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Thryv Holdings (THRY)
NASDAQ:THRY
US Market

Thryv Holdings (THRY) AI Stock Analysis

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Thryv Holdings

(NASDAQ:THRY)

Rating:54Neutral
Price Target:
$13.50
▲(4.73%Upside)
The overall stock score of 54 reflects significant challenges in financial performance and valuation, offset by strong earnings call results highlighting growth in the SaaS segment. Technical indicators suggest limited momentum, and the lack of profitability impacts valuation negatively. The company's strategic transition to SaaS presents growth potential, but macroeconomic uncertainties and operational inefficiencies pose risks.
Positive Factors
Financial Performance
Shares are undervalued and are approaching an inflection point as the SaaS business becomes the dominant driver of financial results.
Growth Drivers
Cross-sell, vertical solutions expansion through Keap, and go-to-market updates will be growth drivers for Thryv.
Profitability
The growing SaaS business remains unchanged in estimates and shows good growth prospects with increasing profitability.
Negative Factors
Revenue Decline
The updated 2026 estimates reflect a light year for print directories due to the longer circulation time, leading to a significant decline in revenue.
Revenue Recognition
Thryv’s legacy marketing services business will have its directories printed every 24 months, which could impact revenue recognition negatively.
Software Revenue Guidance
Shares are likely reacting to the lowered full-year software revenue guidance (cut by $3.5 million, or less than 1%), which management cut out of an abundance of caution.

Thryv Holdings (THRY) vs. SPDR S&P 500 ETF (SPY)

Thryv Holdings Business Overview & Revenue Model

Company DescriptionThryv Holdings, Inc. provides digital marketing solutions and cloud-based tools to the small-to-medium sized businesses (SMBs). It operates through three segments: SaaS (Software as a Service), Marketing Services, and Thryv International. The company provides Thryv, an SMB end-to-end customer experience platform; Hub by Thryv, a solution for franchisors to offer real time oversight and day-to-day management of multiple locations; Thryv Leads, an integrated local marketing and lead generation solution, as well as related services; and ThryvPay, a payment solution that allows users to get paid through credit card and ACH. It also offers print and digital solutions, including the company's print yellow pages; internet yellow pages, such as yellowpages.com, superpages.com, dexknows.com, and extended search solutions; search engine marketing solutions; and other digital media solutions, including online display and social advertising, online presence and video, and search engine optimization tools. The company was formerly known as Dex Media Holdings, Inc. and changed its name to Thryv Holdings, Inc. in July 2019. Thryv Holdings, Inc. is based in DFW Airport, Texas.
How the Company Makes MoneyThryv Holdings generates revenue primarily through the sale of its software-as-a-service (SaaS) solutions, which are offered on a subscription basis. This includes recurring revenue from its CRM and marketing automation tools, which businesses pay for monthly or annually. Additionally, Thryv earns money through its digital marketing services, which help businesses improve their online visibility and customer outreach. Key revenue streams include subscription fees, service fees for marketing solutions, and additional charges for premium features or custom services. Strategic partnerships with other technology providers and digital platforms also play a role in enhancing Thryv's service offerings and expanding its market reach, contributing to its overall revenue.

Thryv Holdings Earnings Call Summary

Earnings Call Date:May 01, 2025
(Q1-2025)
|
% Change Since: -5.91%|
Next Earnings Date:Jul 31, 2025
Earnings Call Sentiment Positive
The earnings call highlighted strong revenue growth, successful SaaS transition, and positive customer engagement, particularly with the Keap acquisition. However, there were notable challenges in the Marketing Services segment and an increased cautious financial outlook due to macroeconomic uncertainties.
Q1-2025 Updates
Positive Updates
Significant Revenue Growth
Thryv reported a 50% year-over-year revenue growth in Q1 2025. When normalized for the Keap acquisition, this growth was 24%.
SaaS Transformation Milestone
SaaS revenue accounted for 61% of total revenue, marking a significant transition towards a SaaS business model.
Subscriber and ARPU Growth
Subscriber growth was 37%, bringing the total to 96,000, or 111,000 when including Keap subscribers. ARPU increased to $335, and retention rates are solid, with a net revenue retention rate of 103%.
Successful Keap Acquisition
Keap contributed $18.9 million in Q1 revenue, and the acquisition is progressing well, with partners showing interest in the full Thryv product catalog.
Improved Adjusted EBITDA
Total SaaS adjusted EBITDA increased to $10.8 million, with an adjusted EBITDA margin of 10%.
Negative Updates
Decline in Marketing Services
Marketing Services revenue was $70.2 million, with billings reflecting a 42% year-over-year decline as the company transitions to SaaS.
Increased Net Debt
Net debt was reported at $298 million, with leverage ratio at 2.2 times net debt to EBITDA, due to planned upfront payments and other factors.
Cautious Outlook for 2025
The company adjusted its guidance for the year, citing economic uncertainty and potential macroeconomic challenges.
Company Guidance
During Thryv's first quarter 2025 earnings call, the company reported a strong performance with a 50% year-over-year revenue growth and a 24% growth when normalized for the Keap acquisition. SaaS revenue now constitutes 61% of Thryv's total revenue, marking a significant shift towards a software-as-a-service (SaaS) business model. The SaaS EBITDA margin expanded to 10%, and the average revenue per user (ARPU) increased to $335 per month. The company achieved a net revenue retention rate of 103%, reflecting solid customer engagement and retention. Thryv's subscriber base grew by 37% year-over-year, reaching a total of 111,000 subscribers when including Keap. Looking ahead, Thryv provided guidance for the second quarter, expecting SaaS revenue between $113 million to $115 million and full-year SaaS revenue ranging from $460.5 million to $471 million. The company expects SaaS adjusted EBITDA for the year to be between $67 million and $71 million, implying a 15% adjusted EBITDA margin.

Thryv Holdings Financial Statement Overview

Summary
Thryv Holdings faces significant financial challenges with declining revenues and consistent losses impacting profitability. The balance sheet shows moderate risk with manageable debt levels, but reliance on liabilities and declining equity are concerning. However, cash flow generation remains relatively strong, providing some operational stability.
Income Statement
45
Neutral
Thryv Holdings has seen a significant decline in revenue over recent years, with a negative trend in revenue growth. The gross profit margin has been relatively stable, but the company struggles with negative EBIT and EBITDA margins, indicating operational inefficiencies. The consistent net losses further highlight profitability issues, reflecting challenges in cost management and revenue generation.
Balance Sheet
55
Neutral
The company's balance sheet shows a moderate debt-to-equity ratio, suggesting a balanced approach to leveraging. However, the declining stockholders' equity and total assets over the years raise concerns about asset utilization and shareholder value. The equity ratio has decreased, indicating a reliance on liabilities for funding, which may pose risks if revenue does not stabilize.
Cash Flow
60
Neutral
The cash flow statement reveals a stable operating cash flow, though free cash flow has fluctuated. The operating cash flow to net income ratio is strong, indicating good cash flow generation despite net losses. However, the free cash flow growth rate is inconsistent, which could affect future investment and debt servicing capabilities.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue771.90M824.16M916.96M1.20B1.11B1.11B
Gross Profit502.88M537.24M578.25M780.38M705.34M742.74M
EBITDA-11.21M33.56M-135.56M247.77M306.16M256.30M
Net Income-103.01M-74.22M-259.30M54.35M101.58M149.22M
Balance Sheet
Total Assets703.73M712.16M783.17M1.18B1.30B1.21B
Cash, Cash Equivalents and Short-Term Investments10.99M16.31M18.22M16.03M11.26M2.41M
Total Debt298.99M284.34M348.90M469.81M562.48M583.20M
Total Liabilities510.50M515.25M630.47M795.61M985.79M1.02B
Stockholders Equity193.23M196.92M152.70M382.27M314.71M196.78M
Cash Flow
Free Cash Flow65.25M56.25M114.83M119.34M143.72M205.01M
Operating Cash Flow73.86M89.78M148.23M148.57M170.57M232.77M
Investing Cash Flow-110.37M-110.42M-42.52M-52.03M-196.57M-26.21M
Financing Cash Flow33.05M19.22M-103.49M-91.10M39.09M-206.07M

Thryv Holdings Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price12.89
Price Trends
50DMA
13.28
Negative
100DMA
14.26
Negative
200DMA
15.19
Negative
Market Momentum
MACD
-0.26
Negative
RSI
50.74
Neutral
STOCH
75.52
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For THRY, the sentiment is Neutral. The current price of 12.89 is above the 20-day moving average (MA) of 12.81, below the 50-day MA of 13.28, and below the 200-day MA of 15.19, indicating a neutral trend. The MACD of -0.26 indicates Negative momentum. The RSI at 50.74 is Neutral, neither overbought nor oversold. The STOCH value of 75.52 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for THRY.

Thryv Holdings Risk Analysis

Thryv Holdings disclosed 74 risk factors in its most recent earnings report. Thryv 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

Thryv Holdings Peers Comparison

Overall Rating
UnderperformOutperform
Sector (66)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
75
Outperform
$886.92M23.8332.17%113.43%
71
Outperform
$704.02M18.407.07%6.61%10.30%-57.87%
67
Neutral
$803.30M16.045.05%-16.79%
66
Neutral
£1.91B10.30-3.58%3.60%3.34%-85.67%
54
Neutral
$563.79M-51.21%-14.71%66.24%
52
Neutral
$61.32M-39.21%22.98%69.10%
51
Neutral
$619.79M-18.77%12.01%35.71%
* Communication Services Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
THRY
Thryv Holdings
12.89
-3.96
-23.50%
ANGI
Angi
16.74
-1.96
-10.48%
SSTK
Shutterstock
19.97
-13.32
-40.01%
EVER
EverQuote
24.53
2.62
11.96%
KIND
Nextdoor Holdings
1.62
-1.05
-39.33%
PODC
Courtside Group Inc
2.33
0.93
66.43%

Thryv Holdings Corporate Events

Executive/Board ChangesShareholder Meetings
Thryv Holdings Elects New Directors at Annual Meeting
Neutral
Jun 17, 2025

At the annual meeting of stockholders on June 12, 2025, Thryv Holdings, Inc. elected two Class II directors, Ryan O’Hara and Lou Orfanos, to its Board of Directors for a three-year term. Additionally, stockholders ratified the appointment of Grant Thornton LLP as the independent registered public accounting firm for 2025, approved executive compensation on a non-binding basis, and voted to amend the company’s certificate of incorporation to adjust voting requirements for certain future amendments.

The most recent analyst rating on (THRY) stock is a Buy with a $25.00 price target. To see the full list of analyst forecasts on Thryv Holdings stock, see the THRY Stock Forecast page.

Business Operations and StrategyFinancial Disclosures
Thryv Holdings Reports Strong Q1 2025 SaaS Growth
Positive
May 1, 2025

In the first quarter of 2025, Thryv Holdings reported a 50% year-over-year increase in SaaS revenue, which now accounts for over 60% of its total revenue. The company exceeded its guidance for the quarter, highlighting its strategic transformation into a premier SMB software business. Despite a consolidated net loss of $9.6 million, Thryv achieved a record seasoned net revenue retention of 103%, driven by upselling and cross-selling efforts. The company’s focus on expanding its product-led strategy and entering new verticals is expected to foster continued growth and profitability.

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: Jun 13, 2025