GoodRx Holdings (GDRX) AI Stock Analysis

• Market Cap: $1.46B
• Dividend Yield: N/A
• Average Volume (3M): 4.77M
• Price to Earnings (P/E): 45.1
• Beta (1Y): 0.86
• Revenue Growth: 3.20%
• EPS Growth: N/A
• Country: US
• Employees: 738
• Sector: Healthcare
• Sector Strength: 47
• Industry: Medical - Healthcare Information Services
• EPS (TTM): 0.09
• Shares Outstanding: 98,580,670
• 10 Day Avg. Volume: 2,212,419
• 30 Day Avg. Volume: 4,773,418
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 1.40
• Enterprise Value/Revenue: 2.56
• Enterprise Value/Gross Profit: 2.80
• Enterprise Value/Ebitda: 11.48
• 1Y Price Target: $5.35
• Price Target Upside: 27.68% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 13

• Rating: 66 Neutral
• Price Target: $5.00 ▲(19.33% Upside)

GoodRx Holdings' overall stock score is driven by strong financial performance and promising strategic initiatives, despite valuation concerns and external challenges impacting revenue. The company's ability to maintain growth in its Pharma Manufacturer Solutions segment and improve EBITDA margins are key strengths. However, the high P/E ratio and lack of dividend yield, along with external headwinds, temper the overall outlook.

Positive Factors

Revenue Growth

Strong revenue growth in the Pharma Manufacturer Solutions segment indicates effective monetization strategies and enhances long-term business prospects.

Cash Flow Generation

Strong cash flow generation enhances GoodRx's ability to invest in growth opportunities and maintain financial stability, supporting sustainable operations.

New Partnerships

New partnerships expand GoodRx's market reach and strengthen its competitive position, facilitating long-term growth and customer acquisition.

Negative Factors

Rite Aid Bankruptcy Impact

The bankruptcy of Rite Aid disrupts GoodRx's revenue streams and could lead to significant financial setbacks, affecting long-term revenue stability.

Integrated Savings Program Decline

A decline in integrated savings program volume may weaken GoodRx's revenue base and challenge its ability to maintain growth in this segment.

Prescription Transaction Revenue Decline

A decline in prescription transaction revenue indicates potential challenges in maintaining competitive pricing and market share, impacting long-term revenue growth.

GoodRx Holdings Business Overview & Revenue Model

Company Description

GoodRx Holdings, Inc., through its subsidiaries, offers information and tools that enable consumers to compare prices and save on their prescription drug purchases in the United States. The company operates a price comparison platform that provides consumers with curated, geographically relevant prescription pricing, and access to negotiated prices through GoodRx codes that are used to save money on prescriptions across the United States. It also offers other healthcare products and services, including subscriptions, pharma manufacturer solutions, and telehealth services. It serves pharmacy benefit managers that manage formularies and prescription transactions, including establishing pricing between consumers and pharmacies. The company was incorporated in 2015 and is headquartered in Santa Monica, California.

How the Company Makes Money

GoodRx generates revenue primarily through its prescription transaction revenue model. The company earns money by providing consumers with access to discounts on prescription drugs; when a consumer uses a discount at a pharmacy, GoodRx receives a fee from the pharmacy or the pharmacy benefit manager (PBM). Additionally, GoodRx offers a subscription service called GoodRx Gold, which provides consumers with even deeper discounts on prescriptions for a monthly fee. GoodRx also generates revenue through advertising and telehealth services, partnering with pharmaceutical manufacturers and healthcare providers to reach consumers through its platform. Key partnerships with major pharmacies and PBMs play a significant role in facilitating these transactions and ensuring wide acceptance of GoodRx discounts.

GoodRx Holdings Financial Statement Overview

Summary

GoodRx Holdings shows strong financial health with significant improvements in profitability and cash flow generation. The company has effectively reduced its leverage, enhancing financial stability. Continued focus on operational efficiency could further improve EBIT margins, supporting sustained growth.

Income Statement

GoodRx Holdings has shown a strong revenue growth rate of 30.8% in the TTM, with a high gross profit margin of 93.68%. The net profit margin has improved significantly to 7.05% from a negative margin in previous years, indicating enhanced profitability. However, the EBIT margin is relatively low at 8.82%, suggesting room for operational efficiency improvements.

Balance Sheet

The company's debt-to-equity ratio has improved to 0.10 in the TTM, indicating a strong reduction in leverage compared to previous years. The return on equity has increased to 8.29%, reflecting better utilization of equity. However, the equity ratio is moderate, suggesting a balanced asset structure.

Cash Flow

GoodRx Holdings has demonstrated a robust free cash flow growth rate of 56.24% in the TTM, with a strong operating cash flow to net income ratio of 1.08. The free cash flow to net income ratio is healthy at 0.77, indicating efficient cash generation relative to net income.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	799.87M	792.32M	750.26M	766.55M	745.42M	550.70M
Gross Profit	729.55M	744.11M	683.34M	701.48M	698.71M	521.11M
EBITDA	178.12M	153.92M	108.82M	68.54M	48.00M	-257.11M
Net Income	42.89M	16.39M	-8.87M	-32.83M	-25.25M	-293.62M
Balance Sheet
Total Assets	1.32B	1.39B	1.59B	1.60B	1.61B	1.47B
Cash, Cash Equivalents and Short-Term Investments	281.32M	448.35M	672.30M	757.16M	941.11M	968.69M
Total Debt	547.54M	543.39M	711.07M	717.02M	702.33M	704.92M
Total Liabilities	675.67M	663.41M	826.84M	789.80M	775.95M	758.75M
Stockholders Equity	643.03M	724.66M	761.96M	814.83M	831.68M	711.36M
Cash Flow
Free Cash Flow	157.56M	113.55M	82.53M	91.57M	144.32M	95.52M
Operating Cash Flow	190.60M	183.89M	138.29M	146.78M	178.78M	131.34M
Investing Cash Flow	-102.69M	-70.35M	-55.77M	-210.50M	-178.73M	-91.62M
Financing Cash Flow	-331.49M	-337.50M	-167.40M	-120.23M	-30.53M	905.82M

GoodRx Holdings Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 4.19
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GDRX, the sentiment is Negative. The current price of 4.19 is below the 20-day moving average (MA) of 4.32, below the 50-day MA of 4.44, and below the 200-day MA of 4.53, indicating a bearish trend. The MACD of -0.06 indicates Positive momentum. The RSI at 47.62 is Neutral, neither overbought nor oversold. The STOCH value of 51.23 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GDRX.

GoodRx Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HSTM	75 Outperform	$855.45M	43.38	5.81%	0.42%	3.50%	13.99%
PGNY	74 Outperform	$1.94B	38.22	10.94%	―	9.62%	-6.61%
GDRX	66 Neutral	$1.46B	45.15	5.27%	―	3.20%	―
DH	52 Neutral	$591.30M	―	-64.27%	―	-5.24%	23.59%
Sector *	51 Neutral	$7.92B	-0.36	-43.38%	2.24%	22.38%	-2.16%
TDOC	51 Neutral	$1.36B	―	-14.18%	―	-2.57%	79.86%
SDGR	50 Neutral	$1.38B	―	-44.40%	―	18.59%	10.96%

GoodRx Holdings Corporate Events

GoodRx Holdings Holds Annual Stockholder Meeting

On June 3, 2025, GoodRx Holdings, Inc. conducted its Annual Meeting of Stockholders, where significant decisions were made regarding the company’s governance and financial oversight. Stockholders elected three Class II directors, ratified the appointment of PricewaterhouseCoopers LLP as the independent public accounting firm for 2025, and approved the executive compensation plan, reflecting strong shareholder support for the company’s leadership and strategic direction.