One-glance verdict
Not enough data
Fair value unavailable
Not enough cash-flow history to value this one with our method.
Fundamentals snapshot
Nerdy Inc.
NRDY · NYQ · Technology · Software - Application
Current price
$5.80
52-week range
$5.37 - $22.35
Market cap
$418.94M
Balance sheet
Healthy
-16.32x Concerning
Net cash $16.96M. Interest coverage shows how many times profit covers the interest bill.
What stands out
0 Rewards
1 Risk
0 rewards · 1 risks
View details ↓What this company does
Nerdy Inc.
Nerdy Inc. runs an online platform that connects students with tutors for live learning sessions across many subjects, like a digital classroom. Most of its money comes from parents and schools paying for these tutoring services, which helps the company grow its business by reaching more learners. This business model focuses on helping students succeed through convenient online instruction.
How the company got here
Nerdy Inc. started in 2007 as a way to connect students with tutors online. The company saw a need for more accessible and personalized learning, especially as technology advanced. Over the years, it grew by expanding its offerings beyond one-on-one tutoring to include classes and various learning tools. A key moment was the development of its AI-powered platform, designed to intelligently match students with the right educators and resources. This focus on technology has shaped Nerdy into the online learning company it is today.
What it actually does
Nerdy Inc. runs an online learning platform that uses artificial intelligence (AI) to connect people who want to learn with experts who can teach them. Think of it like a digital marketplace for education. It offers a wide range of subjects and learning styles, from individual tutoring sessions to larger online classes and self-study tools. The platform aims to make learning more personalized and effective for students of all ages, whether they are seeking help with homework, preparing for tests, or exploring new subjects.
Varsity Tutors
This is Nerdy's primary business, offering live online tutoring and classes directly to students and their families. It's like a digital after-school program where learners can find help in almost any subject, from math and science to languages and test preparation. Users pay for these services, typically on an hourly basis or through package deals, to receive personalized instruction. This segment represents the core of Nerdy's revenue, serving individual consumers seeking academic support.
Varsity Tutors for Schools
This segment focuses on providing educational solutions to schools and other institutions. Instead of individual students paying directly, school districts or educational organizations contract with Nerdy to offer tutoring and learning resources to their students. This can help schools supplement their existing programs, provide extra support for struggling students, or offer enrichment activities. Revenue in this area comes from contracts with these institutions, making it a business-to-business (B2B) offering that complements the direct-to-consumer side.
What management is betting on now
Nerdy's management is focused on leveraging its AI technology to make learning even more personalized and efficient. They are investing in expanding the platform's capabilities to offer a wider array of learning formats and subjects. A key priority is growing the 'Varsity Tutors for Schools' segment, as partnerships with educational institutions can provide a more scalable way to reach a large number of students. The company also aims to improve user engagement and retention by continuously enhancing the learning experience and the effectiveness of its AI-driven recommendations.
Price history
How the share price has moved
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Earnings history
Last 8 quarters — what happened
Click any quarter to read the call summary and what the numbers say.
FY2024 Q4
$-12.48M
FY2025 Q1
$-7.62M
FY2025 Q2
$-8.20M
FY2025 Q3
$-4.14M
FY2025 Q4
$-4.25M
FY2026 Q1
$-2.96M
FY2026 Q2
$-6.28M
FY2026 Q3
$-5.90M
Revenue
$33.19M
Net income
$-8.59M
Diluted EPS
-1.01
Operating cash flow
$-4.56M
Free cash flow
$-5.90M
Fetching…
Sources
Revenue
$43.23M
Net income
$-4.65M
Diluted EPS
-0.04
Operating cash flow
$-4.75M
Free cash flow
$-6.28M
Fetching…
Sources
Revenue
$48.73M
Net income
$-4.08M
Diluted EPS
-0.03
Operating cash flow
$-1.78M
Free cash flow
$-2.96M
Fetching…
Sources
Revenue
$49.11M
Net income
$-9.24M
Diluted EPS
-0.07
Operating cash flow
$-2.93M
Free cash flow
$-4.25M
Fetching…
Sources
Revenue
$37.02M
Net income
$-12.29M
Diluted EPS
-0.10
Operating cash flow
$-2.42M
Free cash flow
$-4.14M
Fetching…
Sources
Revenue
$45.26M
Net income
$-7.90M
Diluted EPS
-0.07
Operating cash flow
$-7.04M
Free cash flow
$-8.20M
Fetching…
Sources
Revenue
$47.59M
Net income
$-10.50M
Diluted EPS
-0.09
Operating cash flow
$-6.44M
Free cash flow
$-7.62M
Fetching…
Sources
Revenue
$47.99M
Net income
$-10.15M
Diluted EPS
-0.09
Operating cash flow
$-11.31M
Free cash flow
$-12.48M
Fetching…
Sources
Is it cheap or expensive?
Fair value — vs current price $5.80
We couldn't calculate a fair value right now.
Is it drowning in debt?
Healthy
Net cash $17.0M - more cash than debt. Interest coverage -16.3x.
Net debt
$-16.96M
Interest coverage
-16.32x
Nerdy Inc.'s profit covers its interest bill about 0.0 times over. which is weaker than most peers shown here and 2 peers sit below 1x, which is the danger zone where profit does not fully cover the interest bill.
Healthy
Worse cushion
Baseline
Better cushion
NRDY
BASELINE
Nerdy Inc.
Total debt $21.46M Interest coverage -16.32x This is the baseline the peer rows are being compared against.
Total debt $9.86M Interest coverage -194.67x Neither company has much profit cushion over interest right now.
Total debt $168.59M Interest coverage -12.60x Neither company has much profit cushion over interest right now.
Total debt $153.06M Interest coverage 12.73x This peer still has a real interest-payment cushion, while NRDY does not.
What you should know
The case for and against NRDY
0 Rewards
1 Risk
Rewards
Risks
-
Return on equity was -122.6% last year — the company lost money on shareholders' equity.
The numbers
All the key metrics, grouped by purpose
Tap any ? icon to learn what it means.
Valuation
How expensive the stock looks
P/E (TTM)
—
Forward P/E
-19.33x
P/B
2.51x
P/S
2.35x
EV/EBITDA
-1.44x
PEG ratio
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Profitability
How much profit each dollar creates
Gross margin
65.3%
Operating margin
-12.9%
Net margin
-17.0%
ROE
-122.6%
ROA
-33.1%
Health
Liquidity and balance-sheet strength
Debt / equity
0.83x
Current ratio
2.70x
Quick ratio
2.49x
Total debt
$21.46M
Total cash
$38.42M
Growth
How the business has been compounding
Revenue TTM
$174.27M
Revenue 5Y CAGR
6.2%
EPS TTM
-3.60
EPS 5Y CAGR
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Cash flow
How much cash the business throws off
Operating CF TTM
$-14.02M
Free CF TTM
$-24.22M
FCF margin
-13.9%
Dividend
Shareholder payout
Yield
0.0%
Payout ratio
—
Last ex-div date
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