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Ziprecruiter, Inc.. (ZIP) Fundamental Analysis & AI Grade 2026

ZIP NYSE Services-Computer Programming, Data Processing, Etc. DE CIK: 0001617553
Updated This Month • Analysis: May 9, 2026 • SEC Data: 2026-03-31
Combined AI Grade
D
88% Confidence
N/A
D
88% Conf
Pending
Analysis scheduled

📊 ZIP Key Takeaways

Revenue: $107.5M
Net Margin: -4.4%
Free Cash Flow: $-3.6M
Current Ratio: 7.27x
Debt/Equity: N/A
EPS: $-0.06
AI Grade: D with 88% confidence
Ziprecruiter, Inc.. (ZIP) receives a D fundamental grade with 88% confidence from our AI analysis based on SEC 10-K filings. With revenue of $107.5M, net profit margin of -4.4%, Ziprecruiter, Inc.. demonstrates mixed fundamentals in the Technology sector. Below is our complete ZIP stock analysis for 2026.

Is Ziprecruiter, Inc.. (ZIP) a Good Investment?

Claude

ZipRecruiter exhibits severe financial distress with negative stockholders' equity of -$83.8M, negative operating cash flow (-$3.5M), and unprofitable operations despite an 88.9% gross margin. The company is operationally insolvent and survival depends entirely on depleting $251M in cash reserves to service $545.1M in debt, an unsustainable trajectory.

Ziprecruiter, Inc.. Key Strengths (ZIP)

Claude
  • + Exceptionally strong gross margin of 88.9% indicates core business model economics are viable at unit level
  • + Substantial cash position of $251M provides short-term liquidity buffer and 7.27x current ratio
  • + Meaningful revenue base of $107.5M in large addressable market (recruitment technology)

ZIP Stock Risks: Ziprecruiter, Inc.. Investment Risks

Claude
  • ! Negative stockholders' equity of -$83.8M: accumulated losses exceed all shareholder capital - technically insolvent
  • ! Negative operating cash flow (-$3.5M) and free cash flow (-$3.6M): operationally unsustainable without external funding
  • ! High debt load of $545.1M with negative interest coverage ratio (-0.2x): cannot service debt from operations
  • ! Revenue declining 5.3% YoY while unprofitable: shrinking business with no path to profitability visible
  • ! Cash burn dependent model: $251M reserve at -$3.6M annual burn provides ~70 quarters runway but masks structural insolvency

Key Metrics to Watch

Claude
  • * Path to operating cash flow positive: critical inflection point for survival
  • * Stockholders' equity recovery: reversal of accumulated losses is mandatory
  • * Operating margin trend: must reach positive territory to justify debt burden
  • * Revenue stabilization: -5.3% decline must reverse or cash runway accelerates depletion
  • * Debt restructuring activity: covenants likely at risk with negative equity

Ziprecruiter, Inc.. (ZIP) Financial Metrics & Key Ratios

Revenue
$107.5M
Net Income
$-4.7M
EPS (Diluted)
$-0.06
Free Cash Flow
$-3.6M
Total Assets
$551.2M
Cash Position
$251.0M

💡 AI Analyst Insight

Strong liquidity with a 7.27x current ratio provides a solid financial cushion.

ZIP Profit Margin, ROE & Profitability Analysis

Gross Margin 88.9%
Operating Margin -1.4%
Net Margin -4.4%
ROE N/A
ROA -0.9%
FCF Margin -3.4%

ZIP vs Technology Sector: How Ziprecruiter, Inc.. Compares

How Ziprecruiter, Inc.. compares to Technology sector averages

Net Margin
ZIP -4.4%
vs
Sector Avg 18.0%
ZIP Sector
ROE
ZIP 0.0%
vs
Sector Avg 22.0%
ZIP Sector
Current Ratio
ZIP 7.3x
vs
Sector Avg 2.5x
ZIP Sector
Debt/Equity
ZIP 0.0x
vs
Sector Avg 0.5x
ZIP Sector

Sector benchmarks are approximate industry averages. Actual sector performance may vary.

Is Ziprecruiter, Inc.. Stock Overvalued? ZIP Valuation Analysis 2026

Based on fundamental analysis, Ziprecruiter, Inc.. has mixed fundamental signals relative to the Technology sector in 2026.

Return on Equity
N/A
Sector avg: 22%
Net Profit Margin
-4.4%
Sector avg: 18%
Revenue Growth
N/A
Year-over-year
Debt/Equity
N/A
Sector avg: 0.5x

Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.

Ziprecruiter, Inc.. Balance Sheet: ZIP Debt, Cash & Liquidity

Current Ratio
7.27x
Quick Ratio
7.27x
Debt/Equity
N/A
Debt/Assets
115.2%
Interest Coverage
-0.21x
Long-term Debt
$545.1M

ZIP Revenue & Earnings Growth: 5-Year Financial Trend

ZIP 5-year financial data: Year 2021: Revenue $741.1M, Net Income -$6.3M, EPS $-0.13. Year 2022: Revenue $904.6M, Net Income $86.0M, EPS $0.70. Year 2023: Revenue $904.6M, Net Income $3.6M, EPS $0.02. Year 2024: Revenue $904.6M, Net Income $61.5M, EPS $0.51. Year 2025: Revenue $645.7M, Net Income $49.1M, EPS $0.46.
Revenue
Net Income
EPS (right axis)

5-Year Trend Summary: Ziprecruiter, Inc..'s revenue has declined by 13% over the 5-year period, indicating business contraction. The most recent EPS of $0.46 reflects profitable operations.

ZIP Revenue Growth, EPS Growth & YoY Performance

Revenue Growth
N/A
Year-over-year
Net Income Growth
N/A
Year-over-year
EPS Growth
N/A
Earnings per share
FCF Margin
-3.4%
Free cash flow / Revenue

ZIP Quarterly Earnings & Performance

Quarterly financial performance data for Ziprecruiter, Inc.. including revenue, net income, and earnings per share.
Quarter Revenue Net Income EPS
Q1 2026 $107.5M -$4.7M $-0.06
Q3 2025 $115.0M -$2.1M $-0.02
Q2 2025 $112.2M $509.0K $0.00
Q1 2025 $110.1M -$6.5M $-0.07
Q3 2024 $117.1M -$2.1M $-0.02
Q2 2024 $123.7M $509.0K $0.00
Q1 2024 $122.2M $5.0M $0.05
Q3 2023 $155.6M $5.0M $0.17

Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.

Ziprecruiter, Inc.. Dividends, Buybacks & Capital Allocation

Operating Cash Flow
-$3.5M
Cash generated from operations
Stock Buybacks
$9.5M
Shares repurchased (TTM)
Capital Expenditures
$140.0K
Investment in assets
Dividends
None
No dividend program

ZIP SEC Filings: Latest 10-K & 10-Q Analysis

Access official SEC EDGAR filings for Ziprecruiter, Inc.. (CIK: 0001617553)

📋 Recent SEC Filings

Date Form Document Action
May 28, 2026 4 xslF345X06/wk-form4_1780001292.xml View →
May 7, 2026 4 xslF345X06/wk-form4_1778193133.xml View →
May 7, 2026 10-Q zip-20260331.htm View →
May 7, 2026 8-K zip-20260507.htm View →
Apr 27, 2026 4 xslF345X06/wk-form4_1777324245.xml View →

Frequently Asked Questions about ZIP

What is the AI rating for ZIP?

Ziprecruiter, Inc.. (ZIP) has an AI grade of D with 88% confidence, based on fundamental analysis of SEC EDGAR filings.

What are ZIP's key strengths?

Claude: Exceptionally strong gross margin of 88.9% indicates core business model economics are viable at unit level. Substantial cash position of $251M provides short-term liquidity buffer and 7.27x current ratio.

What are the risks of investing in ZIP?

Claude: Negative stockholders' equity of -$83.8M: accumulated losses exceed all shareholder capital - technically insolvent. Negative operating cash flow (-$3.5M) and free cash flow (-$3.6M): operationally unsustainable without external funding.

What is ZIP's revenue and growth?

Ziprecruiter, Inc.. reported revenue of $107.5M.

Does ZIP pay dividends?

Ziprecruiter, Inc.. does not currently pay dividends.

Where can I find ZIP SEC filings?

Official SEC filings for Ziprecruiter, Inc.. (CIK: 0001617553) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.

What is ZIP's EPS?

Ziprecruiter, Inc.. has a diluted EPS of $-0.06.

How is the AI analysis conducted?

Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined grade reflects both perspectives for balanced insights.

What is ZIP's fundamental grade?

Based on our AI fundamental analysis in June 2026, Ziprecruiter, Inc.. has a D grade with 88% confidence. Review the strengths and risks sections above for full context. This is not investment advice.

Is ZIP stock overvalued or undervalued?

Valuation metrics for ZIP: ROE of N/A (sector avg: 22%), net margin of -4.4% (sector avg: 18%). Compare these metrics with sector averages to assess valuation.

What is ZIP's AI grade for 2026?

Our dual AI analysis gives Ziprecruiter, Inc.. a combined D grade for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.

What is ZIP's free cash flow?

Ziprecruiter, Inc..'s operating cash flow is $-3.5M, with capital expenditures of $140.0K. FCF margin is -3.4%.

How does ZIP compare to other Technology stocks?

Vs Technology sector averages: Net margin -4.4% (avg: 18%), ROE N/A (avg: 22%), current ratio 7.27 (avg: 2.5).

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Disclaimer: This analysis is generated by Claude AI (Anthropic) and ChatGPT (OpenAI) based on publicly available SEC EDGAR filings. It does not include stock price data and should not be considered financial advice. All fundamental data is sourced from SEC public domain filings. Always conduct your own research and consult with a qualified financial advisor before making investment decisions.
Data Source: SEC EDGAR | Analysis Date: May 9, 2026 | Data as of: 2026-03-31 | Powered by Claude AI