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Nextdoor Holdings, Inc. (NXDR)
NYSE:NXDR
US Market
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Nextdoor Holdings (NXDR) AI Stock Analysis

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NXDR

Nextdoor Holdings

(NYSE:NXDR)

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Neutral 66 (OpenAI - 5.2)
Rating:66Neutral
Price Target:
$2.50
▲(14.16% Upside)
Action:Reiterated
Date:08/06/26
Overall score reflects improving financial execution (narrowing losses, positive free cash flow, strong gross margins, and low leverage) as the primary support, reinforced by a positive earnings call with raised outlook. This is tempered by still-negative GAAP profitability and a valuation profile that is difficult to anchor with a negative P/E and no dividend, while technicals are constructive but not strongly momentum-driven.
Positive Factors
High gross margins
Sustained ~81%–85% gross margins reflect low incremental cost of serving additional users and strong unit economics for advertising. High gross margin provides durable operating leverage as revenue scales, supporting future margin expansion and reinvestment into product and local sales without heavy cost pressure.
Negative Factors
GAAP profitability not yet achieved
Despite adjusted-profit progress, GAAP losses persist and stock‑based compensation drives the gap to GAAP profitability. Until the firm consistently converts adjusted gains into GAAP net income, shareholder returns and full financial credibility depend on sustained margin conversion and lower dilution.
Read all positive and negative factors
Positive Factors
Negative Factors
High gross margins
Sustained ~81%–85% gross margins reflect low incremental cost of serving additional users and strong unit economics for advertising. High gross margin provides durable operating leverage as revenue scales, supporting future margin expansion and reinvestment into product and local sales without heavy cost pressure.
Read all positive factors

Nextdoor Holdings (NXDR) vs. SPDR S&P 500 ETF (SPY)

Nextdoor Holdings Business Overview & Revenue Model

Company Description
Nextdoor Holdings, Inc. functions as an umbrella organization that operates a social networking platform specifically designed to connect residents with local businesses. The enterprise was established by Nirav Tolia in 2008 and maintains its prin...
How the Company Makes Money
Nextdoor primarily makes money through advertising and marketing services sold to businesses and organizations seeking to reach users in specific local geographies. Key revenue streams include: - Local advertising: Nextdoor sells ad placements an...

Nextdoor Holdings Earnings Call Summary

Earnings Call Date:Aug 04, 2026
(Q2-2026)
|
% Change Since: |
Next Earnings Date:Nov 11, 2026
Earnings Call Sentiment Positive
The call communicated strong operational and financial momentum: record platform WAU, a revenue beat (+15% YoY), meaningful adjusted EBITDA improvement ($10M, +$12M YoY) and accelerating self-serve revenue (+32% YoY). Product and AI-driven initiatives (Faves, Ask) and contributor growth support the company thesis of compounding engagement and monetization. However, GAAP profitability has not yet been achieved (Q2 GAAP loss of $2M), lead-generation monetization remains early and Q3 adjusted EBITDA guidance is lower than Q2, creating some near-term profitability uncertainty. On balance, the positives (broad-based revenue growth, margin improvement, cash position, product traction) outweigh the remaining challenges.
Positive Updates
Platform Engagement Rebounded — All-Time High WAU
Platform WAU reached a record 22.9 million, up 5% year-over-year and up sequentially for a second consecutive quarter, indicating durable improvement from product investments.
Negative Updates
GAAP Net Loss Remains
Q2 GAAP net loss was $2 million (negative 3% margin). Management said GAAP profitability is a priority but did not provide a specific timeline; stock-based compensation remains the primary gap between adjusted EBITDA and GAAP net income.
Read all updates
Q2-2026 Updates
Negative
Platform Engagement Rebounded — All-Time High WAU
Platform WAU reached a record 22.9 million, up 5% year-over-year and up sequentially for a second consecutive quarter, indicating durable improvement from product investments.
Read all positive updates
Company Guidance
Nextdoor guided Q3 2026 revenue of $76–$78 million and adjusted EBITDA of $6.5–$8.0 million, and raised its full‑year 2026 outlook to low‑teens revenue growth with an adjusted‑EBITDA margin of approximately 10%, while expecting Platform WAU to continue increasing sequentially in the back half of the year. These targets follow Q2 results that beat prior guidance—Platform WAU 22.9 million (up 5% YoY), revenue $75 million (up 15% YoY; prior guidance $71–$73M), adjusted EBITDA $10 million (13% margin; ~ $12M YoY improvement), GAAP net loss $2 million (−3% margin), self‑serve revenue +32% YoY (~67% of revenue), annualized revenue per employee +29% YoY, $378 million in cash and equivalents, $9.6 million cash flow from operations YTD, and no debt.

Nextdoor Holdings Financial Statement Overview

Summary
Fundamentals are improving but not yet fully proven: gross margins remain very strong (~81%–85%), operating/net losses have narrowed materially (TTM net margin ~-11%), and free cash flow turned positive (~$13.4M TTM). Balance sheet leverage is low (TTM debt-to-equity ~0.07), but profitability is still negative (TTM EBIT and net income remain losses), and recent revenue growth has been modest/uneven.
Income Statement
52
Neutral
Balance Sheet
74
Positive
Cash Flow
66
Positive
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue274.60M257.65M247.28M218.31M212.76M192.20M
Gross Profit231.18M216.66M205.43M176.70M173.78M163.38M
EBITDA-36.20M-50.64M-93.46M-141.24M-130.59M-91.00M
Net Income-30.43M-54.20M-98.06M-147.76M-137.92M-95.33M
Balance Sheet
Total Assets461.86M486.80M513.95M654.56M699.56M840.09M
Cash, Cash Equivalents and Short-Term Investments377.97M404.77M426.98M531.10M583.30M715.81M
Total Debt27.70M55.60M40.75M66.59M61.60M68.73M
Total Liabilities51.24M55.52M60.47M96.01M88.49M95.10M
Stockholders Equity410.63M431.28M453.49M558.56M611.07M744.99M
Cash Flow
Free Cash Flow13.45M5.89M-20.61M-59.54M-63.66M-60.11M
Operating Cash Flow14.00M6.47M-20.20M-59.27M-60.50M-51.27M
Investing Cash Flow59.19M42.57M86.43M66.49M-342.45M-149.52M
Financing Cash Flow-79.81M-33.99M-81.03M8.92M-64.35M637.58M

Nextdoor Holdings Technical Analysis

Technical Analysis Sentiment
Positive
Last Price2.19
Price Trends
50DMA
2.28
Positive
100DMA
1.97
Positive
200DMA
1.92
Positive
Market Momentum
MACD
0.08
Negative
RSI
69.14
Neutral
STOCH
85.35
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For NXDR, the sentiment is Positive. The current price of 2.19 is below the 20-day moving average (MA) of 2.39, below the 50-day MA of 2.28, and above the 200-day MA of 1.92, indicating a bullish trend. The MACD of 0.08 indicates Negative momentum. The RSI at 69.14 is Neutral, neither overbought nor oversold. The STOCH value of 85.35 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for NXDR.

Nextdoor Holdings Risk Analysis

Nextdoor Holdings disclosed 67 risk factors in its most recent earnings report. Nextdoor Holdings 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

Nextdoor Holdings Peers Comparison

Overall Rating
UnderperformOutperform
Sector (60)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
80
Outperform
$884.17M7.7450.29%22.75%144.55%
76
Outperform
$1.28B11.2018.61%1.50%-6.82%
68
Neutral
$803.17M7.348214.45%13.84%
66
Neutral
$1.03B-32.44-7.27%9.79%53.33%
60
Neutral
$48.67B4.58-11.27%4.14%2.83%-41.78%
58
Neutral
$314.57M10.437.20%-0.18%63.89%
51
Neutral
$889.35M-7.15212.18%1.98%-1806.09%
* Communication Services Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
NXDR
Nextdoor Holdings
2.55
0.65
34.21%
GRPN
Groupon
22.15
-8.19
-26.99%
YELP
Yelp
23.64
-8.37
-26.15%
EVER
EverQuote
24.60
0.50
2.07%
FVRR
Fiverr International
8.66
-13.52
-60.96%
MAX
MediaAlpha
12.84
2.39
22.87%

Nextdoor Holdings Corporate Events

Executive/Board ChangesShareholder Meetings
Nextdoor Holdings Shareholders Approve Proposals at 2026 Meeting
Positive
Jun 15, 2026
On June 9, 2026, Nextdoor Holdings, Inc. held its 2026 Annual Meeting of Stockholders virtually, with holders of shares representing 1,370,265,471 votes present, constituting a quorum and reflecting high shareholder participation in corporate gove...
Business Operations and StrategyStock BuybackFinancial Disclosures
Nextdoor Announces New $100 Million Share Repurchase Program
Positive
May 6, 2026
On May 6, 2026, Nextdoor’s board approved a share repurchase program authorizing the buyback of up to $100 million of Class A common stock through June 30, 2028, with purchases made at management’s discretion in compliance with securit...
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 06, 2026