DoubleDown Interactive Co. Ltd. American Depository Shares (DDI)

FairStock Score: 77/100 — HIGH CONVICTION

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

At $13.65 on 2026-10-13, DoubleDown Interactive carries a $441.5 million market cap. The business develops and publishes casual games and mobile apps, mostly social casino and iGaming, with 260 employees. In the period labeled 2026-Q2, revenue was $94.3 million and net income was $32.9 million, a 34.86% net margin—remarkable if repeatable. Trailing free cash flow of $146.7 million against that market cap gives a 33.2% FCF yield, per FairStock. The balance sheet looks conservative with debt-to-equity of 0.04 and an Altman Z-Score of 4.53. FairStock's price-based numbers at the close date are striking: P/E 5.42, P/B 0.67, PEG 0.11, EV/EBITDA 0.14, and a Graham Number of $152.12, implying 91.03% margin of safety. Returns are decent but not extraordinary: ROE 13.13%, ROCE 8.73%, Piotroski 6/9. The supplied growth rates—12.73% revenue growth and 48.05% profit growth—are attractive, but the data set does not name the exact filing period, and the Lynch category is none because only 0 years of filed results are available. That lack of history is a real handicap. The moat, if any, rests on the listed game brands and platforms rather than physical assets, but social casino and iGaming are regulated, competitive, and hit-driven. At this price, the market seems to price in stagnation or risk. If cash flow persists and regulation does not bite, the valuation is undemanding; if earnings are not durable, the apparent cheapness is a trap.

In plain English: DoubleDown makes casual games and online casino-style games for phones and computers. In the quarter labeled 2026-Q2, it brought in $94.3 million in revenue and kept $32.9 million as profit, and the stock looks cheap compared with those profits. The catch is that gaming is a regulated and competitive business, so the low price could reflect real risks.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer