ThredUp Inc.
- Open
- 6.80
- Day high
- 7.03
- Day low
- 6.73
- Prev close
- 6.85
- Volume
- 542K
- Mkt cap
- $881M
- P/E (TTM)
- —
- EPS (TTM)
- —
- P/B
- 14.8
- P/S
- 2.7
- Yield
- —
- Per share
- —
ThredUp Inc. (TDUP) is a Consumer Cyclical company listed on NASDAQ. The stock is down 12% over the past year.
ThredUp Inc. (TDUP) financials & analyst ratings
Fundamentals (TTM)
Analyst consensus · 3 analysts
Source: exchange market data + company filings. Figures are trailing-twelve-month or as most recently reported. For informational purposes only — not investment advice.
TDUP earnings date, history & EPS estimates
| Report date | EPS est | EPS actual | Surprise | Revenue | Rev. surprise |
|---|---|---|---|---|---|
| May 4, 2026 | $-0.05 | $-0.05 | +0.0% | $82M | +1.9% |
| Mar 3, 2025 | $-0.13 | $-0.07 | +46.2% | $28M | -56.8% |
| Mar 4, 2024 | $-0.13 | $-0.14 | -7.7% | $81M | +1.3% |
| Mar 6, 2023 | $-0.20 | $-0.19 | +5.0% | $71M | +13.1% |
| Nov 14, 2022 | $-0.22 | $-0.24 | -9.1% | $68M | +4.3% |
| Aug 15, 2022 | $-0.23 | $-0.29 | -26.1% | $76M | +0.5% |
| Mar 7, 2022 | $-0.18 | $-0.18 | +0.0% | $73M | +4.4% |
| Aug 10, 2021 | $-0.14 | $-0.12 | +14.3% | $60M | +7.1% |
| May 12, 2021 | $-0.15 | $-0.17 | -13.3% | $56M | +6.7% |
| Mar 26, 2021 | — | $-0.14 | — | $47M | — |
TDUP insider trading activity (SEC Form 4)
| Date | Insider | Type | Shares | Price |
|---|---|---|---|---|
| May 21, 2026 | NOVA DANIEL Jdirector | Grant | 37,265 | — |
| May 21, 2026 | HALEY TIMOTHY Mdirector | Grant | 37,265 | — |
| May 21, 2026 | Paransky Noamdirector | Grant | 37,265 | — |
| May 21, 2026 | Nakache Patriciadirector | Grant | 37,265 | — |
| May 21, 2026 | Friedman Iandirector | Grant | 37,265 | — |
| May 21, 2026 | Ginsberg Amandadirector | Grant | 37,265 | — |
| May 21, 2026 | Rushing Coretha Mdirector | Grant | 37,265 | — |
| May 21, 2026 | Battles Kelly Bodnardirector | Grant | 37,265 | — |
| Apr 24, 2026 | Nakache Patriciadirector | Grant | 5,231 | — |
| Apr 24, 2026 | Friedman Iandirector | Grant | 3,488 | — |
| Apr 24, 2026 | Paransky Noamdirector | Grant | 3,488 | — |
| Apr 24, 2026 | HALEY TIMOTHY Mdirector | Grant | 3,836 | — |
| Apr 24, 2026 | Rushing Coretha Mdirector | Grant | 3,488 | — |
| Mar 10, 2026 | Nakache Patriciadirector | Buy | 13,157 | $3.73 |
| Mar 4, 2026 | Reinhart James G.director, officer: Chief Executive Officer | Option | 280,000 | $2.05 |
Source: TDUP SEC Form 4 filings, latest May 21, 2026. For informational purposes only — not investment advice.
See the full TDUP insider & 13F page →ThredUp Inc. company profile
Overview
ThredUp Inc. (NASDAQ:TDUP) is an online secondhand clothing marketplace founded in 2009 and headquartered in Oakland, California. The company went public in March 2021 and operates as one of the largest online consignment and thrift stores in the United States. ThredUp has positioned itself as a technology-driven platform that facilitates the buying and selling of pre-owned women's and children's apparel, shoes, and accessories. After initially expanding to Europe through its Remix subsidiary, the company divested its European operations in 2024 to focus exclusively on the U.S. market, where it has built significant infrastructure and data advantages in the growing secondhand fashion industry.
Business
ThredUp operates in the online secondhand retail industry, which sits at the intersection of e-commerce, sustainability, and fashion. The secondhand clothing market has experienced rapid growth as consumers become more environmentally conscious and price-sensitive, seeking alternatives to traditional fast fashion. The company's core offering is its online marketplace platform where consumers can buy and sell pre-owned clothing. ThredUp's business model centers around two main activities: facilitating peer-to-peer sales through consignment services and operating as a direct retailer of secondhand goods. The platform specializes in women's and children's apparel, shoes, and accessories, focusing on quality brands and items. ThredUp's technology infrastructure includes several key components. The company operates large-scale processing and distribution centers where it receives, inspects, photographs, and catalogs secondhand items. Advanced AI and machine learning systems power product discovery, search functionality, pricing optimization, and personalized recommendations. The platform recently introduced features like AI-powered visual search, style chat functionality, and 360-degree product photography to enhance the shopping experience. The company also operates Resale-as-a-Service (RaaS), a white-label solution that enables traditional retailers and brands to launch their own branded secondhand marketplaces. This B2B service allows established fashion companies to tap into the growing resale market without building their own infrastructure. RaaS clients include major retailers who want to offer circular fashion options to their customers while capturing value from returned or excess inventory. ThredUp's revenue primarily comes from its U.S. marketplace operations, which generated approximately 95% of total revenue after the European divestiture. The consignment model represents roughly 80% of total revenue, where ThredUp takes a commission from sales, while direct sales of inventory make up the remainder.
Revenue model
ThredUp generates revenue through multiple streams within its marketplace ecosystem. The primary revenue model is commission-based consignment, where the company takes a percentage of each sale when items from individual sellers are purchased by buyers. This consignment model now represents approximately 80% of total revenue, with commission rates varying based on item price points and seller tier. The company also generates revenue through direct sales of inventory it purchases outright from consumers through its "cleanout" service. In this model, ThredUp buys items directly from sellers and then resells them at market prices, capturing the full margin. Additionally, the company charges seller fees for various services, including processing fees for cleanout kits and premium selling services. The Resale-as-a-Service (RaaS) business provides another revenue stream through setup fees, monthly platform fees, and revenue sharing agreements with brand partners. This B2B offering serves over 40 retail clients who use ThredUp's infrastructure to power their own branded resale platforms. ThredUp's paying customers include both buyers and sellers. Buyers are primarily women aged 25-45 with household incomes above the national average who are seeking quality secondhand clothing at discounted prices. Sellers include consumers looking to monetize their closets and retailers seeking to extend product lifecycles through resale partnerships. Several factors influence ThredUp's margins and profitability. Positive margin drivers include the shift toward higher-commission consignment sales, improved operational efficiency in processing centers, AI-driven pricing optimization, and the ability to charge premium fees for enhanced seller services. The company benefits from network effects as more inventory attracts more buyers, which in turn attracts more sellers. Margin pressures come from competitive dynamics requiring promotional pricing, rising labor and logistics costs, the need for continuous technology investment, and consumer price sensitivity during economic downturns. The company must balance marketing spend to acquire customers while maintaining healthy unit economics, and seasonal fluctuations in fashion demand can impact inventory turnover rates.
Competitive moat
ThredUp's competitive moat is moderately strong but faces ongoing challenges in the increasingly competitive secondhand retail space. The company's primary advantages stem from its scale, technology infrastructure, and network effects, though these barriers are not insurmountable. The company's strongest moat elements include its logistics and processing infrastructure. ThredUp has built specialized facilities and developed proprietary systems for efficiently handling, cataloging, and photographing millions of unique secondhand items. This operational expertise creates significant barriers for new entrants who would need substantial capital and time to replicate similar capabilities. The company's AI-powered pricing, search, and recommendation systems also provide competitive advantages, though technology gaps can be narrowed over time. Network effects provide another layer of protection. As ThredUp attracts more sellers, it increases inventory selection, which attracts more buyers. More buyers create better selling outcomes, which attracts additional sellers. However, these network effects are not as strong as those seen in pure platform businesses, since ThredUp competes on price and selection rather than just network size. The company faces significant competitive threats from multiple directions. Traditional retailers like Nordstrom Rack, TJ Maxx, and outlet stores compete for price-conscious fashion consumers. Other online resale platforms including Poshmark, Mercari, Facebook Marketplace, and Depop offer alternative channels for secondhand sales. Rental services like Rent the Runway provide different approaches to sustainable fashion consumption. Perhaps most concerning is competition from fast fashion retailers who can offer new clothing at prices competitive with ThredUp's secondhand goods, particularly during promotional periods. Additionally, the rise of social commerce and direct peer-to-peer selling through social media platforms reduces dependency on centralized marketplaces. ThredUp's moat is also challenged by the relatively low switching costs for both buyers and sellers, who can easily use multiple platforms simultaneously. The company's focus on a specific demographic (women's and children's clothing) provides some defensibility but also limits total addressable market compared to broader platforms.
Risks & safety
ThredUp presents moderate financial risk with mixed safety indicators that require careful monitoring. **Cash and Liquidity Position:** - Cash and short-term investments: $41.1 million as of Q1 2025 - Current ratio: 0.92 (below 1.0 indicates potential liquidity concerns) - Quarterly free cash flow: $3.9 million (positive but modest) - Operating cash flow: $5.7 million positive in Q1 2025 **Debt and Solvency:** - Debt-to-equity ratio: 0.71 (manageable but elevated) - Total liabilities: $116.4 million vs. total assets: $172.5 million - No immediate solvency crisis but limited financial cushion **Profitability Metrics:** - Adjusted EBITDA: $3.8 million (5.3% margin) in Q1 2025, showing improvement - Net income: Breaking even in recent quarters after years of losses - Revenue growth: 10.5% year-over-year growth trend - Return on equity: -9.3% (still negative but improving) **Valuation Considerations:** - Price-to-book ratio: 5.01 (elevated for a struggling retailer) - Enterprise value appears reasonable given recent EBITDA improvements - Stock price has been volatile, reflecting execution uncertainty **Other Risk Factors:** - Heavy dependence on consumer discretionary spending - Competitive pressure from multiple directions - Technology investment requirements for AI initiatives - Single-market focus after European divestiture increases concentration risk
Recent development
Over the past few years, ThredUp has undergone significant strategic transformation focused on achieving profitability and technological advancement. The most notable development was the divestiture of its European operations (Remix) in 2024, allowing management to concentrate resources exclusively on the U.S. market where the company has stronger competitive positioning and operational advantages. The company has made substantial investments in artificial intelligence and machine learning capabilities. Recent product launches include AI-powered search functionality, visual search capabilities, style chat features for intuitive shopping experiences, and 360-degree high-definition product photography. These AI initiatives are designed to improve customer experience, increase conversion rates, and provide personalized shopping recommendations that differentiate ThredUp from competitors. ThredUp has also evolved its business model toward higher-margin consignment sales, which now represent approximately 80% of revenue compared to lower-margin direct inventory purchases. The company launched premium selling services and expanded its seller fee structure to improve unit economics while providing enhanced services to consigners. The Resale-as-a-Service (RaaS) platform has been a key growth initiative, expanding to serve over 40 brand partners with white-label resale solutions. This B2B offering provides recurring revenue streams and leverages ThredUp's infrastructure investments across a broader client base. Operationally, the company has focused on processing efficiency improvements and expanded capacity through its distribution center network. Management has also implemented more sophisticated inventory management and pricing optimization systems to improve margins and inventory turnover. Recent quarters have shown progress toward profitability targets, with the company achieving positive adjusted EBITDA and free cash flow. Management has reduced stock-based compensation expenses and implemented cost discipline while maintaining growth investments in technology and customer acquisition.
TDUP company profile · for informational purposes only — not investment advice.
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