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Urgent.ly Inc (ULY)
:ULY
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Urgent.ly Inc (ULY) AI Stock Analysis

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ULY

Urgent.ly Inc

(NASDAQ:ULY)

Rating:41Neutral
Price Target:
$4.50
▲(14.50% Upside)
Urgent.ly Inc's overall stock score is primarily impacted by its poor financial performance, characterized by declining revenues, negative profitability, and high leverage. Technical analysis indicates a bearish trend with weak momentum. Valuation metrics are unattractive due to negative earnings and no dividend yield. While the earnings call showed some operational improvements, they are overshadowed by significant financial challenges.
Positive Factors
Business Growth
ULY looks primed to win new business and grow revenues when weighing technological advantages vs peers and contract wins.
Operational Performance
ULY is outperforming margin and operating expense leverage expectations.
Negative Factors
Growth Trajectory
The trajectory of growth continues to flatten, and growth assumptions are lowered due to lower revenue guidance.
Revenue Challenges
ULY is battling known revenue headwinds from client losses.

Urgent.ly Inc (ULY) vs. SPDR S&P 500 ETF (SPY)

Urgent.ly Inc Business Overview & Revenue Model

Company DescriptionUrgent.ly Inc. designs and develops a mobility assistance software platform for roadside assistance. Its services include car lockout, tire changes, towing, stuck in ditch and winch services, motorcycle towing, electric vehicle towing, jump start, and gas delivery. The company's software platform combines location-based services, real-time data, AI and machine-to-machine communication to provide roadside assistance solutions. It serves automotive, insurance, telematics, and other transportation-focused verticals. Urgent.ly Inc. was incorporated in 2013 and is headquartered in Vienna, Virginia.
How the Company Makes MoneyUrgent.ly makes money through a combination of service fees charged for each roadside assistance request and partnerships with automotive manufacturers, insurance companies, and fleet operators. The company's revenue model includes direct-to-consumer sales via its app, where users pay a fee for on-demand services. Additionally, Urgent.ly collaborates with corporate partners, offering integrated solutions that enhance their customer service offerings, often under a subscription or contract-based model. These partnerships provide a steady stream of revenue, as they integrate Urgent.ly's services into their own product offerings, thereby expanding Urgent.ly's reach and customer base.

Urgent.ly Inc Earnings Call Summary

Earnings Call Date:Aug 12, 2025
(Q2-2025)
|
% Change Since: |
Next Earnings Date:Nov 18, 2025
Earnings Call Sentiment Neutral
The earnings call highlighted significant improvements in non-GAAP operating loss and customer satisfaction, alongside positive developments in the insurance market and AI innovations. However, these achievements were offset by revenue declines attributed to the Otonomo business and OEM customer termination, along with existing debt levels.
Q2-2025 Updates
Positive Updates
Record Non-GAAP Operating Loss Improvement
Non-GAAP operating loss improved by 97%, reaching approximately $200,000 compared to $6.2 million in the prior year period, surpassing the guidance of about $500,000.
Positive Momentum in Insurance Market
Signed a new contract with a premium insurance provider and are in contract negotiations with two additional insurance providers, along with a new contract with an EV manufacturer.
Strong Customer Satisfaction
Customer satisfaction score reached an all-time high of 4.7 out of 5 stars in the second quarter of 2025.
Gross Margin Improvement
Achieved a gross margin of 25%, a 4-point improvement from the same period last year, driven by technology optimizations.
Launch of AI-Powered SPARK
Introduced SPARK, an AI-powered market analyzer, which significantly reduced wait times in urban areas and is being rolled out to other major cities.
Negative Updates
Revenue Decline
Revenue was $31.7 million, a decline of 8% or $3 million from the same quarter last year, primarily due to the reduction in dispatch volume from the early termination of a top 5 global OEM customer partner.
Continued Impact from Otonomo Business
The reduction in revenue was partially attributed to the Otonomo business, which also contributed to nonrecurring transaction and restructuring costs.
Debt Levels
As of June 30, 2025, Urgently had a cash balance of $4.8 million and a principal debt balance of $55.3 million.
Company Guidance
During the second quarter of 2025, Urgently achieved notable financial milestones, including a revenue of $31.7 million, marking their eighth consecutive quarter of meeting revenue guidance, and a gross margin of 25%, a 4-point improvement from the previous year. The company also reported a significant reduction in non-GAAP operating loss, achieving approximately $200,000, which surpassed their guidance of $500,000. This loss was attributed to one-time costs associated with the Otonomo business. Urgently maintained a non-GAAP operating breakeven target for the third quarter, emphasizing their ongoing focus on achieving cash flow positivity. Additionally, Urgently signed a new contract with a premium insurance provider and is in negotiations with two more, reflecting their strategic push into the insurance market. The company also launched an AI-powered market analyzer, SPARK, which has notably reduced wait times in several urban areas, enhancing customer satisfaction to an all-time high of 4.7 out of 5 stars.

Urgent.ly Inc Financial Statement Overview

Summary
Urgent.ly Inc faces significant financial challenges with declining revenues, negative profitability, and high leverage. The negative equity and consistent cash flow deficits highlight financial distress. The company needs to improve its operational efficiency and financial management to stabilize and grow.
Income Statement
40
Negative
Urgent.ly Inc has experienced fluctuating revenues, with a decline in 2024 compared to 2023. The gross profit margin improved from 10.24% in 2022 to 22.10% in 2023 but decreased to 22.09% in 2024. The company has been unprofitable, with negative net income and EBIT margins in all years, indicating challenges in achieving profitability.
Balance Sheet
30
Negative
The company shows negative stockholders' equity, indicating financial instability. The debt-to-equity ratio is not meaningful due to negative equity, but high total debt suggests significant leverage. Return on equity is negative due to consistent net losses. Equity ratio remained negative, highlighting potential financial distress.
Cash Flow
35
Negative
Operating cash flow has been consistently negative, reflecting cash outflows from operations. Free cash flow is also negative, although there was a reduction in cash outflow in 2024. The company struggles to generate positive cash flow, which could affect its liquidity and ability to fund operations.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue134.09M142.91M184.65M187.59M148.51M
Gross Profit30.20M31.56M37.88M20.15M8.41M
EBITDA-17.32M-23.71M121.05M-63.56M-52.38M
Net Income-36.50M-44.03M74.73M-95.98M-56.34M
Balance Sheet
Total Assets46.43M54.07M121.19M46.94M67.81M
Cash, Cash Equivalents and Short-Term Investments6.29M14.05M69.05M6.36M30.16M
Total Debt54.36M55.05M72.02M102.30M86.17M
Total Liabilities82.51M85.74M111.59M228.11M188.38M
Stockholders Equity-36.08M-31.67M9.60M-181.17M-120.57M
Cash Flow
Free Cash Flow-31.94M-32.36M-65.29M-54.45M-57.57M
Operating Cash Flow-26.24M-30.79M-65.14M-54.24M-57.21M
Investing Cash Flow-231.00K24.70M81.77M-208.00K-356.00K
Financing Cash Flow-1.40M-18.07M14.40M30.65M78.05M

Urgent.ly Inc Technical Analysis

Technical Analysis Sentiment
Negative
Last Price3.93
Price Trends
50DMA
5.66
Negative
100DMA
6.14
Negative
200DMA
5.99
Negative
Market Momentum
MACD
-0.43
Positive
RSI
33.76
Neutral
STOCH
11.15
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ULY, the sentiment is Negative. The current price of 3.93 is below the 20-day moving average (MA) of 4.57, below the 50-day MA of 5.66, and below the 200-day MA of 5.99, indicating a bearish trend. The MACD of -0.43 indicates Positive momentum. The RSI at 33.76 is Neutral, neither overbought nor oversold. The STOCH value of 11.15 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for ULY.

Urgent.ly Inc Risk Analysis

Urgent.ly Inc disclosed 62 risk factors in its most recent earnings report. Urgent.ly Inc 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 1 New Risks
1.
A sale of a significant portion of our total outstanding shares into the market may cause the market price of our common stock to drop significantly, even if our business is doing well. Q2, 2025

Urgent.ly Inc Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
61
Neutral
$35.52B8.84-11.06%1.87%8.55%-8.14%
46
Neutral
$18.60M
41
Neutral
$5.48M0.07
-20.81%-139.45%
41
Neutral
$6.72M-127.37%136.36%28.66%
40
Underperform
$302.49K
-29.08%-45.89%
40
Underperform
$7.82M230.42%3.69%-50.95%
$11.10M
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
ULY
Urgent.ly Inc
3.93
-6.87
-63.61%
PETXQ
Wag! Group
0.05
-0.74
-93.67%
NVNI
Nvni Group
0.54
-0.49
-47.57%
ELWS
Earlyworks Co., Ltd. Sponsored ADR
2.10
-0.20
-8.70%
RYDE
Ryde Group Limited Class A
0.28
-20.00
-98.62%
WCT
Wellchange Holdings Company Limited
0.21
-3.77
-94.72%

Urgent.ly Inc Corporate Events

Executive/Board Changes
Urgent.ly Inc CFO Departs, CEO Takes Financial Role
Neutral
Aug 8, 2025

On August 5, 2025, Michael H. Port, the Chief Financial Officer of Urgent.ly Inc, separated from the company without cause. Following his departure, the board appointed CEO Matthew Booth as the principal financial officer and Andrea Makkai as the principal accounting officer. These changes are expected to maintain continuity in the company’s financial management and operations.

Executive/Board ChangesM&A Transactions
Urgent.ly Inc Board Member Resigns Amid Integration
Neutral
Jul 23, 2025

On July 17, 2025, Benjamin Volkow announced his resignation from the Board of Directors of Urgent.ly Inc., effective September 30, 2025, to pursue other opportunities after the company’s integration of Otonomo Technologies Ltd. His departure is not due to any disagreements, and the company appreciates his contributions.

Executive/Board ChangesPrivate Placements and Financing
Urgent.ly Inc Launches ‘At the Market’ Offering Program
Neutral
Jul 11, 2025

On July 11, 2025, Urgent.ly Inc. initiated an ‘at the market’ offering program by entering into a Sales Agreement with A.G.P./Alliance Global Partners, allowing the sale of shares worth up to $4,025,821. The proceeds are intended for working capital and general corporate purposes, with the sales to be conducted through Nasdaq or other trading markets. Additionally, following the resignation of CFO Timothy C. Huffmyer effective June 6, 2025, Urgent.ly Inc. entered into an Advisor Agreement with him to provide transitional services until October 31, 2025.

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: Aug 21, 2025