ThredUp (NASDAQ:TDUP) Issues Quarterly Earnings Results, Beats Expectations By $0.01 EPS

ThredUp (NASDAQ:TDUP) released its quarterly earnings data on Wednesday. The company reported ($0.04) earnings per share for the quarter, beating analysts’ consensus estimates of ($0.05) by $0.01, FiscalAI reports. ThredUp had a negative net margin of 6.65% and a negative return on equity of 37.30%. The company had revenue of $88.23 million during the quarter, compared to analysts’ expectations of $88.05 million.

ThredUp Price Performance

TDUP traded up $0.19 during midday trading on Wednesday, hitting $2.19. 2,913,969 shares of the company traded hands, compared to its average volume of 2,266,238. The business has a 50 day simple moving average of $2.37 and a two-hundred day simple moving average of $4.13. ThredUp has a 52-week low of $1.91 and a 52-week high of $8.76. The company has a market capitalization of $287.61 million, a price-to-earnings ratio of -12.88 and a beta of 2.18. The company has a current ratio of 0.99, a quick ratio of 0.99 and a debt-to-equity ratio of 0.29.

Analyst Upgrades and Downgrades

Several research firms have recently issued reports on TDUP. Roth Capital reissued a “buy” rating and set a $6.50 target price on shares of ThredUp in a research note on Thursday, August 6th. Telsey Advisory Group dropped their target price on ThredUp from $7.00 to $6.00 and set an “outperform” rating on the stock in a research report on Thursday, August 6th. Weiss Ratings upgraded ThredUp from a “sell (e+)” rating to a “sell (d-)” rating in a research note on Tuesday. Finally, TD Cowen assumed coverage on ThredUp in a research note on Friday, October 30th. They issued a “strong-buy” rating for the company. One equities research analyst has rated the stock with a Strong Buy rating, three have assigned a Buy rating and one has assigned a Sell rating to the company’s stock. According to MarketBeat, ThredUp has a consensus rating of “Moderate Buy” and a consensus target price of $6.55.

Insider Transactions at ThredUp

In other news, COO Christopher Homer sold 60,230 shares of the business’s stock in a transaction dated Wednesday, September 2nd. The shares were sold at an average price of $2.58, for a total transaction of $155,393.40. Following the completion of the sale, the chief operating officer owned 1,363,358 shares of the company’s stock, valued at $3,517,463.64. The trade was a 4.23% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CFO Sean Sobers sold 44,559 shares of the company’s stock in a transaction dated Wednesday, September 2nd. The stock was sold at an average price of $2.58, for a total transaction of $114,962.22. Following the transaction, the chief financial officer owned 613,503 shares of the company’s stock, valued at approximately $1,582,837.74. This trade represents a 6.77% decrease in their position. The disclosure for this sale is available in the SEC filing. The sale was made to cover tax withholding obligations related to the vesting of equity awards. 23.10% of the stock is owned by insiders.

About ThredUp

ThredUp Inc operates an online resale platform for secondhand apparel, shoes and accessories. Through its marketplace, consumers can shop for pre-owned women’s and children’s clothing and related products, while individuals can send in unwanted items for resale through the company’s “Clean Out” service.

ThredUp manages much of the resale process, including receiving, inspecting, photographing, pricing, listing and fulfilling merchandise. The company also provides resale-as-a-service solutions that enable brands and retailers to offer or support secondhand programs, helping them participate in the growing circular fashion market.

Founded in 2009, ThredUp initially focused on children’s clothing before expanding into women’s apparel and broader fashion categories.