ThredUp Inc (TDUP) is not a strong buy at the moment for a beginner, long-term investor. While the company demonstrates growth in revenue and active buyers, the stock is currently in a bearish technical trend, with declining gross margins, negative profitability, and no significant trading signals or catalysts to suggest immediate upside potential. Given the investor's preference for long-term growth and the current market sentiment, it is better to hold off on investing until the stock shows signs of recovery or stronger fundamentals.
The stock is in a bearish trend, with the MACD histogram negatively expanding, RSI at 25.159 (indicating oversold conditions but no clear signal), and moving averages showing bearish alignment (SMA_200 > SMA_20 > SMA_5). The current price of $3.625 is below key support levels, with the next support at $3.338.

Revenue grew by 18.5% YoY in Q4 2025, reaching $79.7 million.
Active buyers increased by 30% to 1.7 million in Q4
Analysts maintain positive ratings (Buy/Outperform) despite lowering price targets, citing long-term growth potential and strong positioning in the resale market.
Stock price is down 3.21% in regular market trading and 2.41% in pre-market trading.
Gross margin declined significantly (-49.61% YoY) and net income remains negative.
Analysts lowered price targets due to lower peer marketplace multiples.
No significant hedge fund or insider trading activity.
No recent congress trading data or influential figure involvement.
In Q4 2025, revenue increased by 18.5% YoY to $79.7 million. However, net income dropped to -$5.58 million (-74.32% YoY), EPS decreased to -$0.04 (-78.95% YoY), and gross margin fell to 79.59 (-49.61% YoY). While revenue growth is strong, profitability and margins are declining.
Analysts maintain positive ratings (Buy/Outperform) but have lowered price targets (to $9-$10) due to lower marketplace multiples. They highlight strong revenue growth, active buyer trends, and long-term potential despite current challenges.