Quinstreet (QNST) AI Stock Analysis

• Market Cap: $846.88M
• Dividend Yield: N/A
• Average Volume (3M): 594.06K
• Price to Earnings (P/E): 193.0
• Beta (1Y): 0.98
• Revenue Growth: 78.27%
• EPS Growth: N/A
• Country: US
• Employees: 899
• Sector: Communication Services
• Sector Strength: 86
• Industry: Advertising Agencies
• EPS (TTM): 0.25
• Shares Outstanding: 56,951,923
• 10 Day Avg. Volume: 700,857
• 30 Day Avg. Volume: 594,063
• 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: 1.00
• Enterprise Value/Revenue: 0.77
• Enterprise Value/Gross Profit: 7.61
• Enterprise Value/Ebitda: 27.64
• 1Y Price Target: $23.00
• Price Target Upside: 52.62% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 5

• Rating: 64 Neutral
• Price Target: $16.00 ▲(6.17% Upside)

Quinstreet's strong financial performance and positive earnings call outlook are offset by technical indicators suggesting bearish momentum and a high P/E ratio indicating overvaluation. The company's financial stability and growth potential are promising, but market sentiment and valuation concerns weigh on the overall score.

Positive Factors

Carrier Client Spending

The company noted that it had a record number of carrier clients spending over $1 million per month with the company.

Digital Advertising Budgets

The broader trends of increased budgets on digital advertising suggest the company can see improved spend with an increased diversification of client spend.

Insurance Ad Spend Recovery

Revenues for the financial services vertical increased by more than 36% to $186.6 million, largely driven by the continued recovery in insurance ad spend.

Negative Factors

Guidance Below Consensus

Fiscal first-quarter guidance of $280 million of revenue and $20 million of adjusted EBITDA were below consensus.

Sequential Growth Slowdown

The sequential slowdown in growth is a function of the more challenging comp, as well as some carrier uncertainty on expenses.

Quinstreet Business Overview & Revenue Model

Company Description

QuinStreet, Inc. is a prominent digital marketing and media company that specializes in performance-based customer acquisition. Founded in 1999 and headquartered in Foster City, California, the company serves clients across various sectors, including financial services, education, home services, and business-to-business technology. QuinStreet provides innovative marketing solutions and data-driven insights to help businesses target and acquire new customers effectively.

How the Company Makes Money

QuinStreet makes money primarily through performance marketing and lead generation services. The company operates a robust network of websites and online media properties that attract targeted audiences for its clients. QuinStreet generates revenue by delivering qualified leads or clicks to its clients, who pay based on the performance of these leads, such as cost-per-click (CPC), cost-per-lead (CPL), or cost-per-action (CPA). Significant partnerships with major brands and the company's proprietary technology platforms contribute to its ability to deliver high-quality and scalable marketing solutions, thus driving its earnings.

Quinstreet Financial Statement Overview

Summary

Quinstreet demonstrates a solid recovery in revenue growth and cash flow generation, although profitability margins remain a concern. The company's low leverage and strong equity position provide financial stability, while improvements in cash flow metrics highlight operational efficiency. Continued focus on enhancing profitability will be crucial for sustained financial health.

Income Statement

Quinstreet has shown a positive revenue growth rate of 6.19% in the most recent year, indicating a recovery from previous declines. However, the company has struggled with profitability, as evidenced by a low gross profit margin of 10.14% and a net profit margin of 0.43%. The EBIT and EBITDA margins have improved but remain relatively low, suggesting ongoing challenges in operational efficiency.

Balance Sheet

The balance sheet reflects a stable financial position with a low debt-to-equity ratio of 0.03, indicating minimal leverage. Return on equity has improved to 1.93%, showing a positive trend, but remains modest. The equity ratio is healthy at 56.61%, suggesting a strong capital structure.

Cash Flow

Cash flow performance is strong, with a significant free cash flow growth rate of 29.36%. The operating cash flow to net income ratio is robust at 18.06, indicating efficient cash generation relative to net income. Free cash flow to net income is also favorable, reflecting good cash conversion.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	1.09B	1.09B	613.51M	580.62M	582.10M	578.49M
Gross Profit	110.87M	110.87M	46.25M	48.52M	53.73M	70.53M
EBITDA	30.54M	30.54M	-5.76M	-2.50M	11.23M	46.01M
Net Income	4.71M	4.71M	-31.33M	-68.87M	-5.25M	23.55M
Balance Sheet
Total Assets	431.11M	431.11M	368.55M	337.15M	419.91M	449.92M
Cash, Cash Equivalents and Short-Term Investments	101.08M	101.08M	50.49M	73.68M	96.44M	110.32M
Total Debt	7.38M	7.38M	10.97M	4.58M	3.86M	8.54M
Total Liabilities	187.06M	187.06M	151.72M	107.35M	133.91M	154.37M
Stockholders Equity	244.04M	244.04M	216.82M	229.80M	286.00M	295.55M
Cash Flow
Free Cash Flow	80.53M	82.91M	6.69M	-3.17M	21.16M	45.52M
Operating Cash Flow	84.98M	84.98M	12.04M	11.84M	28.67M	50.62M
Investing Cash Flow	-11.44M	-11.44M	-22.73M	-15.13M	-9.22M	-36.46M
Financing Cash Flow	-23.00M	-23.00M	-12.51M	-19.46M	-33.31M	-11.31M

Quinstreet Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 15.07
• 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 QNST, the sentiment is Negative. The current price of 15.07 is below the 20-day moving average (MA) of 15.70, below the 50-day MA of 15.71, and below the 200-day MA of 18.72, indicating a bearish trend. The MACD of -0.29 indicates Positive momentum. The RSI at 44.65 is Neutral, neither overbought nor oversold. The STOCH value of 42.41 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for QNST.

Quinstreet Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IAS	78 Outperform	$1.49B	25.99	5.52%	―	14.39%	1946.11%
CRTO	74 Outperform	$1.35B	10.11	12.79%	―	-0.40%	36.44%
MGNI	74 Outperform	$3.11B	77.69	5.82%	―	5.52%	―
NEXN	70 Outperform	$656.07M	12.01	9.91%	―	9.65%	―
QNST	64 Neutral	$846.88M	192.98	2.04%	―	78.27%	―
EEX	64 Neutral	$962.15M	121.80	1.98%	1.21%	9.96%	―
Sector *	60 Neutral	$42.79B	1.96	-11.10%	4.01%	1.89%	-41.77%