ZYBERNO
Stock Report
Updated Sep 1, 2026

ZEDGE, INC. (ZDGE)

Technology • NYSE

$3.04

Professional Investment Analysis

ZYBERNO SCORE
Is it a great business? Is it getting better?
36.0/100
WEAK BUSINESS
ZEDGE, INC. (ZDGE) scores 36/100 — weak fundamentals with mixed indicators requiring careful analysis before acting.
📊 How is the Zyberno Score calculated? +
VALUATION SIGNAL
MARGIN OF SAFETY
Is this stock cheap or expensive relative to what the business has historically generated for owners?
-100.0%
Overvalued
Growth gap unavailable — insufficient data for reverse DCF calculation.
🎯 Expected Annual Return
-35.3%
Margin of Safety convergence — your return if the market re-prices to intrinsic value (5-yr annualised)
-4.1%
Yield + growth — what the business alone earns you, even if the market never re-rates
💰 How is Margin of Safety calculated? +
📈 How is Brina Gap calculated? +

Critical Financial Health Indicators

Return on Equity (Profitability):CRITICAL (-4.5%)
Debt-to-Equity (Solvency Risk):EXCELLENT (0.02x)
Operating Margin (Operational Efficiency):CRITICAL (-5.2%)
Return on Capital (Capital Efficiency):CRITICAL (-24.3%)
📊 Valuation Trilogy
Three interconnected metrics for complete valuation analysis
Click any metric for full methodology and detailed analysis
Zyberno's Verdict

ZEDGE, INC. (ZDGE) stock report — Zyberno Score 36/100 (WEAK BUSINESS), Margin of Safety -100.0%, -35% expected annual return. Full financial analysis on Zyberno.

According to Zyberno's DCF model, ZEDGE, INC. (ZDGE) trades at $3.04 against an estimated intrinsic value per share of $1.02 — a -100.0% Margin of Safety based on Owner Earnings of $2.99M TTM, projected at -34.6% growth for 10 years with a 2.5% terminal growth rate. Zyberno's model translates this into a 5-year expected return of -35.3% annually.

Over the trailing twelve months, ZDGE generated $2.99M in Owner Earnings. Capital was deployed as follows: $789.00K returned via share buybacks, $89.00K invested in capital expenditures. Reinvestment rate: 48.7%. Owner Earnings have declined at 34.6% annually over the trailing five years using log-linear regression.

DIVISION I: EXECUTIVE SUMMARY
A. Market Valuation

Market Price & Capitalization (2)

Current Price:3.04
Market Cap:$39.53M

Valuation Multiples (3)

P/B Ratio:1.61x
P/S Ratio:1.26x
Peg Ratio:-999.00x

Enterprise Metrics (3)

Enterprise Value:$20.18M
Ev Ebitda Ratio:40.85x
Pfcf Ratio:12.88x

Price Action & Momentum (3)

Momentum Percentile:22 / 100
% of 52-Week High:64.7%
B. Profitability Assessment

Return Metrics (5)

ROA:-3.2%
Reinvestment Rate:48.7%
Fundamental Growth Rate (g):-11.8%

Margin Analysis (3)

Operating Margin Ttm:-5.2%
Net Margin Ttm:-3.6%
Ebitda Margin:1.6%

TTM Performance (2)

Operating Margin Ttm:-5.2%
Net Margin Ttm:-3.6%

Yield Metrics (3)

Earnings Yield:-$3.04
Owner Earnings Yield:$7.76
Dividend Yield:0.0%
C. Log-Linear Regression Growth Trends

Earnings Surprise (SUE) (3)

EPS Surprise vs Expected:296.5%
Latest Earnings Filed:2026-06-12

Revenue Growth (Linear) (1)

Revenue Growth Rate (Linear):3.7%

Earnings Growth (Linear) (1)

Net Income Growth Rate (Linear):-36.4%

Cash Flow Growth (Linear) (2)

Free Cash Flow Growth Rate (Linear):-34.6%
Operating Cash Flow Growth Rate (Linear):-4.8%

Operating Growth (Linear) (1)

Operating Income Growth Rate (Linear):-31.3%
D. Financial Stability

Liquidity Ratios (3)

Current Ratio:3.21x
Quick Ratio:3.21x
Cash Ratio:2.59x

Leverage Analysis (3)

Debt To Equity Ttm:0.02x
Debt-to-Equity Ratio:0.02x
Debt To Ebitda:0.70x

Coverage Ratios (2)

Interest Coverage Ratio:-5.65x
Times Interest Earned:-5.65

Capital Structure (4)

Working Capital:16,804,000.00
Cash And Cash Equivalents:19,692,000.00
Long Term Debt:$153.00K
Net Debt:-$19.35M
DIVISION II: FINANCIAL STATEMENTS ANALYSIS
A. Income Statement Analysis

Revenue Components (2)

Revenue TTM: $31.32M
Linear Growth: 3.7%
📊 Click to view full ZDGE Revenue analysis & methodology →
Cost Of Revenue Ttm:$147.00M

Profitability Breakdown (2)

-$117.60M
Operating income TTM: -$1.62M
Linear Growth: -31.3%
📊 Click to view full ZDGE Operating Income analysis & methodology →

Bottom Line Performance (3)

Net income TTM: -$1.13M
Linear Growth: -36.4%
📊 Click to view full ZDGE Net Income analysis & methodology →
Income Before Tax:-$1.27M
Ebitda Ttm:494,000.00

Operating Expenses (5)

Operating Expenses:2,147,000.00
R And D Expense:0.00
Sga Expense:25,752,000.00
Income Tax Expense:-$134.00K
Interest Expense:572,000.00

Expense Ratios (3)

R And D To Revenue Percentage:0.0%
Sga To Revenue Percentage:322.2%
Ebitda Margin:1.6%
B. Balance Sheet Analysis

Asset Composition (5)

Total Assets:$34.30M
Current Assets:$24.40M
Ppe Net:1,224,000.00
Goodwill:2,138,000.00
Intangible Assets:$1.07M

Liability Structure (4)

Total Liabilities:9,746,000.00
Current Liabilities:7,595,000.00
Long Term Debt:$153.00K
Short Term Debt:$194.00K

Equity & Capital (3)

Equity:$24.56M
Retained Earnings:-$16.08M
Common Stock:0.00

Working Capital Items (3)

Accounts Receivable:3,908,000.00
Inventory:0.00
Accounts Payable:183,000.00

Special Items (2)

Contract Liabilities:4,159,000.00
Stock Based Compensation:78,000.00
C. Cash Flow Analysis

Operating Activities (2)

Operating cash flow TTM: $3.08M
Linear Growth: -4.8%
Free cash flow TTM: $2.99M
Linear Growth: -34.6%
📊 Click to view full ZDGE Free Cash Flow analysis & methodology →

Investment Activities (2)

Investing Cash Flow:-$185.00K
Capital Expenditures Ttm:89,000.00

Financing Activities (3)

Financing Cash Flow:-$789.00K
Dividends Paid Ttm:0.00
Stock Repurchase:789,000.00

Capital Transactions (3)

Common Stock Issuance:0.00
Long Term Debt Issuance:$0.00
Long Term Debt Repayments:$0.00

Non-Cash Items (1)

Depreciation Amortization Ttm:2,114,000.00
DIVISION III: OPERATIONAL METRICS
A. Per Share Analysis

Earnings Per Share (3)

EPS (Basic TTM):-0.09
Eps diluted TTM: -$0.09
Linear Growth: -27.9%
📊 Click to view full ZDGE EPS analysis & methodology →
Earnings Per Share Ttm:-$0.09

Revenue & Cash Per Share (3)

Sales Per Share Ttm:2.41
Operating Cash Flow Per Share:$0.26
Fcf Per Share Ttm:0.23

Book Value & Capital (2)

Book Value Per Share:$1.89
Cash Per Share:1.51

Dividend Policy (1)

Dividend Payout Ratio:-999.00x
B. Operational Efficiency

Asset Utilization (2)

Asset Turnover Ttm:0.90x
Working Capital Turnover Ttm:1.86x

Receivables Management (2)

Receivables Turnover Ttm:8.02x
Days Sales Outstanding Ttm:45.54

Inventory Management (2)

Inventory Turnover Ttm:-999.00x
Days Inventory Outstanding Ttm:-999.00

Payables & Cash Cycle (2)

Days Payable Outstanding:0.45
Cash Conversion Cycle:-953.92
C. Quality & Risk Metrics

Financial Quality Scores (2)

Financial Strength Score:100.00
Quality Score:55.00

Market Metrics (2)

Beta:0.00x
Volatility Category:unknown
DIVISION IV: INVESTMENT ANALYSIS
A. Value Investment Framework

Owner Earnings Analysis (3)

Owner earnings TTM: $2.99M
Linear Growth: -34.6%
📊 Click to view full ZDGE Owner Earnings analysis & methodology →
Owner Earnings Per Share:$0.23
Owner Earnings Yield:$7.76

Growth Assessment (1)

Owner Earnings Growth Rate:-$34.60

Damodaran Growth Analysis (2)

Reinvestment Rate:48.7%
Fundamental Growth Rate (g):-11.8%

Intrinsic Value Models (1)

Return Scenarios (2)

Investment Assessment (1)

Buffett Assessment:Overvalued
B. Log-Linear Regression Growth Analysis

Growth Rates (Log-Linear Regression) (3)

Revenue Growth Rate (Linear):3.7%
Net Income Growth Rate (Linear):-36.4%
Operating Income Growth Rate (Linear):-31.3%

Cash Flow Growth Rates (2)

Free Cash Flow Growth Rate (Linear):-34.6%
Operating Cash Flow Growth Rate (Linear):-4.8%

Other Growth Rates (2)

Book Value Growth Rate (Linear):-13.3%
Owner Earnings Growth Rate:-$34.60
C. Company Profile & Context

Corporate Information (6)

Symbol:ZDGE
Company Name:ZEDGE, INC.
Sector:Technology
Industry:Software
Exchange:NYSE
Country:United States

Market Classification (3)

Market Cap Category:N/A
Price Category:low
Volume Category:N/A

Share Structure (3)

Shares Outstanding:13.00M
Shares Outstanding Basic:13.00M
Shares Outstanding Diluted:13.27M

Data Processing Info (3)

Processing Version:v3.0
Last Updated:2026-09-01 05:03:19 UTC
Data Timestamp:2026-08-20T14:39:05.891207
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