Summary of Progyny Conference Call Company Overview - **Company**: Progyny - **Industry**: Healthcare Facilities, specifically women's health and family-building benefits - **Key Executives Present**: CEO Pete Anevski, CFO Mark Livingston, Chief Commercial Officer Katie Higgins, COO Melissa Cummings [1][2] Core Business and Services - Progyny provides comprehensive benefits related to women's health and family-building, including fertility, adoption, surrogacy, pregnancy, postpartum, and menopause [3][4] - The company emphasizes expert care and support for members, leading to significant revenue growth and profitability since its IPO in 2019 [4] Market Insights and Trends - The prevalence of infertility is reported as 1 in 5, highlighting a significant need for related benefits [5] - Employers are increasingly focused on providing benefits that meet employee needs while managing medical costs [5][6] - Progyny has demonstrated a 5% compounded increase in medical costs over three years, compared to 27% for the broader market, indicating effective cost management [6][7] Client Retention and Growth - Progyny added 900,000 lives in the 2025 selling season with nearly 100% client retention [8][12] - Clients are not only retaining benefits but also expanding them, with 30% of the book of business adding to their benefits [12] Diversification and Risk Management - The company has reduced its exposure to the tech industry, with the largest industry now representing only 15% of lives covered, down from 18% [17][18] - The largest client is projected to represent only a mid-single-digit percentage of revenue in 2026, mitigating individual client risk [18] New Product Launch: Progyny Select - Progyny Select is designed for small employers (100+ employees) and offers a fully insured, pooled risk model for infertility benefits [19][21] - This market represents an additional 50 million covered lives, expanding Progyny's addressable market significantly [20][24] New Services and Offerings - Recent service expansions include pregnancy, postpartum, parenting, leave and benefit navigation, and menopause, aimed at enhancing member experience [25][26] - The company is focused on integrating these services to provide a cohesive experience for members [26] Global Expansion - Progyny's acquisition of Apryl in 2024 allows for a unified global offering that addresses women's health and family-building services across different countries [28][29] - The focus is on providing local customization while maintaining global consistency [30] Financial Performance and Cash Flow - Progyny has maintained a strong conversion rate of Adjusted EBITDA to cash flow, exceeding a 75% target [31] - The company plans to continue investing in business expansion, including new offerings and go-to-market resources [32] Future Outlook - The leadership expresses confidence in the growth potential of Progyny Select and the overall business strategy for 2026 and beyond [34][61] - The company aims to demonstrate its ability to grow sustainably despite macroeconomic challenges [63] Competitive Landscape - Progyny positions itself as a leader in the market, contrasting with competitors who may struggle with cash flow and business models [51][52] - The company welcomes competition, believing the market is large enough for multiple players [52] Conclusion - Progyny is well-positioned for future growth with a diversified client base, new product offerings, and a strong focus on member experience and cost management [64]

JP Morgan Presentation January 2026 1 Today's Speakers 2 Pete Anevski Chief Executive Officer Melissa Cummings Chief Operating Officer Katie Higgins Chief Commercial Officer Mark Livingston Chief Financial Officer Safe Harbor Statement Forward-Looking Statements This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. We intend such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements co ...

Company Performance - Progyny (PGNY) has seen a stock increase of 5.5% over the past month, reaching a new 52-week high of $28.49 [1] - Year-to-date, Progyny's stock has gained 6.8%, compared to 7.8% for the Zacks Medical sector and 10.9% for the Zacks Medical Services industry [1] Earnings and Revenue - Progyny has consistently beaten earnings estimates, with a reported EPS of $0.45 against a consensus estimate of $0.39 in its last earnings report [2] - For the current fiscal year, Progyny is expected to post earnings of $1.93 per share on revenues of $1.27 billion, with a year-over-year change of 7.22% [3] - For the next fiscal year, earnings are projected to be $2.11 per share on revenues of $1.39 billion, reflecting a year-over-year change of 9.24% [3] Valuation Metrics - Progyny's current valuation metrics show a trading multiple of 14.2X current fiscal year EPS estimates, below the peer industry average of 15.3X [7] - The stock trades at a trailing cash flow basis of 79.5X compared to the peer group's average of 11.2X, and has a PEG ratio of 0.85 [7] Zacks Rank and Style Scores - Progyny holds a Zacks Rank of 2 (Buy) due to a solid earnings estimate revision trend [8] - The company has a Value Score of B, a Growth Score of A, and a Momentum Score of C, resulting in a combined VGM Score of A [6][8] Industry Comparison - In comparison to peers, Enhabit, Inc. (EHAB) also shows strong performance with a Zacks Rank of 2 (Buy) and a Value Score of A [9] - Enhabit, Inc. reported earnings that beat consensus estimates by 41.67%, with expected earnings of $0.53 per share on revenue of $1.06 billion for the current fiscal year [10]

Industry Overview - The Medical Services sector is rapidly evolving due to digital health advancements, value-based care adoption, and a focus on patient-centric solutions [1] - The global healthcare analytics market is projected to grow from $56.64 billion in 2025 at a CAGR of 22.7% through 2035, benefiting payers, providers, and analytics vendors [1] - The industry includes various service providers such as pharmacy benefit managers, contract research organizations, and healthcare workforce solution providers, transitioning from volume-based to value-based care [3] Key Trends - The U.S. digital health market is expected to grow from $92.08 billion in 2025 to $248.11 billion by 2034, with a CAGR of 11.6% [4] - The global big data in healthcare market is valued at $110.97 billion in 2025, projected to grow at a CAGR of 19.2% from 2026 to 2035 [4] - Companies adopting AI technologies have seen a 50% reduction in treatment costs and over 50% improvement in patient outcomes [4] Workforce Challenges - A projected healthcare worker shortage of 100,000 by 2028, including a shortfall of 73,000 nursing assistants, is expected to elevate labor costs [2][5] - The WHO estimates a shortfall of 11 million physicians, particularly in low-income countries, emphasizing the need for workforce expansion [5] - Total hospital expenses increased by 5.1% in 2024, significantly outpacing the overall inflation rate of 2.9% [5] Company Highlights - **Medpace Holdings (MEDP)**: Expected earnings growth rate of 17.2% in 2025, with revenues projected to rise by 18.7% from 2024 [19][20] - **Enhabit, Inc. (EHAB)**: Anticipated earnings surge of 161.9% in 2025, with revenue growth of 2.3% [23][24] - **Progyny (PGNY)**: Projected earnings increase of 9.8% in 2025, with revenues expected to grow by 9.2% [26][27] Performance Metrics - The Medical Services industry has gained 6.8% over the past year, in line with the Medical sector, but lagged behind the S&P 500's 19.3% increase [10] - The industry is currently trading at a forward P/E of 16.9X, compared to the S&P 500's 23.3X and the sector's 21.6X [14]

Company Performance - Progyny (PGNY) has seen a stock increase of 2.4% over the past month, reaching a new 52-week high of $27.76, and has gained 56.3% since the start of the year, outperforming the Zacks Medical sector's 7.6% and the Zacks Medical Services industry's 6.9% [1] - The company has a strong record of positive earnings surprises, having beaten earnings consensus estimates in the last four quarters, with the latest EPS reported at $0.45 against a consensus estimate of $0.39, and revenue exceeding estimates by 4.19% [2] Financial Projections - For the current fiscal year, Progyny is expected to post earnings of $1.8 per share on revenues of $1.27 billion, reflecting a 9.76% change in EPS and a 9.16% change in revenues [3] - The next fiscal year projections indicate earnings of $1.93 per share on revenues of $1.39 billion, representing year-over-year changes of 7.22% and 9.24%, respectively [3] Valuation Metrics - Progyny currently trades at 15X current fiscal year EPS estimates, slightly below the peer industry average of 15.6X, while on a trailing cash flow basis, it trades at 78.1X compared to the peer group's average of 11X [7] - The stock has a PEG ratio of 0.9, which does not place it among the top echelon of stocks from a value perspective [7] Zacks Rank and Style Scores - Progyny holds a Zacks Rank of 2 (Buy) due to rising earnings estimates, which aligns with the recommendation for investors to select stocks with Zacks Rank of 1 (Strong Buy) or 2 (Buy) and Style Scores of A or B [8] - The company has a Value Score of B, a Growth Score of A, and a Momentum Score of D, resulting in a combined VGM Score of B [6] Industry Comparison - In comparison to industry peers, CareDx, Inc. (CDNA) also shows strong performance with a Zacks Rank of 2 (Buy) and a Growth Score of A, although its Value Score is C [9] - CareDx, Inc. reported earnings that beat consensus estimates by 115.38%, with expected earnings of $0.77 per share on revenue of $374.08 million for the current fiscal year [10]

Core Viewpoint - Progyny (PGNY) has been upgraded to a Zacks Rank 2 (Buy), indicating a positive outlook on its earnings estimates, which is a significant factor influencing stock prices [1][3]. Earnings Estimates and Stock Price Impact - The Zacks rating system reflects changes in earnings estimates, which are strongly correlated with near-term stock price movements [4][6]. - An increase in earnings estimates typically leads to higher fair value calculations by institutional investors, resulting in buying or selling actions that affect stock prices [4]. Progyny's Earnings Outlook - Progyny is expected to earn $1.80 per share for the fiscal year ending December 2025, with no year-over-year change, but the Zacks Consensus Estimate has increased by 8% over the past three months [8]. - The upgrade to Zacks Rank 2 places Progyny in the top 20% of Zacks-covered stocks, suggesting potential for market-beating returns in the near term [10]. Zacks Rating System - The Zacks Rank system classifies stocks into five groups based on earnings estimates, maintaining a balanced distribution of ratings across its universe of over 4,000 stocks [9]. - Stocks rated Zacks Rank 1 (Strong Buy) have historically generated an average annual return of +25% since 1988, highlighting the effectiveness of the system [7].

Core Insights - The CEO of Progyny, Peter Anevski, purchased 79,500 shares on November 13, 2025, signaling potential confidence in the company's future performance [1][5][8] Transaction Summary - The transaction involved 79,500 shares with a total value of approximately $1.9 million, based on a weighted average purchase price of $24.29 per share [2] - Post-transaction, Anevski holds 680,251 shares, valued at around $16.6 million, representing 0.79% of Progyny's outstanding shares [2][5] Company Overview - Progyny reported a trailing twelve months (TTM) revenue of $1,268.69 million and a net income of $56.57 million [4] - The company's stock price was $24.95 as of December 2, 2025, reflecting a 60% increase over the past year [4] Market Context - The recent share purchase is one of the largest by Anevski since January 2023, significantly exceeding the median sell transaction of 20,086 shares [5] - The shares were acquired at $24.29, while the market price was $26.82 as of November 17, 2025, indicating a ~10.4% increase from the purchase price [5] Company Snapshot - Progyny specializes in fertility and family-building benefits, targeting large employers in the U.S. [6][7] - The company operates within the healthcare information services sector, leveraging a curated provider network to deliver value-added services [7] Strategic Insights - Anevski's purchase was made to offset tax withholding obligations, suggesting a belief in the stock's value at current prices [8] - The company has shown strong operational performance, with a reported 9% sales growth and near-100% customer retention [9] - Progyny is viewed as a favorable investment opportunity, trading at 12 times free cash flow and 14 times forward earnings, indicating it may be undervalued [10]

Core Viewpoint - Growth stocks are appealing due to their potential for above-average financial growth, but identifying the right ones involves significant challenges and risks [1] Group 1: Growth Stock Identification - The Zacks Growth Style Score simplifies the process of identifying promising growth stocks by analyzing real growth prospects beyond traditional metrics [2] - Progyny (PGNY) is currently highlighted as a recommended growth stock, featuring a favorable Growth Score and a top Zacks Rank [2] Group 2: Earnings Growth - Earnings growth is a critical factor for growth investors, with double-digit growth being particularly desirable as it indicates strong future prospects [4] - Progyny has a historical EPS growth rate of 15.2%, but projected EPS growth for this year is expected to be 500%, significantly surpassing the industry average of 14.6% [5] Group 3: Asset Utilization - The asset utilization ratio, or sales-to-total-assets (S/TA) ratio, is an important metric for assessing efficiency in growth investing [6] - Progyny's S/TA ratio stands at 1.75, indicating that the company generates $1.75 in sales for every dollar in assets, compared to the industry average of 0.76 [6] Group 4: Sales Growth - Sales growth is another key indicator, with Progyny expected to achieve a sales growth rate of 9.2% this year, while the industry average is projected at 0% [7] Group 5: Earnings Estimate Revisions - Trends in earnings estimate revisions are correlated with stock price movements, making them a valuable indicator for investors [8] - Progyny's current-year earnings estimates have been revised upward, with the Zacks Consensus Estimate increasing by 8% over the past month [9] Group 6: Overall Positioning - Progyny has achieved a Zacks Rank of 2 due to positive earnings estimate revisions and has earned a Growth Score of A based on several favorable metrics [11] - This combination positions Progyny well for potential outperformance, making it an attractive option for growth investors [11]

Core Insights - The research conducted by Progyny highlights that 75% of men view fertility as a shared responsibility, yet only 46% of men with fertility issues seek support due to stigma and other barriers [1][2][3] Group 1: Research Findings - The study involved over 1,000 U.S. men aged 18-55, revealing that while men recognize fertility as a shared issue, social stigma, financial stress, and fear of serious health diagnoses hinder them from seeking care [2][4] - Male factors contribute to nearly half of infertility cases, indicating that addressing men's health in fertility discussions can lead to better long-term health outcomes [5] - Key barriers preventing men from seeking fertility treatment include fear of diagnosis (64%), financial stress (56%), and embarrassment (48%) [7] Group 2: Impact on Employers - Trust is crucial in healthcare; 70% of men seeking fertility information first consult their primary care doctor or nurse, while only 21% would trust their employer for fertility information [6][7] - Employers have an opportunity to enhance credibility by offering transparent and comprehensive fertility benefits, which can include family-building benefits and normalizing conversations around men's fertility [8][9] Group 3: Men's Health Awareness - A significant majority of men (82%) feel comfortable discussing fertility with their partners, which has strengthened their relationships [7] - Despite high awareness, action is lacking; less than half of men with fertility-related conditions have consulted a doctor, even though 80% had a primary care provider before trying to conceive [7] - Many men (56%) have made proactive lifestyle changes in response to understanding the link between male infertility and overall health [7]

Core Insights - Progyny (PGNY) is recognized as the leading provider of fertility benefits for employees in the US, experiencing a recent surge in stock price from $18.01 due to a series of positive news releases [1] Company Overview - Progyny specializes in offering fertility benefits, positioning itself as a key player in the employee benefits sector [1] Stock Performance - The stock price of Progyny has increased significantly, reflecting positive market sentiment and investor confidence [1]