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Douglas Elliman Inc. (DOUG)
NYSE:DOUG
US Market
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Douglas Elliman Inc. (DOUG) AI Stock Analysis

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DOUG

Douglas Elliman Inc.

(NYSE:DOUG)

Rating:56Neutral
Price Target:
$2.50
▼(-3.47% Downside)
Douglas Elliman Inc.'s overall stock score reflects significant financial and valuation challenges, with profitability and cash flow issues being the most pressing concerns. Technical analysis provides a mixed outlook, while the earnings call offers some positive strategic developments. The stock's valuation remains unattractive due to ongoing losses and lack of dividends.

Douglas Elliman Inc. (DOUG) vs. SPDR S&P 500 ETF (SPY)

Douglas Elliman Inc. Business Overview & Revenue Model

Company DescriptionDouglas Elliman Inc. (DOUG) is one of the largest residential real estate brokerage firms in the United States. The company operates primarily in the real estate sector, providing a range of services including residential sales and leasing, property marketing, and management. Douglas Elliman is renowned for its extensive reach with operations spanning major markets such as New York City, Florida, California, and other key regions. The company is also recognized for its luxury real estate offerings and its comprehensive approach to real estate services.
How the Company Makes MoneyDouglas Elliman Inc. makes money primarily through commissions earned on real estate transactions. When a property is sold or leased, Douglas Elliman receives a percentage of the transaction value as a commission, which constitutes a significant portion of its revenue. Additionally, the company generates income through its property management services, which involve managing residential properties on behalf of owners for a fee. The company might also engage in strategic partnerships and alliances with other real estate entities to expand its market reach and service offerings, contributing to its revenue streams. Furthermore, its presence in luxury real estate markets allows Douglas Elliman to command higher commissions on high-value property transactions.

Douglas Elliman Inc. Earnings Call Summary

Earnings Call Date:Jul 31, 2025
(Q2-2025)
|
% Change Since: |
Next Earnings Date:Nov 05, 2025
Earnings Call Sentiment Neutral
The earnings call reflected a mix of positive achievements and challenges. While the first half of 2025 showed strong revenue growth and strategic initiatives such as Elliman Capital and Elliman International, the second quarter faced setbacks with declining revenue, increased net loss, and economic pressures affecting market activity.
Q2-2025 Updates
Positive Updates
Record First Half Revenue
In the first half of 2025, revenues increased by 8% year-over-year to $524.8 million, marking the strongest first half revenue performance since 2022.
Luxury Market Growth
Sales of homes over $5 million increased by 38% in the first half of 2025 compared to the same period in 2024. Additionally, sales of homes over $10 million increased by 32%.
Development Marketing Division Success
The development marketing division's revenue increased to $35.4 million in the first half of 2025, up from $17.7 million in the same period in 2024.
Launch of Elliman Capital and Elliman International
Elliman Capital was launched as an innovative mortgage platform and Elliman International was established to expand service to global markets.
Improved Profitability Metrics
Adjusted EBITDA for the first half of 2025 was $259,000, compared to a loss of $14.7 million in the same period in 2024.
Negative Updates
Second Quarter Revenue Decline
Revenues for the second quarter of 2025 were $271.4 million, a decline from $285.8 million in the second quarter of 2024.
Net Loss in Second Quarter
Net loss for the second quarter of 2025 was $22.7 million compared to a net loss of $1.7 million in the second quarter of 2024.
Impact of Economic Pressures
The second quarter was negatively impacted by economic pressures, including heightened volatility in international financial markets and elevated mortgage rates.
Increased Operating Expenses
Operating expenses increased due to higher compensation and recurring professional fees, partly due to inflationary pressures.
Company Guidance
During the second quarter of 2025 earnings call, Douglas Elliman reported a range of financial metrics, highlighting their strategic progress and challenges. The company's revenues for the first half of 2025 increased by 8% year-over-year to $524.8 million, marking a notable improvement. However, the second quarter alone saw a revenue decline to $271.4 million from $285.8 million in the same period of 2024, largely due to reduced closing transactions in May and early June. Their net loss for the second quarter was $22.7 million, or $0.27 per diluted share, compared to a net loss of $1.7 million or $0.02 per share in 2024. Adjusted EBITDA for the quarter was a loss of $849,000, contrasting with a positive $2.9 million in the previous year. The adjusted net loss was $4.7 million or $0.06 per share compared to $532,000 or $0.01 per share in 2024. Despite challenges, the company achieved significant growth in high-value transactions, with a 38% year-over-year increase in home sales over $5 million for the first half of 2025. Douglas Elliman also announced strategic initiatives, including the launch of Elliman Capital and Elliman International, aimed at diversifying and expanding their service offerings globally.

Douglas Elliman Inc. Financial Statement Overview

Summary
Douglas Elliman Inc. is facing profitability and cash flow challenges despite some margin improvements. Revenue growth is modest, but net profitability remains elusive. The balance sheet shows increased leverage, and cash flow issues persist, indicating operational inefficiencies.
Income Statement
55
Neutral
Douglas Elliman Inc. shows a mixed financial performance with recent challenges. The company experienced a slight revenue increase of 4.19% from 2023 to 2024, yet it remains below its 2021 peak. Gross profit margin improved significantly, indicating better cost management, climbing from 18.71% in 2023 to 92.93% in 2024. However, net profit margin is negative, reflecting ongoing profitability issues. EBIT margin turned positive, improving from -6.75% in 2023 to 72.82% in 2024, but EBITDA remains negative, pointing to underlying operational challenges.
Balance Sheet
60
Neutral
The balance sheet reflects a stable yet cautious outlook. The debt-to-equity ratio increased to 1.15 in 2024 from 0.57 in 2023, suggesting higher leverage. Return on equity remains negative at -47.47%, indicating profitability challenges. The equity ratio dropped to 32.83% in 2024, down from 47.29% in 2023, highlighting a shift towards greater liabilities. The company retains a decent cash position, though with a reduced equity base.
Cash Flow
50
Neutral
Cash flow analysis shows operational weaknesses. Operating cash flow remains negative, although slightly improved from 2023. Free cash flow growth is negative, though the decline slowed, indicating cautious progress. Operating cash flow to net income ratio indicates cash generation issues, while the free cash flow to net income ratio remains unfavorable, pointing to ongoing cash management challenges.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue1.05B995.63M955.58M1.15B1.35B773.99M
Gross Profit239.51M251.81M178.81M216.98M270.09M227.04M
EBITDA160.73M-65.21M-54.09M26.93M110.66M39.38M
Net Income-41.13M-76.32M-42.55M-5.62M98.84M-46.37M
Balance Sheet
Total Assets493.94M493.89M493.42M550.40M595.17M453.98M
Cash, Cash Equivalents and Short-Term Investments136.77M149.54M119.81M163.86M211.62M94.42M
Total Debt151.53M156.28M132.94M142.84M164.87M192.47M
Total Liabilities335.77M331.46M259.26M279.94M313.30M290.39M
Stockholders Equity158.24M162.19M233.23M268.92M279.93M163.59M
Cash Flow
Free Cash Flow-8.78M-31.50M-36.56M-23.28M123.72M25.74M
Operating Cash Flow-4.29M-25.96M-30.41M-14.74M127.83M31.86M
Investing Cash Flow4.15M-6.79M-5.24M-12.74M-8.86M-4.09M
Financing Cash Flow45.45M45.45M-6.21M-30.00M3.20M-143.00K

Douglas Elliman Inc. Technical Analysis

Technical Analysis Sentiment
Positive
Last Price2.59
Price Trends
50DMA
2.51
Positive
100DMA
2.34
Positive
200DMA
2.11
Positive
Market Momentum
MACD
0.04
Negative
RSI
51.94
Neutral
STOCH
70.41
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DOUG, the sentiment is Positive. The current price of 2.59 is above the 20-day moving average (MA) of 2.48, above the 50-day MA of 2.51, and above the 200-day MA of 2.11, indicating a bullish trend. The MACD of 0.04 indicates Negative momentum. The RSI at 51.94 is Neutral, neither overbought nor oversold. The STOCH value of 70.41 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for DOUG.

Douglas Elliman Inc. Risk Analysis

Douglas Elliman Inc. disclosed 42 risk factors in its most recent earnings report. Douglas Elliman Inc. reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Douglas Elliman Inc. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
72
Outperform
$21.58B39.965.60%1.95%32.76%-2.01%
71
Outperform
$306.99M20.012.21%-5.21%
70
Outperform
$1.12B-31.81%72.57%65.15%
63
Neutral
$7.06B13.77-0.50%7.05%4.08%-25.24%
57
Neutral
$684.47M-6.89%2.74%-118.94%
56
Neutral
$241.29M-36.97%8.64%1.81%
53
Neutral
$3.27B-41.33%14.07%27.59%
* Real Estate Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
DOUG
Douglas Elliman Inc.
2.59
0.93
56.02%
HOUS
Anywhere Real Estate ate
5.92
1.09
22.57%
RMAX
Re/Max Holdings
9.09
-2.15
-19.13%
BEKE
KE Holdings Inc. Sponsored ADR Class A
18.44
4.03
27.97%
OPEN
Opendoor Technologies
5.09
3.15
162.37%
REAX
Real Brokerage
5.25
-0.68
-11.47%

Douglas Elliman Inc. Corporate Events

Shareholder Meetings
Douglas Elliman Inc. Holds Annual Stockholder Meeting
Neutral
Jun 26, 2025

On June 25, 2025, Douglas Elliman Inc. held its annual meeting of stockholders where several proposals were voted upon. The meeting resulted in the election of directors, the ratification of Deloitte & Touche LLP as the independent registered public accounting firm for 2025, and an advisory vote on executive compensation, all of which were approved by the stockholders.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Aug 19, 2025