Deutsche Bank Lowers GoodRx Price Target to $6, Maintains Hold Rating

Deutsche Bank analyst George Hill has lowered the price target for GoodRx (GDRX) to $6 from $8 and maintains a Hold rating on the shares. The decision comes after evaluating various factors, including the company's financial performance and market trends.

Deutsche Bank analyst George Hill has revised the price target for GoodRx Holdings (NASDAQ: GDRX) to $6 from $8, maintaining a Hold rating on the shares. This adjustment comes after a comprehensive evaluation of the company's financial performance and market trends.

GoodRx Holdings reported its second-quarter 2025 earnings, with revenue of $203.1 million, a 1.2% increase from the same period last year. Net income was $12.8 million, up 92% from the previous year. However, the earnings per share (EPS) of $0.036 missed analyst estimates by 1.4% [1]. The company's shares have seen significant volatility, with a trading range between $3.40 and $3.55 during the earnings call [2].

The price target reduction reflects the analyst's assessment of ongoing risks and challenges in the healthcare sector. UBS recently lowered its price target to $4.25 due to the impact of Rite Aid's bankruptcy and volume challenges with one of GoodRx's pharmacy benefit manager (PBM) partners [3]. Morgan Stanley also lowered its price target to $5.00, citing retail challenges and the impact of a major retail pharmacy's bankruptcy [4].

Despite these challenges, GoodRx Holdings maintains a strong gross profit margin of 93.84% and has an active share repurchase program, buying back 10.2 million shares for $46.4 million in the second quarter [4]. The company's Pharma Manufacturing Solutions business generated $35 million in revenue, up 32% year-over-year, driven by continued market penetration and growth in consumer direct pricing [4].

The recent earnings report and market trends indicate that investors should closely monitor GoodRx's progress and any developments that could impact its stock price.

References:

[1] https://finance.yahoo.com/news/goodrx-holdings-second-quarter-2025-124816295.html
[2] https://site.financialmodelingprep.com/market-news/goodrx-holdings-price-target-deutsche-bank-optimism
[3] https://www.investing.com/news/analyst-ratings/goodrx-stock-price-target-lowered-to-425-from-525-at-ubs-93CH-4183315
[4] https://ca.investing.com/news/analyst-ratings/goodrx-stock-falls-as-morgan-stanley-cuts-price-target-on-retail-challenges-93CH-4147117