Fangdd Network Group (DUO) AI Stock Analysis

• Market Cap: $237.44K
• Dividend Yield: N/A
• Average Volume (3M): 214.87K
• Price to Earnings (P/E): 2.0
• Beta (1Y): 1.94
• Revenue Growth: 16.94%
• EPS Growth: N/A
• Country: US
• Employees: 134
• Sector: Real Estate
• Sector Strength: 59
• Industry: Real Estate - Services
• EPS (TTM): 0.05
• Shares Outstanding: 3,904,565
• 10 Day Avg. Volume: 152,222
• 30 Day Avg. Volume: 214,865
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: -28.01
• Enterprise Value/Revenue: -0.02
• Enterprise Value/Gross Profit: -0.11
• Enterprise Value/Ebitda: 0.05
• 1Y Price Target: $2.50
• Price Target Upside: 50.60% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 51 Neutral
• Price Target: $2.00 ▲(20.48% Upside)

The overall stock score is primarily affected by financial performance challenges, including negative margins and cash flow issues. The technical analysis indicates a bearish trend, though the stock appears undervalued based on its P/E ratio. The lack of dividend yield and earnings call information slightly dampens the score.

Fangdd Network Group Business Overview & Revenue Model

Company Description

Fangdd Network Group Ltd., an investment holding company, provides real estate information services through online platforms in the People's Republic of China. It operates Property Cloud, a software as a service solution for real estate sellers. The company also operates platforms for real estate agents, including Duoduo Sales, which offers real estate agents with instant access to marketplace functionalities and allows them to conduct transactions on the go; Duoduo Cloud Agency that provides a suite of tools and services to agencies to migrate business management from offline to online; Duoduo Cloud Sales, which connects agents to property database and buyer base, allowing them to source, manage, and complete transactions online; and provides supply-chain financial products and support transactions, as well as online and offline, and project-specific training and guidance services. In addition, it operates Fangduoduo that offers personalized services to potential real estate buyers; and provides information matching, real estate agency, financial, and channel services. Further, the company operates www.fangdd.com that offers real estate agents and real estate buyers region-specific real estate news, information, property data, and access to shared-interest online communities; and offers data analysis services. As of December 31, 2021, its marketplace had approximately 378 thousand active agents and covers 157 million properties in China. The company was founded in 2011 and is headquartered in Shenzhen, the People's Republic of China.

How the Company Makes Money

Fangdd Network Group generates revenue primarily through its online real estate platform. The company's key revenue streams include commission fees from successful property transactions facilitated via its platform and service fees for marketing and advertising solutions offered to real estate agents and developers. Additionally, Fangdd may earn income through partnerships with financial institutions, providing value-added services such as mortgage facilitation. The company's growth is significantly driven by its ability to attract a large user base and maintain strong relationships with real estate professionals and developers.

Fangdd Network Group Financial Statement Overview

Summary

Fangdd Network Group shows potential with its recent net income turnaround and revenue growth. Yet, persistent challenges such as negative EBIT and EBITDA margins, high liabilities, and negative free cash flow indicate that the company needs to address operational inefficiencies and enhance cash generation to ensure long-term financial health.

Income Statement

Fangdd Network Group has shown improvement in revenue, with a notable increase from the previous year, while also turning a net profit in the latest period. Despite this, the company still faces challenges with negative EBIT and EBITDA margins, which highlight ongoing operational inefficiencies. The gross profit margin has seen improvements, indicating better cost management.

Balance Sheet

The company's balance sheet reveals a relatively low debt-to-equity ratio, suggesting cautious use of leverage. However, the total liabilities remain high, and the equity ratio is moderate due to substantial liabilities. The return on equity has improved with the positive net income but remains a concern when considering historical performance.

Cash Flow

Cash flow statements indicate a significant reduction in negative free cash flow compared to previous periods, although it remains negative. The operating cash flow to net income ratio suggests that the company is struggling to convert its profits into cash flow, a crucial aspect for sustaining operations and growth.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	339.10M	284.96M	245.95M	942.38M	2.45B
Gross Profit	61.75M	41.19M	24.73M	106.51M	414.47M
EBITDA	-123.98M	-92.56M	-223.62M	-949.60M	-189.94M
Net Income	30.83M	-91.75M	-226.75M	-1.20B	-221.38M
Balance Sheet
Total Assets	731.19M	769.90M	1.08B	1.91B	4.05B
Cash, Cash Equivalents and Short-Term Investments	188.98M	137.04M	145.93M	498.26M	852.45M
Total Debt	1.46M	140.00K	74.53M	134.78M	443.44M
Total Liabilities	347.89M	578.40M	1.08B	1.61B	4.05B
Stockholders Equity	386.34M	195.84M	100.12M	313.26M	1.47B
Cash Flow
Free Cash Flow	-91.61M	-186.41M	-127.18M	-73.08M	-335.24M
Operating Cash Flow	-60.37M	-186.12M	-126.98M	-60.62M	-325.00M
Investing Cash Flow	-145.98M	31.43M	-159.27M	-43.73M	5.85M
Financing Cash Flow	146.63M	119.83M	-58.65M	-307.13M	-46.56M

Fangdd Network Group Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.66
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DUO, the sentiment is Negative. The current price of 1.66 is below the 20-day moving average (MA) of 2.04, below the 50-day MA of 2.39, and below the 200-day MA of 7.20, indicating a bearish trend. The MACD of -0.21 indicates Positive momentum. The RSI at 25.46 is Positive, neither overbought nor oversold. The STOCH value of 5.23 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for DUO.

Fangdd Network Group Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BEKE	70 Outperform	$21.35B	33.13	6.53%	2.05%	34.99%	28.80%
REAX	70 Outperform	$847.48M	―	-52.95%	―	83.50%	8.45%
EXPI	67 Neutral	$1.61B	―	-12.78%	1.95%	6.69%	-137.52%
Sector *	63 Neutral	$6.82B	13.55	-1.43%	7.27%	4.64%	-34.02%
OPEN	57 Neutral	$1.40B	―	-41.33%	―	2.36%	-23.60%
RDFN	55 Neutral	$1.43B	―	199.35%	―	5.11%	-29.67%
DUO	51 Neutral	$237.44K	1.98	10.63%	―	16.94%	―