Yalla Group Limited (YALA)
NYSE:YALA
Top Page
Yalla Group
(NYSE:YALA)
Select Model
Select Model
Rating:78Outperform
Price Target:
$8.50
▲(20.40% Upside)
Action:ReiteratedDate:11/11/25
Yalla Group's overall score of 78 reflects strong financial performance (score: 85, weight: 40%) with high profitability and minimal debt as the primary driver. Positive earnings call insights (score: 80, weight: 10%) and an attractive P/E ratio (score: 75, weight: 20%) further support the score, though mixed technical signals (score: 65, weight: 30%) and minimal revenue growth temper upside potential.
Positive Factors
Market Expansion
The significant growth potential in the MENA gaming market provides Yalla Group with opportunities to expand its user base and revenue streams, leveraging its established presence and expertise in the region.
Negative Factors
Minimal Revenue Growth
Stagnant revenue growth may indicate challenges in scaling operations or market saturation, potentially limiting future financial performance and investor confidence.
Read all positive and negative factors
Positive Factors
Negative Factors
Market Expansion
The significant growth potential in the MENA gaming market provides Yalla Group with opportunities to expand its user base and revenue streams, leveraging its established presence and expertise in the region.
Read all positive factors
Yalla Group (YALA) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$1.01B
Dividend YieldN/A
Average Volume (3M)292.75K
Price to Earnings (P/E)7.2
Beta (1Y)1.27
Revenue Growth5.80%
EPS Growth12.20%
CountryUS
Employees815
SectorTechnology
Sector Strength88
IndustrySoftware - Application
Share Statistics
EPS (TTM)0.20
Shares Outstanding132,801,830
10 Day Avg. Volume327,556
30 Day Avg. Volume292,745
Financial Highlights & Ratios
PEG Ratio0.32
Price to Book (P/B)0.92
Price to Sales (P/S)1.92
P/FCF Ratio3.79
Enterprise Value/Market Cap0.46
Enterprise Value/Revenue1.34
Enterprise Value/Gross Profit2.02
Enterprise Value/Ebitda3.43
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)0.88
Revenue Forecast (FY)$390.20M
Yalla Group Business Overview & Revenue Model
Company Description
Yalla Group Limited operates a voice-centric social networking and entertainment platform under the Yalla name primarily in the Middle East and North Africa region. Its platform offers group chatting and games services; and sells virtual items, as...
How the Company Makes Money
Yalla Group generates revenue through several key streams. Primarily, the company monetizes its user base by offering in-app purchases and virtual goods, particularly within its gaming platform, Yalla Ludo. Additionally, the company earns revenue ...
Yalla Group Earnings Call Summary
Earnings Call Date:Mar 09, 2026
(Q4-2025)
| % Change Since: |
Next Earnings Date:May 18, 2026
Earnings Call Sentiment Positive
The call highlighted solid full-year financial and operational progress — including full-year revenue of USD 341.9 million, double-digit full-year net income growth (+10.4%), MAU growth (+8.2%), stronger Q4 net margins (41.2%) and a stronger cash position (+~15%). Management also emphasized strategic investments and growth levers: AI (CMIS), a deepening MENA focus, esports partnership in Saudi Arabia, an active share repurchase program, and a pipeline of Match‑3 and SLG titles expected to contribute in H2 2026. Offsetting these positives were a Q4 revenue decline (~-7.6% YoY) and lower operating income, higher marketing spend (+26.5% YoY) as a percentage of revenue, and conservative near-term guidance (Q4 2026 revenue range below Q4 2025), influenced by Ramadan timing and regional uncertainty. Overall, the company presented a mix of near-term challenges but durable fundamentals, growth initiatives and shareholder-friendly capital allocation.Positive Updates
Full-Year Revenue and Net Income Growth
Full-year revenue reached USD 341.9 million. Full-year net income grew 10.4% year-over-year to USD 148.1 million, reflecting improved profitability for the year.
Negative Updates
Quarterly Revenue Decline
Q4 2025 revenues were USD 83.9 million, down from USD 90.8 million in Q4 2024 — a decline of approximately 7.6% year-over-year. Management attributed the decrease mainly to a drop in paying users tied to fewer third-party payment platform promotions versus the prior year.
Read all updates
Q4-2025 Updates
Positive
Negative
Full-Year Revenue and Net Income Growth
Full-year revenue reached USD 341.9 million. Full-year net income grew 10.4% year-over-year to USD 148.1 million, reflecting improved profitability for the year.
Read all positive updates
Company Guidance
The company provided specific near- and medium‑term guidance, forecasting fourth‑quarter 2026 revenues of USD 75–82 million and saying flagship revenues should remain broadly flat in 2026 with margins stable at around 40%; R&D spending is expected to track a similar trajectory to 2025 while marketing will be flexibly adjusted (current sales & marketing budget for new games ~5% of group revenue), with new mid‑core and hard‑core titles expected to begin generating meaningful revenue in H2 2026 (Match‑3 and SLG monetization to ramp in stages, SLG promotion targeted for Q2 and external marketing scaled from Q2), and management will take a dynamic approach to margin optimization; liquidity supports these plans (cash, equivalents and short‑term investments of USD 754.6 million as of 12/31/2025) and capital return remains a priority—the company repurchased USD 56.6 million in 2025 (shares to be cancelled), intends to use the remaining USD 44 million under the existing program, and has authorized a new share repurchase program of up to USD 150 million effective 3/9/2026–3/8/2028.Yalla Group Financial Statement Overview
Summary
Income Statement
85
Very Positive
Balance Sheet
90
Very Positive
Cash Flow
80
Positive
| Breakdown | TTM | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 | Dec 2020 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 348.90M | 339.68M | 318.88M | 303.60M | 273.13M | 134.93M |
| Gross Profit | 232.28M | 219.21M | 204.35M | 189.80M | 177.99M | 73.66M |
| EBITDA | 136.42M | 123.55M | 98.37M | 82.77M | 85.30M | 4.34M |
| Net Income | 147.57M | 135.68M | 117.34M | 79.76M | 82.60M | 3.21M |
Balance Sheet | ||||||
| Total Assets | 869.46M | 801.63M | 638.96M | 506.33M | 380.81M | 254.62M |
| Cash, Cash Equivalents and Short-Term Investments | 737.89M | 654.30M | 535.70M | 453.04M | 354.39M | 237.65M |
| Total Debt | 489.46K | 1.03M | 2.10M | 1.60M | 668.33K | 0.00 |
| Total Liabilities | 92.10M | 103.82M | 76.29M | 66.47M | 44.93M | 21.08M |
| Stockholders Equity | 785.27M | 704.35M | 567.69M | 440.58M | 335.89M | 233.53M |
Cash Flow | ||||||
| Free Cash Flow | 0.00 | 171.97M | 137.67M | 103.22M | 142.75M | 63.76M |
| Operating Cash Flow | 0.00 | 172.82M | 139.32M | 119.55M | 144.24M | 64.79M |
| Investing Cash Flow | 0.00 | 18.58M | -226.12M | -62.57M | -5.36M | 2.48M |
| Financing Cash Flow | 0.00 | -12.82M | -7.55M | 371.00K | -24.56M | 123.77M |
Yalla Group Technical Analysis
Negative
7.06
Price Trends
6.82
Negative
6.92
Negative
7.21
Negative
Market Momentum
-0.18
Negative
45.82
Neutral
64.33
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For YALA, the sentiment is Negative. The current price of 7.06 is above the 20-day moving average (MA) of 6.39, above the 50-day MA of 6.82, and below the 200-day MA of 7.21, indicating a bearish trend. The MACD of -0.18 indicates Negative momentum. The RSI at 45.82 is Neutral, neither overbought nor oversold. The STOCH value of 64.33 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for YALA.
Yalla Group Risk Analysis
Yalla Group disclosed 66 risk factors in its most recent earnings report. Yalla Group 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
Yalla Group Peers Comparison
UnderperformOutperform
Sector (61)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
78 Outperform | $1.01B | 7.22 | 19.47% | ― | 5.80% | 12.20% | |
69 Neutral | $700.62M | 17.45 | 8.24% | ― | 3.62% | -20.45% | |
64 Neutral | $543.87M | 5.56 | 77.23% | ― | 7.01% | ― | |
61 Neutral | $37.18B | 12.37 | -10.20% | 1.83% | 8.50% | -7.62% | |
61 Neutral | $914.69M | -17.26 | -32.90% | ― | 12.78% | -20.47% | |
59 Neutral | $337.56M | -15.25 | -22.88% | ― | 13.09% | 32.34% |
* Technology Sector Average
YALA
Yalla Group
6.38
1.40
28.11%
PD
PagerDuty
6.40
-8.58
-57.28%
SPT
Sprout Social
5.66
-14.28
-71.61%
VTEX
VTEX
4.05
-0.46
-10.20%
AMPL
Amplitude
6.84
-2.10
-23.49%
Yalla Group Corporate Events
Yalla Group Reports Q3 2025 Financial Results with Revenue Growth
Nov 12, 2025
Yalla Group Limited announced its unaudited financial results for the third quarter of 2025, showing a revenue increase of 0.8% to $89.6 million compared to the same period in 2024. The company reported a net income of $40.7 million, a 3.9% increa...
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.