Progyny (PGNY) AI Stock Analysis

• Market Cap: $1.43B
• Dividend Yield: N/A
• Average Volume (3M): 1.65M
• Price to Earnings (P/E): 43.8
• Beta (1Y): 0.60
• Revenue Growth: 11.41%
• EPS Growth: 8.70%
• Country: US
• Employees: 675
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Healthcare Information Services
• EPS (TTM): 0.14
• Shares Outstanding: 81,902,230
• 10 Day Avg. Volume: 1,944,254
• 30 Day Avg. Volume: 1,650,520
• PEG Ratio: 2.45
• Price to Book (P/B): 4.24
• Price to Sales (P/S): 1.70
• P/FCF Ratio: 11.41
• Enterprise Value/Market Cap: 0.94
• Enterprise Value/Revenue: 1.04
• Enterprise Value/Gross Profit: 4.41
• Enterprise Value/Ebitda: 13.69
• 1Y Price Target: $28.13
• Price Target Upside: 60.74% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 8
• EPS Forecast (FY): 1.17
• Revenue Forecast (FY): $1.38B

• Rating: 72 Outperform
• Price Target: $19.50 ▲(11.43% Upside)
• Action: Reiterated Date: 02/28/26
• Date: Action: Reiterated 02/28/26

Overall score reflects strong financial quality (robust free cash flow and low leverage) and a constructive earnings update (raised guidance, strong renewals, and buyback), offset by weak technicals (price below major moving averages with negative MACD) and a valuation that is not particularly cheap (P/E ~27 with no dividend yield provided).

Positive Factors

Strong cash generation

Sustained OCF and FCF that exceed reported net income show high cash conversion and earnings quality. This durable cash flow funds investments, share repurchases, and product expansion, reduces financing dependence, and provides resilience through macro cycles over the next several quarters.

Conservative balance sheet / low leverage

Very low leverage and a growing equity base give Progyny durable financial flexibility. With minimal debt servicing needs, the company can invest in network growth, absorb client churn, or pursue acquisitions without compromising liquidity or raising costly external capital in stressed markets.

High client retention and expanding commercial traction

Near-perfect renewals plus meaningful new-logo and lives additions indicate stickiness of employer contracts and strong product-market fit. Durable retention and ongoing expansions underpin predictable recurring revenue and create a scalable base for cross-sell and geographic or product extension.

Negative Factors

Modest profitability margins

Mid-single-digit net margins limit internal reinvestment capacity and leave less buffer for margin compression from higher medical inflation or pricing pressure. Over a multi-quarter horizon, low incremental margins can restrain free cash flow upside relative to revenue growth.

Client concentration / large account churn risk

Dependence on a small number of large clients creates revenue volatility when contracts end or transition. Large-client churn can create quarterly lumps and complicate forecasting, requiring sustained new-logo activity to offset single-account losses over the medium term.

Slower pipeline and missed covered-lives target

Sales cadence sensitivity to macro uncertainty and employer decision timelines can delay covered-lives growth. Persistently slower pipeline conversion reduces near-term revenue momentum and makes multi-quarter growth dependent on consistent new-sales execution and product adoption.

Progyny Business Overview & Revenue Model

Company Description

Progyny, Inc., a benefits management company, specializes in fertility and family building benefits solutions for employers in the United States. Its fertility benefits solution includes differentiated benefits plan design, personalized concierge-style member support services, and selective network of fertility specialists. The company also offers Progyny Rx, an integrated pharmacy benefits solution that provides its members with access to the medications needed during their treatment. In addition, it provides surrogacy and adoption reimbursement programs for employers. The company was formerly known as Auxogyn, Inc. and changed its name to Progyny, Inc. in 2015. Progyny, Inc. was incorporated in 2008 and is headquartered in New York, New York.

How the Company Makes Money

Progyny generates revenue primarily through its fertility benefits management services, which are offered to employers as part of their employee benefits packages. The company charges employers a fee for access to its comprehensive fertility solutions, which typically includes a per-employee-per-month (PEPM) fee model. This model allows Progyny to secure predictable and recurring revenue streams. Additionally, Progyny collaborates with various healthcare providers and fertility clinics, which can also contribute to its earnings through referral agreements and service contracts. The company’s strong partnerships with employers across diverse industries further enhance its revenue potential, as it continuously expands its client base and increases the adoption of its fertility benefits solutions.

Progyny Financial Statement Overview

Summary

Strong fundamentals supported by excellent free cash flow (OCF/FCF exceeding net income in 2024–2025), very low leverage (debt-to-equity ~0.05), and solid multi-year revenue growth with improving gross margin. Profitability is positive but still relatively modest (mid-single-digit net margins), and margins are below the elevated 2020–2021 period.

Income Statement

Revenue has expanded strongly over the last several years, with continued growth in 2024 and 2025. Profitability is positive with mid-single-digit EBITDA margins and mid-single-digit net margins in 2024–2025, and gross margin has improved year over year (about 21.7% in 2024 to ~23.6% in 2025). Offsetting this, net margin is below the unusually high level seen in 2020–2021, and profitability remains relatively modest versus the company’s growth profile.

Balance Sheet

The balance sheet looks conservative: debt is very low relative to equity (debt-to-equity ~0.05 in 2024–2025), suggesting limited financial leverage risk. Equity has grown versus earlier years, supporting a stronger capital base. Return on equity remains healthy (roughly 11%–13% in 2023–2025), though it is meaningfully lower than the elevated returns posted in 2020–2021, indicating the business is now operating with more normalized profitability.

Cash Flow

Cash generation is a key strength: operating cash flow and free cash flow are both robust and exceed net income in 2024–2025, indicating strong cash conversion and earnings quality. Free cash flow stepped down in 2024 versus 2023 but rebounded sharply in 2025, and free cash flow remains consistently high relative to reported profits across the full period shown.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	1.29B	1.17B	1.09B	786.91M	500.62M
Gross Profit	304.48M	253.36M	238.80M	167.32M	112.14M
EBITDA	100.38M	70.63M	64.47M	24.94M	33.64M
Net Income	58.52M	54.34M	62.04M	30.36M	65.77M
Balance Sheet
Total Assets	742.43M	607.10M	756.62M	542.99M	358.06M
Cash, Cash Equivalents and Short-Term Investments	310.10M	227.95M	371.09M	189.30M	119.42M
Total Debt	24.00M	19.27M	19.39M	7.71M	8.65M
Total Liabilities	226.39M	185.04M	203.19M	166.02M	106.24M
Stockholders Equity	516.04M	422.06M	553.43M	376.97M	251.82M
Cash Flow
Free Cash Flow	191.78M	173.70M	185.17M	77.15M	23.91M
Operating Cash Flow	210.19M	179.10M	188.81M	80.39M	26.04M
Investing Cash Flow	-159.01M	195.79M	-200.53M	-43.87M	8.77M
Financing Cash Flow	-99.36M	-309.88M	-11.07M	-7.86M	-13.70M

Progyny Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 17.50
• 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 PGNY, the sentiment is Negative. The current price of 17.5 is below the 20-day moving average (MA) of 19.20, below the 50-day MA of 22.42, and below the 200-day MA of 22.58, indicating a bearish trend. The MACD of -1.40 indicates Positive momentum. The RSI at 30.92 is Neutral, neither overbought nor oversold. The STOCH value of 26.83 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for PGNY.

Progyny Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PGNY	72 Outperform	$1.43B	43.83	11.37%	―	11.41%	8.70%
PRVA	70 Outperform	$2.68B	126.39	0.01%	―	19.01%	38.68%
HSTM	69 Neutral	$595.93M	37.76	5.87%	0.52%	3.68%	5.62%
PHR	60 Neutral	$661.35M	78.87	-1.85%	―	14.33%	93.62%
TDOC	53 Neutral	$957.99M	-6.16	-14.24%	―	-2.37%	77.85%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
EVH	46 Neutral	$333.80M	-0.27	-69.22%	―	-16.65%	-71.92%

Progyny Corporate Events

Progyny Posts Strong Q4 Results and 2026 Growth Outlook

Progyny reported fourth-quarter 2025 revenue of $318.4 million, up 6.7% year over year, and full-year 2025 revenue of $1.29 billion, up 10%, driven by growth in clients and covered lives despite the loss of a large client under a transition-of-care agreement. Excluding that client, revenue rose 21% in the quarter and 20% for the year, while gross margin expanded, net income improved modestly to $58.5 million, and record operating cash flow of $210.2 million supported share repurchases of about 6.5 million shares and reinforced its position as a growing player in fertility and family-building benefits.

The company’s fourth-quarter 2025 gross profit increased 21% to $76.9 million, with gross margin rising to 24.1% on efficiencies in care management, and full-year gross profit climbed to $304.5 million with a 23.6% margin. Adjusted EBITDA rose to $51.4 million in the quarter and $222.1 million for the year, with stable margins, as Progyny invested in platform expansion and integration of acquisitions while issuing 2026 guidance that points to a tenth consecutive year of revenue growth and continued expansion among large employers and into the fully insured segment.

The most recent analyst rating on (PGNY) stock is a Buy with a $29.00 price target. To see the full list of analyst forecasts on Progyny stock, see the PGNY Stock Forecast page.

Progyny President’s Employment to End December 2025

Progyny, Inc. announced that the employment of its President, Michael Sturmer, will end on December 31, 2025. While the company expressed gratitude for Mr. Sturmer’s contributions over the past five years, it will not appoint a successor as it has strengthened its executive leadership team with several key appointments in recent years. To maintain continuity on strategic initiatives, Mr. Sturmer will serve as a consultant for Progyny until December 31, 2026, under a new agreement entitling him to an advisory fee and adjusted options benefits.

The most recent analyst rating on (PGNY) stock is a Buy with a $28.00 price target. To see the full list of analyst forecasts on Progyny stock, see the PGNY Stock Forecast page.