ThredUp Inc. (NASDAQ:TDUP) Given Consensus Recommendation of "Moderate Buy" by Brokerages

Key Points

• ThredUp has received a “Moderate Buy” consensus from seven analysts, with an average 1-year price target of $9.14. Ratings are mixed, but the majority are positive, including three buys and two strong buys.
• The company reported Q1 earnings in line with expectations, posting EPS of -$0.05 and revenue of $81.67 million, slightly above analyst estimates. Analysts currently expect ThredUp to post -$0.09 EPS for the full fiscal year.
• Two top executives recently sold shares: CFO Sean Sobers and COO Christopher Homer each reduced holdings in transactions made to cover tax withholding obligations tied to equity vesting.

ThredUp Inc. (NASDAQ:TDUP - Get Free Report) has been given an average rating of "Moderate Buy" by the seven research firms that are presently covering the stock, MarketBeat reports. One investment analyst has rated the stock with a sell rating, one has assigned a hold rating, three have given a buy rating and two have given a strong buy rating to the company. The average 1-year price objective among analysts that have issued ratings on the stock in the last year is $9.14.

A number of research firms have issued reports on TDUP. Telsey Advisory Group decreased their target price on ThredUp from $9.00 to $7.00 and set an "outperform" rating on the stock in a research report on Tuesday, May 5th. TD Cowen lifted their target price on ThredUp from $5.00 to $5.70 and gave the company a "buy" rating in a research report on Tuesday, May 5th. Weiss Ratings reaffirmed a "sell (e+)" rating on shares of ThredUp in a report on Friday, March 27th. Finally, Wells Fargo & Company decreased their price target on shares of ThredUp from $10.00 to $8.00 and set an "overweight" rating on the stock in a report on Tuesday, May 5th.

ThredUp Stock Performance

Shares of NASDAQ:TDUP opened at $4.96 on Friday. The company's 50 day simple moving average is $4.32 and its 200 day simple moving average is $5.10. The stock has a market capitalization of $640.04 million, a price-to-earnings ratio of -31.00 and a beta of 2.07. The company has a debt-to-equity ratio of 0.30, a current ratio of 0.95 and a quick ratio of 0.95. ThredUp has a 1 year low of $3.08 and a 1 year high of $12.28.

ThredUp (NASDAQ:TDUP - Get Free Report) last issued its quarterly earnings results on Monday, May 4th. The company reported ($0.05) earnings per share (EPS) for the quarter, meeting the consensus estimate of ($0.05). ThredUp had a negative return on equity of 36.11% and a negative net margin of 6.68%.The company had revenue of $81.67 million for the quarter, compared to analyst estimates of $80.17 million. As a group, research analysts predict that ThredUp will post -0.09 EPS for the current fiscal year.

Insider Activity at ThredUp

In other ThredUp news, CFO Sean Sobers sold 45,554 shares of the business's stock in a transaction on Tuesday, June 2nd. The shares were sold at an average price of $4.43, for a total transaction of $201,804.22. Following the sale, the chief financial officer owned 572,523 shares of the company's stock, valued at approximately $2,536,276.89. The trade was a 7.37% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, COO Christopher Homer sold 61,578 shares of the business's stock in a transaction on Tuesday, June 2nd. The stock was sold at an average price of $4.43, for a total transaction of $272,790.54. Following the sale, the chief operating officer directly owned 1,301,843 shares in the company, valued at approximately $5,767,164.49. The trade was a 4.52% decrease in their position. The SEC filing for this sale provides additional information. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders own 23.10% of the company's stock.

Institutional Investors Weigh In On ThredUp

A number of hedge funds and other institutional investors have recently bought and sold shares of the company. Cerity Partners LLC grew its position in ThredUp by 6.7% during the 2nd quarter. Cerity Partners LLC now owns 19,011 shares of the company's stock worth $142,000 after acquiring an additional 1,190 shares during the last quarter. The Manufacturers Life Insurance Company grew its holdings in shares of ThredUp by 5.4% during the second quarter. The Manufacturers Life Insurance Company now owns 31,302 shares of the company's stock worth $234,000 after purchasing an additional 1,601 shares during the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. grew its holdings in shares of ThredUp by 4.5% during the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 47,705 shares of the company's stock worth $115,000 after purchasing an additional 2,034 shares during the last quarter. Cubist Systematic Strategies LLC grew its holdings in shares of ThredUp by 7.6% during the first quarter. Cubist Systematic Strategies LLC now owns 37,516 shares of the company's stock worth $90,000 after purchasing an additional 2,659 shares during the last quarter. Finally, Alliancebernstein L.P. grew its holdings in shares of ThredUp by 3.3% during the third quarter. Alliancebernstein L.P. now owns 89,510 shares of the company's stock worth $846,000 after purchasing an additional 2,900 shares during the last quarter. Institutional investors own 89.08% of the company's stock.

About ThredUp

ThredUp, Inc operates an online consignment and thrift platform that enables consumers to buy and sell secondhand clothing and accessories. Through its digital marketplace, the company offers curated selections of apparel for women and children, spanning a broad range of brands and styles. Sellers can order a “Clean Out Kit” to send in items they no longer wear, while buyers benefit from discounted prices and a simplified shopping experience powered by ThredUp's in-house authentication, quality control and logistics capabilities.

In addition to its core consumer-to-consumer marketplace, ThredUp has expanded into business-to-business services with its Resale-as-a-Service (RaaS) offering.

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