UDMY Udemy, Inc.
Stable Earnings Power
F 30.0 / 100 pillar composite

AlphaQuality composite grade, weighted for stable earnings power businesses.

⚠ 4 of the last 5 fiscal years showed negative net income — AlphaQuality will not grade above F for persistent unprofitability in a stable earnings power business.

Grade overrides the 30.0 pillar composite — hard gates always win.

Profitability

Weight: 20%
D- 30
  • 5yr Avg ROIC -15.6%
  • Operating Margin Trend +4.22 pp/yr

Capital Efficiency

Weight: 15%
F 14
  • 5yr Avg ROE -27.5%
  • 5yr Share-Count CAGR 1.4%

Growth Quality

Weight: 15%
A 91
  • 5yr Revenue CAGR 12.9%
  • Revenue-Growth Years (5) 5/5

Cash Generation

Weight: 15%
D+ 41
  • 5yr FCF Margin -0.8%
  • 5yr FCF/NI Conversion 21.50x

Balance Sheet

Weight: 20%
B+ 78
  • Net Debt / EBITDA -10.34x
  • Interest Coverage (EBIT/Int) 30.00x
  • Altman Z-Score 0.75

Stability

Weight: 15%
A 88
  • Negative-Revenue Years (5) 0/5
  • Piotroski F-Score 7

Guru Flow

Curated superinvestor sentiment — not part of the AlphaQuality grade.
Dumping

0 of 2 gurus held; 4 full exits.

Holders
0 -2
Avg Δ position
New buys
0
Full exits
4
As of Q2 2026