Abstract We present the characterization of CRTS J055255.7−004426 (=THOR 42), a young eclipsing binary comprising two pre-main sequence M dwarfs (combined spectral type M3.5). This nearby (103 pc), short-period (0.859 d) system was recently proposed as a member of the ∼24 Myr-old 32 Orionis Moving Group. Using ground- and space-based photometry in combination with medium- and high-resolution spectroscopy, we model the light and radial velocity curves to derive precise system parameters. The resulting component masses and radii are 0.497 ± 0.005 and 0.205 ± 0.002 $\rm {M}_{⊙ }$, and 0.659 ± 0.003 and 0.424 ± 0.002 $\rm {R}_{⊙ }$, respectively. With mass and radius uncertainties of ∼1 per cent and ∼0.5 per cent, respectively, THOR 42 is one of the most precisely characterized pre-main sequence eclipsing binaries known. Its systemic velocity, parallax, proper motion, colour–magnitude diagram placement and enlarged radii are all consistent with membership in the 32 Ori Group. The system provides a unique opportunity to test pre-main sequence evolutionary models at an age and mass range not well constrained by observation. From the radius and mass measurements we derive ages of 22–26 Myr using standard (non-magnetic) models, in excellent agreement with the age of the group. However, none of the models can simultaneously reproduce the observed mass, radius, temperature and luminosity of the coeval components. In particular, their H–R diagram ages are 2–4 times younger and we infer masses ∼50 per cent smaller than the dynamical values.