GoodRx Holdings’ Estimates Reduced by RBC Capital

Analysts at RBC Capital lowered their price target on GoodRx Holdings, Inc. (NASDAQ:GDRX) to $6.50 from $8, noting weaker but stabilizing digital traffic data.

According to the brokerage, its analysis of the company’s digital traffic data shows utilization appears to be stabilizing, which is both encouraging and consistent with management comments from its recent update call.

However, on the flip side, the grocer issue has still not been resolved, meaning it will likely extend beyond Q2, and it is still not clear the extent to which it will ultimately be resolved.

The analysts lowered their Q2 revenue estimates to $184 million (from $190 million) and EBITDA estimate to $38 million (from $45 million), respectively.

For the full 2022 year, the analysts lowered their revenue estimate to $822 million (from $874 million) and EBITDA estimate to $211 million (from $245 million).