Progyny (PGNY) AI Stock Analysis

• Market Cap: $1.88B
• Dividend Yield: N/A
• Average Volume (3M): 1.02M
• Price to Earnings (P/E): 38.7
• Beta (1Y): 0.82
• Revenue Growth: 9.47%
• EPS Growth: -7.81%
• Country: US
• Employees: 675
• Sector: Healthcare
• Sector Strength: 42
• Industry: Medical - Healthcare Information Services
• EPS (TTM): 0.17
• Shares Outstanding: 85,718,025
• 10 Day Avg. Volume: 1,203,608
• 30 Day Avg. Volume: 1,020,093
• PEG Ratio: -1.71
• Price to Book (P/B): 7.62
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 37.22
• Enterprise Value/Market Cap: 1.47
• Enterprise Value/Revenue: 0.59
• Enterprise Value/Gross Profit: 10.34
• Enterprise Value/Ebitda: 9.65
• 1Y Price Target: $27.25
• Price Target Upside: 24.37% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 6

• Rating: 74 Outperform
• Price Target: $23.50 ▲(7.26%Upside)

Progyny's strong financial performance is the most significant factor, showcasing robust growth and effective management. The positive outlook from the earnings call adds to this strength, despite some technical weaknesses and a high valuation. The absence of corporate events maintains focus on these primary factors.

Positive Factors

Financial Performance

Progyny posted a second consecutive quarter of solid results well ahead of analyst and consensus estimates.

Market Demand

Management highlighted that the pace of births for individuals above the age of 30 has increased, indicating a growing market demand.

Market Position

The company is making investments to integrate acquisitions and improve member experience, which should solidify its leadership position.

Negative Factors

Macro-economic Concerns

Management noted unexpected variability seen in 2024 and macro-economic uncertainty, which has led to a more cautious approach to the outlook.

Operating Model

There is an inherently low level of visibility in the PGNY operating model.

Uncertainty

Continuation services for Amazon customers are expected to contribute more revenue, creating noise and uncertainty.

Progyny Business Overview & Revenue Model

Company Description

Progyny, Inc. is a leading fertility benefits management company headquartered in the United States. It operates within the healthcare services sector, providing comprehensive fertility solutions to large self-insured employers. Progyny's core product is its fertility benefits plan, which integrates superior clinical solutions with a member-centric approach. The company aims to improve outcomes, reduce healthcare costs, and provide a better experience for those seeking fertility-related services.

How the Company Makes Money

Progyny makes money primarily through the provision of fertility benefit plans to employers. Its revenue model is based on contracts with employers who pay Progyny to manage and administer fertility benefits for their employees. These contracts typically involve a per-member-per-month fee structure, which provides a recurring revenue stream. Additionally, Progyny earns fees related to the usage of its services, which include access to a network of fertility specialists, personalized support, and advanced fertility treatments. The company also forms strategic partnerships with healthcare providers and leverages its data-driven approach to improve clinical outcomes and cost efficiencies, further enhancing its value proposition to clients.

Progyny Financial Statement Overview

Summary

Progyny exhibits strong financial performance with significant revenue growth, a robust balance sheet, and effective cash flow management. The company demonstrates outstanding revenue growth and profitability, a prudent capital structure, and strong cash generation capabilities.

Income Statement

Progyny demonstrates strong revenue growth with a significant increase in total revenue from $786.91M in 2022 to $1.21B in TTM (Trailing-Twelve-Months), marking a 54% growth rate over this period. The gross profit margin remains robust at approximately 22%, and the net profit margin is healthy at 4.33% for TTM. The EBIT and EBITDA margins are stable, reflecting operational efficiency. Overall, the company shows strong revenue growth and profitability.

Balance Sheet

Progyny maintains a solid financial position with a low debt-to-equity ratio of 0.06 in TTM, indicating low financial leverage. The return on equity (ROE) stands at 11.23%, showcasing effective use of shareholder funds. The equity ratio is strong at 64%, indicating a healthy balance between debt and equity financing. The company’s balance sheet reflects stability and financial health with manageable liabilities.

Cash Flow

Progyny demonstrates strong cash flow performance with a free cash flow growth rate of 12.73% from 2024 to TTM. The operating cash flow to net income ratio is high at 3.87, indicating excellent cash conversion efficiency. The free cash flow to net income ratio is also favorable at 3.73, highlighting robust cash generation relative to net income. Overall, the cash flow position is strong, supporting the company's growth initiatives.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.21B	1.17B	1.09B	786.91M	500.62M	344.86M
Gross Profit	266.75M	253.36M	238.80M	167.32M	112.14M	70.06M
EBITDA	74.72M	67.45M	64.47M	24.94M	33.64M	10.25M
Net Income	52.50M	54.34M	62.04M	30.36M	65.77M	46.46M
Balance Sheet
Total Assets	730.28M	607.10M	756.62M	542.99M	358.06M	253.93M
Cash, Cash Equivalents and Short-Term Investments	256.12M	227.95M	371.09M	189.30M	119.42M	109.30M
Total Debt	26.00M	19.27M	19.39M	7.71M	7.42M	8.32M
Total Liabilities	263.13M	185.04M	203.19M	166.02M	106.24M	86.98M
Stockholders Equity	467.16M	422.06M	553.43M	376.97M	251.82M	166.95M
Cash Flow
Free Cash Flow	195.78M	173.70M	185.17M	77.15M	23.91M	35.17M
Operating Cash Flow	203.18M	179.10M	188.81M	80.39M	26.04M	36.20M
Investing Cash Flow	81.84M	195.79M	-200.53M	-43.87M	8.77M	-40.03M
Financing Cash Flow	-285.76M	-309.88M	-11.07M	-7.86M	-13.70M	-6.25M

Progyny Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 21.91
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For PGNY, the sentiment is Positive. The current price of 21.91 is above the 20-day moving average (MA) of 21.49, above the 50-day MA of 21.84, and above the 200-day MA of 19.62, indicating a bullish trend. The MACD of -0.11 indicates Negative momentum. The RSI at 54.07 is Neutral, neither overbought nor oversold. The STOCH value of 59.26 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for PGNY.

Progyny Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PINC	76 Outperform	$1.78B	37.85	6.05%	3.89%	-17.69%	-10.24%
PGNY	74 Outperform	$1.88B	38.67	10.11%	―	9.47%	-7.81%
PHR	71 Outperform	$1.70B	―	-15.97%	―	16.29%	66.01%
GDRX	68 Neutral	$1.75B	65.95	4.43%	―	4.35%	―
SDGR	59 Neutral	$1.51B	―	-43.33%	―	22.29%	-32.89%
TDOC	54 Neutral	$1.48B	―	-54.49%	―	-2.54%	-322.03%
Sector *	51 Neutral	$7.41B	0.36	-61.88%	2.33%	16.99%	1.69%

Progyny Corporate Events

Progyny Stockholders Meeting Highlights Governance Decisions

On May 22, 2025, Progyny, Inc. held its Annual Meeting of Stockholders where key decisions were made regarding the company’s governance and financial oversight. Stockholders elected Class III directors, ratified Ernst & Young LLP as the independent accounting firm, but did not approve the executive compensation package, indicating potential concerns among stakeholders about executive pay.

The most recent analyst rating on (PGNY) stock is a Buy with a $30.00 price target. To see the full list of analyst forecasts on Progyny stock, see the PGNY Stock Forecast page.

Progyny Director Fred Cohen to Step Down

On April 9, 2025, Dr. Fred E. Cohen informed Progyny, Inc. that he will not seek reelection at the company’s 2025 Annual Meeting of Stockholders. His decision is not due to any disagreement with the company’s operations, policies, or practices, and he will remain a director until the end of his current term.