One-glance verdict
Undervalued
$43.81 our estimate vs market $1.79
Wall Street consensus: $4.00 (-90.9% lower than our fair-value estimate)
96% below our estimate, below the bear case
Fundamentals snapshot
Thryv Holdings, Inc.
THRY · NCM · Technology · Software - Application
Current price
$1.79
52-week range
$1.76 - $12.57
Market cap
$79.55M
Balance sheet
Stretched
1.63x Concerning
Net debt $236.91M. Interest coverage shows how many times profit covers the interest bill.
What stands out
1 Reward
2 Risks
1 rewards · 2 risks
- Reward Free cash flow was positive in 10/10 years.
- Risk Operating margin compressed from 16.8% to 1.1% over 3 years.
- Risk Return on equity was -7.6% last year — the company lost money on shareholders' equity.
What this company does
Thryv Holdings, Inc.
Thryv provides all-in-one software that helps small businesses like local contractors and salons manage their daily work and find customers online. The company is shifting away from its original, shrinking yellow pages business to focus on selling these software subscriptions. This is important because subscriptions create recurring revenue (predictable income that comes in every month), which investors often find more stable and valuable than the declining ad sales from its directories.
How the company got here
Thryv's story is one of transformation, moving from a traditional, well-known business to a modern technology company. Its roots are in the Yellow Pages telephone directories, a business that goes back over a century. The current company was formed through a 2017 merger of Yellow Pages publishers Dex Media and YP Holdings. Recognizing the shift from print to digital, the company rebranded as Thryv in 2019 and began focusing on software for small businesses. This strategic pivot involves using the cash generated from its traditional marketing services to fund the growth of its new software business.
What it actually does
Thryv provides an all-in-one software platform designed to help small, local businesses manage their day-to-day operations and attract customers. Think of it as a digital toolkit for a local contractor, dentist, or salon. The software helps with tasks like scheduling appointments, managing customer information (a practice known as Customer Relationship Management or CRM), sending invoices, and processing payments. It also offers tools to improve a business's online presence, such as managing social media, online reviews, and ensuring they show up in online searches.
Thryv SaaS
This is the company's main focus and growth area, representing a majority of its revenue (the money it brings in). SaaS stands for "Software-as-a-Service," which means businesses pay a recurring subscription fee to use Thryv's cloud-based platform online, rather than buying and installing software. This segment provides the central dashboard that helps small businesses manage their customer relationships, scheduling, payments, and marketing communications all in one place. The goal is to give small businesses the kind of powerful management tools that are usually only available to larger companies.
Thryv Marketing Services
This is the company's original business, which includes both print and digital advertising solutions. This segment still includes the print Yellow Pages directories, as well as online advertising services like search engine marketing (helping businesses appear higher in search results) and social media advertising. While this part of the business is still profitable, the company has made a strategic decision to phase it out. It now serves as a source of cash to fuel the growth of the Thryv SaaS platform and a base of existing customers to whom they can sell their new software.
What management is betting on now
Management is focused on fully transforming Thryv into a software company. The main strategy is to convert its existing Marketing Services customers into subscribers of its all-in-one SaaS platform. They are heavily investing in their software, adding new features powered by artificial intelligence (AI) to help businesses find new customers and understand which marketing efforts are most effective. The company is also expanding its services internationally and has made acquisitions, like the purchase of Keap, a sales and marketing automation company, to enhance its software capabilities.
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 Q3
$27.48M
FY2024 Q4
$17.34M
FY2025 Q1
$-17.57M
FY2025 Q2
$21.79M
FY2025 Q3
$14.61M
FY2025 Q4
$12.31M
FY2026 Q1
$-5.45M
FY2026 Q2
$16.69M
Revenue
$150.73M
Net income
$-16.66M
Diluted EPS
-0.38
Operating cash flow
$25.88M
Free cash flow
$16.69M
Fetching…
Sources
Revenue
$167.68M
Net income
$4.54M
Diluted EPS
0.10
Operating cash flow
$1.47M
Free cash flow
$-5.45M
Fetching…
Sources
Revenue
$191.62M
Net income
$-9.66M
Diluted EPS
-0.21
Operating cash flow
$22.21M
Free cash flow
$12.31M
Fetching…
Sources
Revenue
$201.56M
Net income
$5.65M
Diluted EPS
0.13
Operating cash flow
$22.25M
Free cash flow
$14.61M
Fetching…
Sources
Revenue
$210.47M
Net income
$13.93M
Diluted EPS
0.31
Operating cash flow
$29.56M
Free cash flow
$21.79M
Fetching…
Sources
Revenue
$181.37M
Net income
$-9.62M
Diluted EPS
-0.22
Operating cash flow
$-10.48M
Free cash flow
$-17.57M
Fetching…
Sources
Revenue
$186.60M
Net income
$7.88M
Diluted EPS
0.28
Operating cash flow
$26.14M
Free cash flow
$17.34M
Fetching…
Sources
Revenue
$179.85M
Net income
$-96.07M
Diluted EPS
-2.65
Operating cash flow
$35.98M
Free cash flow
$27.48M
Fetching…
Sources
Is it cheap or expensive?
Fair value $43.81 vs current price $1.79
Wall Street consensus is the average analyst price target: $4.00 (-90.9% lower than our fair-value estimate).
Our most-likely fair value is $43.81 a share — about 2,347.3% above today's price of $1.79, so the stock currently looks cheap (undervalued).
Is it drowning in debt?
Stretched
Net debt $236.9M. Interest coverage 1.6x.
Net debt
$236.91M
Interest coverage
1.63x
Thryv Holdings, Inc.'s profit covers its interest bill about 1.6 times over. which is stronger 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.
Stretched
Worse cushion
Baseline
Better cushion
THRY
BASELINE
Thryv Holdings, Inc.
Total debt $246.05M Interest coverage 1.63x This is the baseline the peer rows are being compared against.
Total debt $3.84B Interest coverage 7.54x +362% vs THRY Carries about 4.6x more debt cushion than THRY.
Total debt $2.04B Interest coverage 0.46x -72% vs THRY Carries about 3.6x less debt cushion than THRY.
Total debt $236.91M Interest coverage 13.03x +699% vs THRY Carries about 8.0x more debt cushion than THRY.
Total debt $1.90B Interest coverage 0.90x -45% vs THRY Carries about 1.8x less debt cushion than THRY.
Total debt $35.77M Interest coverage 18.75x +1,049% vs THRY Carries about 11.5x more debt cushion than THRY.
What you should know
The case for and against THRY
1 Reward
2 Risks
Rewards
-
Free cash flow was positive in 10/10 years.
Risks
-
Operating margin compressed from 16.8% to 1.1% over 3 years.
-
Return on equity was -7.6% 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)
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Forward P/E
-89.50x
P/B
0.38x
P/S
0.11x
EV/EBITDA
8.55x
PEG ratio
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Profitability
How much profit each dollar creates
Gross margin
66.1%
Operating margin
1.1%
Net margin
-2.3%
ROE
-7.6%
ROA
2.3%
Health
Liquidity and balance-sheet strength
Debt / equity
1.16x
Current ratio
1.00x
Quick ratio
0.88x
Total debt
$246.05M
Total cash
$9.14M
Growth
How the business has been compounding
Revenue TTM
$711.59M
Revenue 5Y CAGR
-8.4%
EPS TTM
-0.35
EPS 5Y CAGR
-81.1%
Cash flow
How much cash the business throws off
Operating CF TTM
$71.81M
Free CF TTM
$31.14M
FCF margin
4.4%
Dividend
Shareholder payout
Yield
—
Payout ratio
0.0%
Last ex-div date
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