Dolphin Entertainment Inc (DLPN)
NASDAQCommunication ServicesAdvertising AgenciesSnapshot 2026-09-04
$1.18+0.85%
Close 2026-09-04 · 1-day change
NASDAQCommunication ServicesAdvertising AgenciesSnapshot 2026-09-04
Broken: Primary pillar broken — Generate positive free cash flow in 2026: FCF -2.0M vs >0 target.
Dolphin Entertainment aims to grow revenue and expand profit margins in 2026. Analysts expect about 13% revenue growth next year. The company targets significant free cash flow generation. Its valuation is cheap compared to peers.
Revenue declined from $15.6M in Q4 2025 to $12.8M in Q1 2026. The company is loss-making with negative cash flow. Recent earnings missed expectations and the stock is down nearly 30%.
The market prices in about 13% revenue growth and a turnaround in profitability. Our fair value of $6.5 implies the stock is fairly valued if these targets are met. We differ by emphasizing the risk from recent declines and cash flow losses.
Breaks if: EBITDA margin fails to improve or worsens in FY26
Continue to grow revenue and expand adjusted EBITDA margin through organic improvements and strategic partnerships.
This is not a price target or investment advice.
A long-form read on the 1–3 year hold thesis. It updates when the weekly evidence changes.
This investment represents a turnaround story with a focus on revenue growth and strategic partnerships. The current thesis state indicates a watchful approach due to mixed recent results and high near-term risk.
The market currently prices DLPN as justified, with a low fragility tier. It is seen as cheap compared to peers, but there is a notable expectations gap suggesting that investors are cautious about future performance.
Management aims for revenue growth and improved EBITDA margins, but recent results show mixed progress. The company has faced challenges in cash flow generation, which may affect its ability to execute on its priorities.
The thesis hinges on the performance of sector bellwethers and DLPN's ability to meet or exceed guidance in upcoming calls. Any cuts to guidance or negative trends from peers could significantly impact sentiment.
The most important moves since the prior daily snapshot.
Mixed, the news cuts both ways. The company aims for more ventures. This supports revenue growth and margin expansion. However, earnings missed estimates, indicating revenue growth issues.
as of 2026-09-04
Review the evidence to watch, what would become a concern, and what would make it less concerning.
Not investment advice. Scores describe historical and current data; they are not forecasts of future returns. Consult a licensed advisor before making investment decisions.
Stated as a priority in 3 of last 3 quarters. Revenue grew from $12.8M in 2026-Q1 to $14.4M in 2026-Q2 (+2.5% YoY for Q2, +3.8% for H1). Adjusted EBITDA loss improved 25% YoY in 2026-Q1 but declined in Q2. Management expects sequential profitability improvement in Q3. The trajectory shows mixed delivery with top-line growth but adjusted EBITDA softness in Q2.
“Total revenue for the second quarter grew 2.5% year-over-year to $14.4 million, continuing the top-line growth trend.”
“Total revenue increasing 5.2% year-over-year to $12.8 million. Adjusted EBITDA loss improved by 25% YoY.”
“We expect continued top-line growth in 2026 and Adjusted EBITDA to expand significantly faster than revenue.”
Breaks if: free cash flow remains negative through FY26
Breaks if: YoY revenue growth falls below 12.7% in FY26
Continue to grow revenue and expand adjusted EBITDA margin through organic improvements and strategic partnerships.
Stated as a priority in 3 of last 3 quarters. Revenue grew from $12.8M in 2026-Q1 to $14.4M in 2026-Q2 (+2.5% YoY for Q2, +3.8% for H1). Adjusted EBITDA loss improved 25% YoY in 2026-Q1 but declined in Q2. Management expects sequential profitability improvement in Q3. The trajectory shows mixed delivery with top-line growth but adjusted EBITDA softness in Q2.
“Total revenue for the second quarter grew 2.5% year-over-year to $14.4 million, continuing the top-line growth trend.”
“Total revenue increasing 5.2% year-over-year to $12.8 million. Adjusted EBITDA loss improved by 25% YoY.”
“We expect continued top-line growth in 2026 and Adjusted EBITDA to expand significantly faster than revenue.”
Over the next 1 to 3 years, DLPN's performance will depend on its execution against stated goals and broader sector trends. Not investment advice.