ThredUp (NASDAQ:TDUP) Posts Earnings Results, Meets Expectations

ThredUp (NASDAQ:TDUP) issued its earnings results on Monday. The company reported ($0.05) earnings per share (EPS) for the quarter, meeting analysts’ consensus estimates of ($0.05), FiscalAI reports. The firm had revenue of $81.67 million during the quarter, compared to analyst estimates of $80.17 million. ThredUp had a negative net margin of 6.50% and a negative return on equity of 34.48%.

Here are the key takeaways from ThredUp’s conference call:

• ThredUp reported strong Q1 operational momentum with revenue up 14.6% to $81.7M, gross margin of 79.2%, and trailing-12-month active buyers up 25%, with March the best month in company history.
• Management flagged near-term macro pressure—average selling prices are roughly down ~3% and conversion rates for existing customers are ~down 5% since early March—and has baked those trends into its guidance.
• Product investments are accelerating personalization and conversion, including a live agentic product experience using reinforcement learning and exact‑match aggregation (starting with dresses) to improve discovery and shopping.
• Supply-side growth is accelerating: listings grew 17% YoY, new seller kit requests rose 90% YoY (48% of kits from new sellers), and the company is increasing inbound processing to unlock a more liquid, profitable marketplace.
• Guidance was maintained: Q2 revenue of $89M–$91M, full‑year revenue of $351.2M–$356.2M, gross margin guidance of 78.5%–79.5%, and an expected full‑year Adjusted EBITDA around 6.1%, with incremental upside to be reinvested into growth.

ThredUp Stock Performance

TDUP traded down $0.11 during trading on Monday, reaching $4.37. 3,595,376 shares of the company’s stock were exchanged, compared to its average volume of 2,299,339. ThredUp has a fifty-two week low of $3.08 and a fifty-two week high of $12.28. The company has a quick ratio of 0.91, a current ratio of 0.91 and a debt-to-equity ratio of 0.24. The business has a 50 day moving average price of $3.91 and a 200 day moving average price of $5.83. The company has a market capitalization of $555.16 million, a P/E ratio of -29.13 and a beta of 2.07.

Analysts Set New Price Targets

Several equities research analysts have recently issued reports on the stock. TD Cowen raised their price objective on shares of ThredUp from $5.00 to $5.50 and gave the stock a “buy” rating in a research note on Wednesday, April 29th. Telsey Advisory Group lowered their price objective on shares of ThredUp from $12.00 to $9.00 and set an “outperform” rating on the stock in a research note on Tuesday, March 3rd. Weiss Ratings restated a “sell (e+)” rating on shares of ThredUp in a research note on Friday, March 27th. Finally, Wells Fargo & Company lowered their price objective on shares of ThredUp from $13.00 to $10.00 and set an “overweight” rating on the stock in a research note on Tuesday, March 3rd. Two research analysts have rated the stock with a Strong Buy rating, three have issued a Buy rating, one has assigned a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average price target of $9.90.

Insiders Place Their Bets

In other ThredUp news, CFO Sean Sobers sold 56,504 shares of ThredUp stock in a transaction on Tuesday, March 3rd. The shares were sold at an average price of $3.82, for a total transaction of $215,845.28. Following the sale, the chief financial officer owned 555,254 shares in the company, valued at $2,121,070.28. The trade was a 9.24% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, Director Patricia Nakache purchased 13,157 shares of the firm’s stock in a transaction on Tuesday, March 10th. The shares were acquired at an average price of $3.73 per share, for a total transaction of $49,075.61. Following the purchase, the director directly owned 14,017 shares of the company’s stock, valued at approximately $52,283.41. This represents a 1,529.88% increase in their ownership of the stock. Additional details regarding this purchase are available in the official SEC disclosure. Corporate insiders own 23.10% of the company’s stock.

Institutional Investors Weigh In On ThredUp

A number of institutional investors have recently bought and sold shares of the business. Marshall Wace LLP boosted its stake in ThredUp by 11.8% during the fourth quarter. Marshall Wace LLP now owns 4,825,251 shares of the company’s stock worth $30,833,000 after buying an additional 509,195 shares in the last quarter. State Street Corp boosted its stake in shares of ThredUp by 26.2% in the 4th quarter. State Street Corp now owns 2,886,417 shares of the company’s stock valued at $18,444,000 after purchasing an additional 598,793 shares in the last quarter. Millennium Management LLC boosted its stake in shares of ThredUp by 27.1% in the 3rd quarter. Millennium Management LLC now owns 2,740,992 shares of the company’s stock valued at $25,902,000 after purchasing an additional 584,506 shares in the last quarter. Geode Capital Management LLC boosted its stake in shares of ThredUp by 7.2% in the 4th quarter. Geode Capital Management LLC now owns 2,416,626 shares of the company’s stock valued at $15,445,000 after purchasing an additional 161,967 shares in the last quarter. Finally, Renaissance Technologies LLC boosted its stake in shares of ThredUp by 0.5% in the 4th quarter. Renaissance Technologies LLC now owns 2,292,853 shares of the company’s stock valued at $14,651,000 after purchasing an additional 12,127 shares in the last quarter. Institutional investors and hedge funds 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.