DoubleDown Interactive (NASDAQ:DDI) Announces Quarterly Earnings Results, Beats Estimates By $0.13 EPS

DoubleDown Interactive (NASDAQ:DDI) issued its quarterly earnings results on Tuesday. The company reported $0.71 earnings per share for the quarter, beating analysts’ consensus estimates of $0.58 by $0.13, Zacks reports. The company had revenue of $94.12 million during the quarter, compared to the consensus estimate of $94.26 million. DoubleDown Interactive had a net margin of 28.48% and a return on equity of 11.27%.

Here are the key takeaways from DoubleDown Interactive’s conference call:

• DoubleDown reported a solid Q1 2026, with revenue up nearly 13% year over year to $94.1 million and adjusted EBITDA up 24% to $38.2 million. Operating cash flow was also strong at $46.4 million.
• The social casino segment remained the main profit engine, with revenue rising 9.5% to $76.9 million, helped by the WHOW Games acquisition. Management said the direct-to-consumer mix accelerated, with DTC making up 44% of social casino revenue versus 33% in Q4 2025.
• SuprNation continued to grow rapidly, with Q1 revenue up 30% year over year to $17.2 million and up 6% sequentially. The newly launched Las Vegas iGaming title contributed to the improvement.
• Management said it is taking steps to offset the higher U.K. gambling tax, including product adjustments such as reducing bonusing rates and using real-time data analytics to improve acquisition and retention. They called the early results positive, but stressed it is still too early to judge the full impact.
• DoubleDown ended the quarter with a net cash position of about $500 million and reiterated that M&A remains a strategic priority. The company said it is still evaluating opportunities, while a special committee reviews the separate WHOW proposal.

DoubleDown Interactive Stock Up 1.9%

Shares of NASDAQ:DDI traded up $0.23 during trading on Wednesday, reaching $11.78. The stock had a trading volume of 33,223 shares, compared to its average volume of 97,922. The stock has a fifty day simple moving average of $9.22 and a two-hundred day simple moving average of $9.00. DoubleDown Interactive has a 52 week low of $8.09 and a 52 week high of $11.89. The firm has a market capitalization of $583.45 million, a price-to-earnings ratio of 5.69 and a beta of 1.01.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently bought and sold shares of the company. Ameriprise Financial Inc. boosted its holdings in DoubleDown Interactive by 130.2% during the second quarter. Ameriprise Financial Inc. now owns 1,231,132 shares of the company’s stock valued at $11,782,000 after acquiring an additional 696,366 shares during the period. Hudson Bay Capital Management LP acquired a new position in shares of DoubleDown Interactive during the 2nd quarter worth about $5,759,000. Stonehill Capital Management LLC lifted its position in shares of DoubleDown Interactive by 49.1% during the 3rd quarter. Stonehill Capital Management LLC now owns 190,605 shares of the company’s stock worth $1,780,000 after purchasing an additional 62,735 shares during the last quarter. Millennium Management LLC boosted its stake in DoubleDown Interactive by 100.2% during the 3rd quarter. Millennium Management LLC now owns 116,677 shares of the company’s stock valued at $1,090,000 after purchasing an additional 58,395 shares during the period. Finally, Citadel Advisors LLC grew its holdings in DoubleDown Interactive by 261.4% in the 3rd quarter. Citadel Advisors LLC now owns 60,163 shares of the company’s stock valued at $562,000 after buying an additional 43,517 shares during the last quarter.

Analysts Set New Price Targets

Several brokerages recently commented on DDI. Freedom Capital downgraded shares of DoubleDown Interactive from a “strong-buy” rating to a “hold” rating in a research report on Tuesday, April 28th. Weiss Ratings raised DoubleDown Interactive from a “sell (d+)” rating to a “hold (c-)” rating in a research report on Wednesday, April 29th. Finally, Wall Street Zen lowered DoubleDown Interactive from a “buy” rating to a “hold” rating in a research report on Saturday, May 2nd. Three analysts have rated the stock with a Buy rating and three have given a Hold rating to the company. Based on data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and an average price target of $18.75.

DoubleDown Interactive Company Profile

DoubleDown Interactive (NASDAQ: DDI) is a digital entertainment company that specializes in the development and publishing of social casino games. The company’s portfolio centers around free-to-play titles that emulate the experience of land-based casino games such as slots, video poker, bingo and table games. By blending high-quality graphics, engaging gameplay features and real-time social mechanics, DoubleDown Interactive aims to deliver a virtual casino environment accessible via web, mobile and social media platforms.

The company’s flagship offering, DoubleDown Casino, serves as a hub for multiple slot and table-style games, enabling millions of registered players to compete in tournaments, unlock new machines and purchase virtual coins through in-app transactions.