DoubleVerify Holdings (DV) AI Stock Analysis

• Market Cap: $1.67B
• Dividend Yield: N/A
• Average Volume (3M): 3.67M
• Price to Earnings (P/E): 41.3
• Beta (1Y): 1.06
• Revenue Growth: 14.86%
• EPS Growth: -30.25%
• Country: US
• Employees: 1,197
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Application
• EPS (TTM): 0.06
• Shares Outstanding: 161,107,210
• 10 Day Avg. Volume: 4,521,459
• 30 Day Avg. Volume: 3,665,448
• PEG Ratio: -2.50
• Price to Book (P/B): 3.02
• Price to Sales (P/S): 4.99
• P/FCF Ratio: 24.72
• Enterprise Value/Market Cap: 1.13
• Enterprise Value/Revenue: 2.59
• Enterprise Value/Gross Profit: 3.15
• Enterprise Value/Ebitda: 13.71
• 1Y Price Target: $15.57
• Price Target Upside: 43.24% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 17
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 71 Outperform
• Price Target: $11.50 ▲(5.80% Upside)

DoubleVerify Holdings benefits from strong financial performance and positive earnings call highlights, including robust revenue growth and AI-driven efficiencies. However, technical indicators suggest bearish momentum, and the stock's valuation appears high, which could limit upside potential.

Positive Factors

Revenue Growth

DoubleVerify's consistent revenue growth reflects its strong market position and effective execution of growth initiatives, contributing to long-term business sustainability.

AI and Automation

The integration of AI and automation enhances operational efficiency, providing a durable competitive advantage and supporting margin expansion over time.

Customer Retention

Strong customer retention indicates high satisfaction and loyalty, ensuring stable revenue streams and reducing the cost of acquiring new customers.

Negative Factors

Retail Industry Softness

Challenges in the retail sector may limit growth opportunities, affecting revenue diversification and exposing the company to sector-specific risks.

International Revenue Growth

Limited international growth suggests challenges in expanding globally, which could hinder the company's ability to capitalize on broader market opportunities.

Leadership Transition

Leadership changes can lead to strategic shifts and potential disruptions, impacting continuity and execution of long-term strategic plans.

DoubleVerify Holdings Business Overview & Revenue Model

Company Description

DoubleVerify Holdings (DV) is a leading software company that specializes in digital media measurement, data, and analytics. Operating within the advertising technology sector, DoubleVerify provides solutions that enhance the effectiveness of digital advertising by ensuring that ads are viewable, fraud-free, and brand-safe. Its core products include verification tools that assess the quality and performance of digital advertising across various platforms, including display, video, and social media.

How the Company Makes Money

DoubleVerify generates revenue primarily through its subscription-based model, where clients pay for access to its suite of verification and analytics tools. The company has multiple key revenue streams, including fees for its brand safety and fraud detection services, which are charged based on the volume of ads verified or the number of impressions measured. In addition, DoubleVerify partners with major advertising platforms and agencies, which helps drive adoption of its services and expand its customer base. The company's strong relationships within the digital advertising ecosystem, along with the increasing demand for transparency and accountability in online advertising, contribute to its earnings growth.

DoubleVerify Holdings Financial Statement Overview

Summary

DoubleVerify Holdings shows strong revenue growth and profitability, supported by a solid balance sheet with low leverage. However, the decline in free cash flow growth needs attention.

Income Statement

DoubleVerify Holdings has demonstrated consistent revenue growth with a TTM revenue growth rate of 2.67%. The company maintains strong profitability, evidenced by a gross profit margin of 82.10% and a net profit margin of 7.38% in the TTM period. However, there is a slight decline in EBIT and EBITDA margins compared to previous years, indicating potential cost pressures.

Balance Sheet

The company maintains a solid financial position with a low debt-to-equity ratio of 0.095, suggesting prudent leverage management. The return on equity is moderate at 4.86%, indicating efficient use of equity capital. The equity ratio stands at a healthy level, reflecting a strong asset base supported by equity.

Cash Flow

Operating cash flow to net income ratio is robust at 1.71, indicating strong cash generation relative to net income. However, the free cash flow growth rate is negative at -6.24%, which could signal challenges in sustaining cash flow growth. The free cash flow to net income ratio remains healthy at 0.84, suggesting effective conversion of earnings into cash.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	733.32M	656.85M	572.54M	452.42M	332.74M	243.92M
Gross Profit	601.45M	540.33M	465.91M	374.55M	278.36M	208.17M
EBITDA	138.35M	135.12M	137.83M	94.60M	57.28M	46.84M
Net Income	44.72M	56.23M	71.47M	43.27M	29.31M	20.45M
Balance Sheet
Total Assets	1.30B	1.28B	1.24B	1.04B	892.19M	511.33M
Cash, Cash Equivalents and Short-Term Investments	200.73M	310.63M	310.13M	267.81M	221.59M	33.35M
Total Debt	103.11M	91.67M	86.39M	83.75M	4.55M	26.96M
Total Liabilities	219.65M	192.75M	169.09M	160.17M	93.13M	94.64M
Stockholders Equity	1.08B	1.08B	1.07B	876.86M	799.07M	416.69M
Cash Flow
Free Cash Flow	140.53M	132.51M	102.73M	54.88M	73.35M	11.46M
Operating Cash Flow	175.84M	159.66M	119.74M	94.86M	82.75M	21.22M
Investing Cash Flow	-69.10M	-44.84M	-84.25M	-39.98M	-158.61M	-9.75M
Financing Cash Flow	-219.98M	-129.45M	6.49M	-7.88M	264.39M	10.38M

DoubleVerify Holdings Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 10.87
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DV, the sentiment is Negative. The current price of 10.87 is below the 20-day moving average (MA) of 11.17, below the 50-day MA of 11.94, and below the 200-day MA of 14.61, indicating a bearish trend. The MACD of -0.41 indicates Positive momentum. The RSI at 41.07 is Neutral, neither overbought nor oversold. The STOCH value of 75.53 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for DV.

DoubleVerify Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CXM	73 Outperform	$1.82B	16.73	23.74%	―	6.08%	153.79%
DV	71 Outperform	$1.67B	41.28	4.05%	―	14.86%	-30.25%
DSP	64 Neutral	$550.19M	396.97	4.45%	―	22.97%	49.49%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
OPFI	60 Neutral	$875.78M	―	9.19%	―	9.63%	-112.71%
BMBL	50 Neutral	$427.48M	―	-25.34%	―	-7.43%	61.36%

DoubleVerify Holdings Corporate Events

DoubleVerify Earnings Call Highlights Robust Growth and AI Success

The recent earnings call for DoubleVerify Holdings, Inc. was marked by a largely positive sentiment, underscored by robust revenue growth, profitability, and successful AI-driven initiatives. Despite these achievements, challenges in the retail vertical and international revenue growth were acknowledged as areas needing attention.

DoubleVerify’s Q3 2025: Revenue Growth and AI Innovations

DoubleVerify Holdings, Inc. is a leading software platform specializing in digital media measurement, data, and analytics, providing solutions to enhance transparency and performance in the advertising industry. In its third-quarter 2025 earnings report, DoubleVerify announced an 11% year-over-year revenue growth, reaching $188.6 million, and a 35% adjusted EBITDA margin of $65.9 million. The company also raised its full-year 2025 adjusted EBITDA margin guidance to approximately 33%. Key highlights include the launch of DV AI Verification and DV Authentic Advantage solutions, which leverage AI to improve transparency and performance for advertisers. The company also introduced new products for streaming TV and expanded its market presence with new enterprise customer wins and international growth. DoubleVerify’s financial performance was marked by a 10% increase in activation revenue, a 9% rise in measurement revenue, and a 27% growth in supply-side revenue. The company maintained a gross revenue retention rate of over 95% and repurchased 3.3 million shares for $50.1 million in the third quarter. Looking ahead, DoubleVerify expects continued revenue growth and profitability, with fourth-quarter revenue projected between $207 and $211 million and an adjusted EBITDA margin of 38%. The company remains focused on leveraging AI and expanding its market presence to drive performance and accountability in the digital advertising ecosystem.

DoubleVerify Announces Leadership Changes Amidst Executive Departure

On September 15, 2025, DoubleVerify announced that Julie Eddleman will step down as Executive Vice President and Global Chief Commercial Officer at the end of the year to pursue other interests. She will continue as a Senior Advisor through 2026, assisting with the transition and supporting the company’s growth. Steve Mougis, the current Chief Growth Officer, will take over as Chief Commercial Officer starting January 1, 2026. The company also announced additional leadership changes, including the appointment of Gian LaVecchia as Chief Revenue Officer and Joris Stevens as SVP, Global Account Management, to further strengthen its commercial team.

The most recent analyst rating on (DV) stock is a Buy with a $17.00 price target. To see the full list of analyst forecasts on DoubleVerify Holdings stock, see the DV Stock Forecast page.