Getty Images Holdings: Assessing Intrinsic Value Amid Industry Tailwinds and Strategic Challenges

Getty Images Holdings, Inc. (GETY) has long been a cornerstone of the digital media ecosystem, but its recent financial performance and strategic maneuvers have sparked debate about its intrinsic value. With a current stock price of $2.10, the company appears to trade at a steep discount to its historical metrics and industry peers. This analysis evaluates GETY's intrinsic value using a combination of financial fundamentals, industry valuation benchmarks, and strategic context.

Financial Performance: Growth Amid Headwinds

Getty Images reported $939.3 million in revenue for 2024, a 2.5% year-over-year increase, with annual subscription revenue accounting for 53.8% of total revenue, according to the Getty Images Q4 2024 release. For 2025, the company reaffirmed its revenue guidance of $931–$968 million, despite a net loss of $102.6 million in Q1 2025, as disclosed in the Getty Images Q1 2025 release, driven by foreign exchange losses and merger-related costs. Adjusted EBITDA for 2024 stood at $300.3 million, while Q2 2025 adjusted EBITDA fell to $68.0 million, reflecting a 1.2% decline year-over-year, per the Getty Images Q2 2025 release. These figures suggest a resilient core business but highlight the drag from macroeconomic and strategic factors.

Intrinsic Value: A Multiples-Based Approach

To estimate intrinsic value, we apply industry valuation multiples. While the stock photo industry lacks a standardized P/EBITDA benchmark, related sectors offer guidance. The Broadcasting Media & Cable TV industry traded at an average P/EBITDA of 25.61x in Q2 2025, according to CSIMarket industry data, while the Software – Application sector commanded a multiple of 28.07x per FullRatio multiples. Given Getty's recurring revenue model - 57.2% annual subscription revenue in Q1 2025 - and its share count (per Macrotrends shares outstanding), a conservative multiple of 15x appears reasonable.

Using 2024 adjusted EBITDA of $300.3 million and a 15x multiple, the implied enterprise value is $4.5 billion. Subtracting net debt of $1.28 billion (total debt of $1.39 billion minus cash of $110.3 million, per the Panabee Q2 2025 report), the equity value would be $3.22 billion, or $7.78 per share based on 414.81 million shares outstanding, according to StockAnalysis statistics. Even under a more cautious scenario-using 2025 adjusted EBITDA guidance of $287 million (midpoint of $277–$297 million, per a Barchart report)-the intrinsic value remains at $7.30 per share, far above the current $2.10 price.

Strategic Risks and Opportunities

Getty's pending merger with Shutterstock introduces both risks and upside. While merger-related expenses and foreign exchange losses have pressured near-term earnings, as noted in a GlobeNewswire release, the combined entity could achieve significant scale in the $30 billion global stock photo market. Additionally, Getty's 93.4% annual subscriber revenue retention rate, reported in the company's Q2 release, underscores its defensiveness, even as it navigates debt refinancing and integration challenges.

Conclusion: A Compelling Case for Undervaluation

Getty Images' financials and strategic position suggest a compelling mispricing. At $2.10, the stock trades at a 68% discount to our intrinsic value estimate, assuming a 15x multiple and normalized EBITDA. While risks such as debt load and merger integration persist, the company's recurring revenue model, currency-neutral growth, and industry tailwinds make a strong case for a re-rating. Investors with a medium-term horizon may find GETY an attractive opportunity, provided they account for macroeconomic volatility and execution risks.