THRY Stock Forecast & Price Target

Thryv Holdings Inc. has demonstrated strong growth in its core SaaS offering, with a notable 16% year-over-year increase in monthly ARPU, reaching $355 in 3Q25, supported by a growing percentage of customers utilizing two or more paid SaaS products. The company's strategic acquisition of Keap has the potential to enhance international growth and market penetration, which could lead to further revenue and margin improvements as they compete effectively against larger platforms like HubSpot and Salesforce. Additionally, the company's ongoing focus on upselling, cross-selling, and new customer acquisition positions Thryv favorably for continued adoption of its services among small and medium-sized business clients, thereby enhancing its overall market share and financial performance.

Thryv Holdings Inc. has demonstrated a concerning trend, highlighted by a sequential decline in SaaS subscribers for the third consecutive quarter, ending 3Q25 with approximately 90,000 core subscribers, which reflects a 6% year-over-year decrease. Additionally, the company's seasoned net revenue retention (NRR) has deteriorated to 94% in 3Q25, down from 103% in the previous quarters, indicating challenges in maintaining existing customer revenue streams. Furthermore, while operating expenses have exceeded projections due to higher sales and marketing costs, the revenue generated from the marketing services segment is at risk of declining more rapidly than anticipated due to an overall downturn in industry demand for print services.