamlined and efficient way for consumers to find the best insurance coverage tailored to their needs.
How the Company Makes MoneyEverQuote makes money through its online marketplace platform by charging insurance providers for access to consumer referrals and leads. When a consumer uses EverQuote's platform to compare insurance quotes, the company collects valuable data about the consumer's insurance needs and preferences. This data is then sold to insurance companies or agents who pay for these qualified leads, allowing them to reach potential customers more effectively. Additionally, EverQuote may generate revenue through performance-based advertising arrangements, where insurance providers pay for advertising placements on EverQuote's platform. This model allows EverQuote to monetize its extensive consumer traffic and data while providing insurance companies with opportunities to acquire new customers.

EverQuote Earnings Call Summary

Earnings Call Date:May 05, 2025
(Q1-2025)
|
% Change Since: -3.68%|
Next Earnings Date:Aug 11, 2025
Earnings Call Sentiment Positive
The earnings call reflected a strong positive sentiment driven by record-breaking revenue growth and significant achievements across key metrics, despite some challenges with one-to-one consent dynamics and specific market verticals. The company shows promising advancements in technology and operational efficiency.
Q1-2025 Updates
Positive Updates
Record-Breaking Revenue Growth
Total revenues in Q1 2025 grew to $166.6 million, up 83% from the prior year period and up 13% sequentially.
Strong Performance in Auto Insurance Vertical
Revenue from the auto insurance vertical was $152.7 million in Q1, up 97% year-over-year.
Significant Growth in Variable Marketing Dollars
VMD increased to $46.9 million for the first quarter, up 52% from the prior year period.
Adjusted EBITDA Achievement
Adjusted EBITDA in Q1 was a record $22.5 million, compared to $7.6 million in the prior year period.
Operational Efficiency and Cash Flow
Operating cash flow of $23.3 million for the first quarter with cash and cash equivalents of $125 million, up from $102.1 million at the end of 2024.
Smart Campaigns Product Success
Smart Campaigns product improved a customer’s campaign performance by over 40% and is gaining wider adoption.
Expansion in Paid Products
Paid products per agency increased 25% year-over-year in March.
Negative Updates
Impact of One-to-One Consent Dynamics
Variable Marketing Margin was negatively impacted by one-to-one consent dynamics early in the quarter, although this improved as the period progressed.
Non-Cash Charge Related to Legal Settlement
A non-cash charge of $7.9 million was reported due to divesting remaining P&C direct-to-consumer agency assets to settle an outstanding legal matter.
Challenges in Home Insurance Vertical
Revenue from home and renters insurance vertical was up only 10% year-over-year due to wildfires and was impacted by the one-to-one consent transition.
Company Guidance
During the EverQuote First Quarter 2025 Earnings Call, the company provided financial guidance for the second quarter of 2025, expecting revenue to be between $155 million and $160 million, indicating a year-over-year growth of 34% at the midpoint. They projected Variable Marketing Dollars (VMD) to range from $45 million to $47 million, signifying a 26% year-over-year increase. The guidance for adjusted EBITDA was set between $20 million and $22 million, reflecting a 62% year-over-year growth at the midpoint. The company highlighted its strategic focus on leveraging technology and AI to drive performance, which is expected to maintain EBITDA margins at or near current levels even as they invest in technology, data assets, and AI capabilities in the latter half of 2025.

EverQuote Financial Statement Overview

Summary
EverQuote demonstrates a strong financial recovery with significant improvements in revenue growth, profitability, and cash flow generation. The balance sheet is robust with low leverage and high equity, though past fluctuations in liquidity pose a potential risk.
Income Statement
78
Positive
EverQuote has shown significant improvement in its income statement metrics over the years. The TTM (Trailing-Twelve-Months) gross profit margin is robust at 96.3%, and the net profit margin has turned positive to 6.6%. Revenue growth from the previous annual period is strong at 15.1%, indicating a positive upward trend. EBIT and EBITDA margins have also improved to 6.6% and 7.4%, respectively, showcasing better operational efficiency. However, past losses indicate a need for sustained performance to ensure stability.
Balance Sheet
75
Positive
EverQuote's balance sheet shows a solid equity base with an equity ratio of 64.4%, reflecting a strong buffer against liabilities. The debt-to-equity ratio is low at 0.02, suggesting minimal financial leverage and reduced risk. Return on equity has improved to 25.6%, indicating effective use of equity to generate profits. The company's liquidity position is strong, but past years show fluctuations, which could pose a risk if not managed well.
Cash Flow
81
Very Positive
The cash flow statement reveals a strong recovery with a positive free cash flow growth of 20% in the TTM period. The operating cash flow to net income ratio is favorable at 2.08, indicating efficient cash generation relative to reported earnings. The free cash flow to net income ratio also stands strong at 1.96. These metrics highlight the company's ability to generate cash and fund operations without relying heavily on external financing.
Breakdown
TTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income StatementTotal Revenue
575.76M500.19M287.92M404.13M418.51M346.94M
Gross Profit
554.50M479.27M265.47M380.15M394.57M325.56M
EBIT
37.98M31.75M-51.98M-24.79M-21.92M-11.68M
EBITDA
42.39M37.42M-26.06M-23.07M-15.79M-6.07M
Net Income Common Stockholders
38.25M32.17M-51.29M-24.42M-19.43M-11.20M
Balance SheetCash, Cash Equivalents and Short-Term Investments
46.05M102.12M37.96M30.84M34.85M42.87M
Total Assets
91.22M210.53M110.92M156.52M143.61M129.05M
Total Debt
0.003.63M2.16M6.44M8.23M10.69M
Net Debt
-46.05M-98.49M-35.80M-24.40M-26.62M-32.18M
Total Liabilities
39.45M75.16M30.02M49.03M58.48M58.07M
Stockholders Equity
51.77M135.37M80.91M107.49M85.13M70.98M
Cash FlowFree Cash Flow
74.95M62.45M-6.67M-20.08M4.33M6.85M
Operating Cash Flow
79.43M66.57M-2.83M-15.79M7.19M10.67M
Investing Cash Flow
-4.48M-4.11M9.35M-4.29M-18.82M-18.75M
Financing Cash Flow
1.38M1.71M577.00K15.84M3.62M4.91M

EverQuote Technical Analysis

Technical Analysis Sentiment
Positive
Last Price25.37
Price Trends
50DMA
23.60
Positive
100DMA
23.39
Positive
200DMA
21.61
Positive
Market Momentum
MACD
0.18
Negative
RSI
61.47
Neutral
STOCH
94.58
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For EVER, the sentiment is Positive. The current price of 25.37 is above the 20-day moving average (MA) of 23.82, above the 50-day MA of 23.60, and above the 200-day MA of 21.61, indicating a bullish trend. The MACD of 0.18 indicates Negative momentum. The RSI at 61.47 is Neutral, neither overbought nor oversold. The STOCH value of 94.58 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for EVER.

EverQuote Risk Analysis

EverQuote disclosed 30 risk factors in its most recent earnings report. EverQuote reported the most risks in the “Tech & Innovation” category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

EverQuote Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
74
Outperform
$917.29M24.6532.17%113.43%
68
Neutral
$791.30M15.805.05%-16.79%
61
Neutral
$14.59B5.85-4.31%3.69%2.76%-30.36%
59
Neutral
$653.52M-83.47%15.06%15.99%
MAMAX
58
Neutral
$712.48M36.49-115.07%148.62%
51
Neutral
$619.79M-18.77%12.01%35.71%
49
Neutral
$123.62M-26.46%10.18%1.47%
* Communication Services Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
EVER
EverQuote
25.37
3.70
17.07%
ANGI
Angi
16.49
-4.21
-20.34%
TRUE
TrueCar
1.41
-1.35
-48.91%
MAX
MediaAlpha
10.56
-7.00
-39.86%
KIND
Nextdoor Holdings
1.62
-0.79
-32.78%
SMWB
Similarweb
7.89
0.05
0.64%

EverQuote Corporate Events

Executive/Board ChangesShareholder Meetings
EverQuote Holds Annual Stockholders Meeting on June 5
Neutral
Jun 6, 2025

On June 5, 2025, EverQuote, Inc. held its Annual Meeting of Stockholders, where key decisions were made regarding the company’s governance and financial oversight. Stockholders elected seven directors to the board, including David Blundin and Sanju Bansal, to serve until the 2026 meeting. Additionally, the appointment of PricewaterhouseCoopers LLP as the independent registered public accounting firm for the fiscal year ending December 31, 2025, was ratified. These decisions are expected to influence the company’s strategic direction and financial integrity.

The most recent analyst rating on (EVER) stock is a Buy with a $32.00 price target. To see the full list of analyst forecasts on EverQuote stock, see the EVER Stock Forecast page.

Financial Disclosures
EverQuote Reports Strong Q1 2025 Financial Results
Positive
May 5, 2025

On May 5, 2025, EverQuote announced its first quarter financial results, showcasing significant growth with an 83% increase in revenue to $166.6 million and a 52% rise in Variable Marketing Dollars. The company achieved a net income of $8.0 million and a record Adjusted EBITDA of $22.5 million. This marks the fourth consecutive quarter of record revenue and Adjusted EBITDA, positioning EverQuote strongly in the digital insurance advertising market. The company remains resilient to macroeconomic conditions and is poised for continued success, benefiting from a favorable environment where insurance advertising spend is shifting to digital channels.

Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.

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.