Udemy, Inc.

Udemy, Inc.

UDMY·NASDAQ

$4.63

+0.0000%
Consumer DefensiveEducation & Training Services

Udemy, Inc. operates a marketplace platform for teaching and learning skills in the United States and internationally. The company offers technical and business skills, and personal development courses for individual learners and enterprise customers. Its platform provides 49 million learners with access to approximately 180,000 courses through direct-to-consumer or Udemy Business offerings in approximately 75 languages. The company's courses offer learning objectives, such as reskilling or upskilling in technology and business, and soft skills, as well as learners receive access to interactive learning tools comprising quizzes, exercises, and instructor questions-and-answers. Udemy, Inc. was incorporated in 2010 and is headquartered in San Francisco, California.

At a Glance

Live Snapshot
Market Cap$677.28M
EPS0.0257
P/E Ratio227.74
Earnings Date07/29/2026

Intrinsic Alpha Methodology

Thesis Lenses

Signal · Driver · Risk

Signal

High confidence

Valuation multiple is elevated (P/E 227.7).

Valuation inputs: P/E 227.7, earnings yield +0.4%, momentum 0.0%.

If multiples stay elevated while momentum fades, downside repricing risk rises.

Driver

High confidence

Return profile is soft (ROE +1.8%, ROIC -0.5%).

Profitability stack: net margin +0.5%, ROE +1.8%, ROIC -0.5%.

Quality deterioration often appears in margins before it shows up in headline EPS.

Risk

High confidence

Risk profile is balanced but has notable pressure points to monitor.

Risk factors: liabilities/assets +65.9%, momentum 0.0%, net margin +0.5%.

Higher leverage with weak momentum and thin margins can amplify drawdown severity.

udmy

Udemy, Inc. Market vs Earnings Trajectory

UDMY · NASDAQ

Loading price and EPS data...

Udemy, Inc.

Udemy, Inc. Fair Value Envelope

UDMY · NASDAQ

Our analysis suggests that UDMY has a fair value of HIDDEN per share in the Base Case projection. With shares currently trading at $4.63, this represents a potential HIDDEN relative to our calculated worth for Udemy, Inc..

Intrinsic Value
Current Price: $4.63
3Y-102.0%
5Y-105.0%
10Y-101.0%
3Y+26.0%
5Y+84.0%
10Y+186.0%
3Y-102.0%
5Y-105.0%
10Y-105.0%
3Y-241.0%
5Y+796.0%
10Y-624.0%
3Y-205.0%
5Y-1737.0%
10Y-392.0%
3Y-16.0%
5Y+119.0%
10Y+427.0%
Udemy, Inc.

Udemy, Inc. Profit Bridge

UDMY · NASDAQ
Revenue789.84M
Cost of Goods Sold (271.44M)
Gross Profit518.41M
Operating Expenses (520.98M)
Operating Income-2.58M
Interest Expense (0.00)
Other Income/Expense10.91M
Pretax Income8.34M
Income Tax (4.53M)
Net Income3.81M
Net Income
3.81M

Profitability Analysis

Gross Margin

65.6%

Exceptional pricing power and cost management. The company retains over half of revenue after direct costs.

Operating Margin

-0.3%

Operating losses indicate the core business is unprofitable. Requires restructuring or revenue growth.

Net Profit Margin

0.5%

Minimal profitability after all expenses. Limited financial flexibility for reinvestment or shareholder returns.

Effective Tax Rate

54.3%

Higher tax burden may reflect limited tax optimization or operations in high-tax jurisdictions.

Profitability Insight

Margin squeeze alert: Healthy gross margins but weak operating margins suggest excessive operating expenses. Cost optimization could unlock significant value.

65.63%
Gross Profit Margin
5%
3Y+17.0%
5Y+28.0%
10Y+37.0%
-0.33%
Operating Profit Margin
-97%
3Y-99.0%
5Y-98.0%
10Y-99.0%
0.48%
Net Profit Margin
-104%
3Y-102.0%
5Y-103.0%
10Y-102.0%
1.81%
Return on Equity
-104%
3Y-104.0%
5Y-100.0%
10Y-94.0%
0.62%
Return on Assets
-104%
3Y-103.0%
5Y-102.0%
10Y-101.0%
-0.53%
Return on Invested Capital
-99%
3Y-99.0%
5Y-100.0%
10Y-101.0%
UDMY

Udemy, Inc. Cash Conversion Engine

UDMY · NASDAQ
Net Income3.81M
Depreciation & Amortization25.36M
Stock-Based Compensation0.00
Change in Working Capital-81.31M
Others138.37M
Capital Expenditures-5.80M
Free Cash Flow80.42M

Cash Flow Quality Analysis

FCF Conversion Rate

2112.4%

Excellent cash generation. The company converts earnings to cash at or above 100%, indicating high-quality earnings.

CapEx Intensity

6.7%

Asset-light business model. Low capital requirements leave more cash available for shareholders and growth investments.

FCF Growth Trend

+110.1%

Strong FCF growth demonstrates improving cash generation and business momentum. Positive signal for sustainability.

Working Capital Impact

-$81.31M

Significant working capital drain. Growth may be consuming cash through inventory buildup or receivables extension—monitor closely.

Cash Flow Quality Insight

Exceptional cash generation: High-quality earnings converting to growing free cash flow. The company demonstrates strong pricing power, efficient operations, and disciplined capital allocation.

udmy

Udemy, Inc. Funding & Solvency Profile

UDMY · NASDAQ
Cash & Cash Equivalents252.56M
Net Receivables97.14M
Inventory0.00
Other Current Assets78.67M
Total Current Assets534 M
Property, Plant & Equipment15.09M
Goodwill & Intangible Assets14.68M
Long-Term Investments8.50M
Other Non-Current Assets62.69M
Total Non-Current Assets86 M
Total Assets
634.59M

Financial Health Analysis

Current Ratio

1.28x

Acceptable liquidity, but monitor closely. Current assets just barely cover current liabilities.

Debt-to-Equity Ratio

1.99x

Elevated leverage. Debt exceeds equity, which amplifies both gains and risks. Monitor debt servicing ability.

Working Capital

117 M

Positive working capital, but relatively tight. The company should monitor cash flow carefully.

Asset Composition

84% Current

Asset-light business model with high liquidity. Majority of assets are easily convertible to cash.

udmy

Udemy, Inc. Street Expectations Map

UDMY · NASDAQ

Wall Street analysts project that UDMY stock may experience modest gains over the coming 12 months. The consensus 1-year price target stands at 5.00, with estimates ranging from a low of 5.00 to a high of 5.00.

Lowest Target
5.00
7.99%
Consensus Target
5.00
7.99%
Highest Target
5.00
7.99%

The consensus 1-year price target stands at 5.00, with estimates ranging from a low of 5.00 to a high of 5.00.

Analyst Consensus Analysis

Upside Potential

+8.0%

Moderate upside. Analysts expect positive returns but with limited margin of safety. Consider entry timing.

Analyst Agreement

0.0% spread

High analyst agreement. Narrow target range indicates strong consensus on valuation, suggesting clear investment thesis and predictable outlook.

Analyst Conviction

High

Positive outlook with reasonable agreement. Analysts generally optimistic about prospects with manageable uncertainty.

Market Sentiment Insight

Monitor and evaluate: Current analyst consensus suggests limited conviction or near-term catalysts. Stay informed on company developments and reassess positioning as new information emerges.

udmy

Udemy, Inc. Insider Positioning

UDMY · NASDAQ

During the last 12 months, insiders have sold $567K worth of UDMY shares, with no buying activity reported.

3 Months

Bought

0

0.00

Sold

25.0K

119.38K

Net Activity

-119K

-$119K

3-6 Months

Bought

0

0.00

Sold

25.0K

131.25K

Net Activity

-131K

-$131K

6-9 Months

Bought

0

0.00

Sold

45.4K

316.75K

Net Activity

-317K

-$317K

9-12 Months

Bought

0

0.00

Sold

0

0.00

Net Activity

+0

+$0

Top Buyers

No buying activity

Top Sellers

1
BS

Blanchard Sarah

Officer: Chief Financial Officer

84.6K shares4 transactions

$490K

2
RR

Rosenthal Robert

Officer: President, Udemy Business

10.8K shares1 transactions

$77K

Insider Activity Analysis

Net Insider Sentiment

Bearish

Strong bearish signal with $567K net selling. Heavy insider selling may indicate concerns about valuation or near-term prospects.

Buy/Sell Ratio

0.00:1

Very poor ratio. Heavy selling with minimal buying suggests insiders may be concerned about valuation or outlook.

Recent Trend (3 Months)

$119K

Heavy recent selling activity. Recent insider sales notably exceed purchases—may warrant investigation into company developments.

Insider Participation

High Selling

2 insider sellers vs. 0 buyers. Widespread selling across multiple insiders may signal concerns.

Insider Activity Insight

Persistent selling pressure: Consistent insider selling with weak buy/sell ratio suggests insiders may be capitalizing on current valuation. Exercise caution and review recent earnings quality and management commentary.

No Dividend Yield Data

UDMY has not reported any dividend yield values in the available annual periods.

 

udmy Dividend History

UDMY
10Y CAGR +0%
Latest $0
Annual $0
Stable dividend payments
Last Period: +0%