GoodRx Holdings Inc. (NASDAQ:GDRX) is one of the best stocks under $3 to invest in, although one firm had recently become neutral on the stock. On January 22, analysts at Jefferies lowered their rating on GoodRx Holdings Inc. (NASDAQ:GDRX) to Hold from Buy and cut the price target to $2.75 from $5.25. According to Jefferies, the Rite Aid bankruptcy and the subsequent mass closures of 800 pharmacy locations from June to July 2025 have adversely affected GoodRx’s drug prescription business to the tune of a 14% year-over-year decline in monthly active consumers and a 9% drop in prescription revenues.
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Jefferies expects GoodRx Holdings Inc. (NASDAQ:GDRX)’s prescription revenues to remain flat year-over-year as it continues to face challenges in its prescription discount segment, which represents about 69% of the company’s expected revenue. The analysts also project that overall revenue and EBITDA growth will remain muted, making GoodRx’s valuation multiple stagnant at least in the short run.
GoodRx Holdings Inc. (NASDAQ:GDRX) is a digital healthcare platform that offers consumers free access to transparent and lower prices for branded and generic medications.
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Disclosure: None. This article is originally published at Insider Monkey.
