thredUP (TDUP) AI Stock Analysis

• Market Cap: $881.00M
• Dividend Yield: N/A
• Average Volume (3M): 1.83M
• Price to Earnings (P/E): ―
• Beta (1Y): 3.26
• Revenue Growth: -4.90%
• EPS Growth: 50.77%
• Country: US
• Employees: 1,630
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Specialty Retail
• EPS (TTM): -0.03
• Shares Outstanding: 104,273,160
• 10 Day Avg. Volume: 2,070,738
• 30 Day Avg. Volume: 1,832,840
• PEG Ratio: -1.37
• Price to Book (P/B): 2.76
• Price to Sales (P/S): 0.60
• P/FCF Ratio: -92.58
• Enterprise Value/Market Cap: 1.33
• Enterprise Value/Revenue: 4.54
• Enterprise Value/Gross Profit: 5.24
• Enterprise Value/Ebitda: 72.16
• 1Y Price Target: $12.50
• Price Target Upside: 77.56% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 6
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 45 Neutral
• Price Target: $7.00 ▼(-0.57% Downside)

thredUP's overall stock score is primarily influenced by its financial performance and technical analysis. The company's strong gross profit margins and cash flow improvements are overshadowed by ongoing profitability challenges and bearish technical indicators. The negative P/E ratio further impacts the valuation, leading to a cautious outlook.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong market demand and effective business strategies, enhancing long-term financial stability.

New Customer Acquisition

Record customer acquisition suggests expanding market reach and brand appeal, supporting future revenue streams and market position.

AI-Driven Innovations

AI-driven innovations enhance user experience and operational efficiency, potentially increasing customer engagement and sales.

Negative Factors

Profitability Challenges

Ongoing profitability issues can hinder reinvestment and growth, posing risks to long-term financial health and investor confidence.

Competitive Pressure

Intense competition in the peer-to-peer market may impact market share and pricing power, affecting revenue and profitability.

Macroeconomic Concerns

Macroeconomic pressures could reduce consumer spending, impacting sales and revenue growth, especially during key retail periods.

thredUP Business Overview & Revenue Model

Company Description

thredUP (TDUP) is an online consignment and thrift store that specializes in secondhand clothing, primarily targeting women and children. Founded in 2009, thredUP operates in the e-commerce sector and focuses on promoting sustainable fashion by providing a platform for individuals to buy and sell high-quality, pre-owned apparel. The company offers a wide range of products, including clothes, shoes, and accessories, from various popular brands, making it a go-to destination for eco-conscious shoppers looking for affordable fashion options.

How the Company Makes Money

thredUP generates revenue through several key streams, primarily by selling secondhand clothing and accessories on its online platform. The company operates a consignment model where individuals send in their gently used items, which thredUP then inspects, cleans, and lists for sale. It takes a commission from the sale of these items, which constitutes a significant portion of its revenue. Additionally, thredUP offers a subscription service called 'thredUP's Closet Cleanout,' where customers can receive a prepaid shipping kit to send in their items for resale. The company also partners with brands and retailers to facilitate the resale of their unsold inventory, creating a circular economy that benefits both the brands and thredUP. Furthermore, thredUP has explored collaborations and partnerships with various companies to expand its reach and enhance its offerings, contributing to its overall earnings.

thredUP Financial Statement Overview

Summary

thredUP shows strong gross profit margins and improvements in cash flow, but faces challenges with profitability and leverage, as indicated by negative net profit margins and return on equity.

Income Statement

thredUP's income statement shows a mixed performance. The company has a strong gross profit margin of 85.64% in the TTM, indicating efficient cost management. However, the net profit margin remains negative at -22.78%, reflecting ongoing losses. Revenue growth is modest at 3.66% TTM, showing some improvement compared to the previous year. The EBIT and EBITDA margins are negative, suggesting challenges in achieving operational profitability.

Balance Sheet

The balance sheet presents a moderate risk profile. The debt-to-equity ratio improved to 0.94 TTM from 1.05 in the previous year, indicating better leverage management. However, the return on equity is negative at -94.05%, highlighting profitability issues. The equity ratio is not provided, but the overall leverage appears manageable.

Cash Flow

Cash flow analysis shows positive trends with a 28.22% growth in free cash flow TTM, indicating improved cash generation. The operating cash flow to net income ratio is 0.23, suggesting some efficiency in converting income to cash. However, the free cash flow to net income ratio is 0.39, indicating room for improvement in cash flow management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	258.78M	260.03M	258.50M	288.38M	251.79M	186.01M
Gross Profit	223.88M	207.13M	198.47M	192.34M	178.13M	128.15M
EBITDA	16.27M	-20.12M	-35.87M	-77.41M	-51.67M	-40.94M
Net Income	-36.35M	-76.99M	-71.25M	-92.28M	-63.18M	-47.88M
Balance Sheet
Total Assets	172.47M	171.22M	249.97M	301.95M	360.83M	142.91M
Cash, Cash Equivalents and Short-Term Investments	51.11M	44.18M	64.18M	104.93M	205.83M	64.48M
Total Debt	54.30M	58.84M	76.41M	84.81M	76.25M	59.68M
Total Liabilities	113.40M	114.92M	146.05M	161.95M	155.09M	365.09M
Stockholders Equity	59.07M	56.30M	103.92M	140.00M	205.73M	-222.18M
Cash Flow
Free Cash Flow	3.28M	-5.69M	-38.58M	-95.36M	-54.85M	-38.53M
Operating Cash Flow	13.24M	898.00K	-22.59M	-52.10M	-35.02M	-19.11M
Investing Cash Flow	-9.37M	-16.90M	43.68M	8.92M	-169.58M	-19.42M
Financing Cash Flow	-915.00K	-4.39M	-3.60M	-3.94M	228.96M	18.21M

thredUP Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 7.04
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TDUP, the sentiment is Negative. The current price of 7.04 is below the 20-day moving average (MA) of 7.97, below the 50-day MA of 8.85, and above the 200-day MA of 6.92, indicating a neutral trend. The MACD of -0.53 indicates Positive momentum. The RSI at 29.70 is Positive, neither overbought nor oversold. The STOCH value of 7.35 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TDUP.

thredUP Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
LQDT	72 Outperform	$856.69M	32.24	14.56%	―	31.20%	38.38%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
RERE	61 Neutral	$901.30M	25.42	7.42%	―	27.84%	―
WINA	58 Neutral	$1.49B	37.23	―	3.30%	3.35%	1.97%
ETSY	55 Neutral	$5.24B	37.12	―	―	1.98%	-20.98%
JMIA	45 Neutral	$1.21B	―	-102.25%	―	-4.38%	―
TDUP	45 Neutral	$881.00M	―	-35.37%	―	-4.90%	50.77%

thredUP Corporate Events

ThredUp Inc. Reports Record Revenue and Growth

ThredUp Inc. is a leading online resale platform specializing in apparel, shoes, and accessories, known for its innovative approach to secondhand shopping and sustainability in the fashion industry.

ThredUp’s Q3 Earnings Call: Growth & Caution

ThredUp’s Q3 2025 Earnings Call: Strong Growth Amid Economic Concerns

ThredUp’s Q2 2025 Earnings: Record Growth Amid Challenges

ThredUp’s recent earnings call painted a picture of robust growth and optimism, despite some anticipated challenges. The company reported record revenue growth and customer acquisition, largely driven by AI-led product improvements and strategic investments. While acknowledging a potential seasonal slowdown in Q4 and macroeconomic uncertainties, ThredUp remains confident in its growth trajectory and financial stability.

ThredUp Reports Strong Q2 2025 Growth

ThredUp Inc. is a leading online resale platform specializing in apparel, shoes, and accessories, leveraging technology to promote secondhand shopping and sustainability.