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Zedge Inc (ZDGE)



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Upturn Advisory Summary
10/13/2025: ZDGE (1-star) is currently NOT-A-BUY. Pass it for now.
1 Year Target Price $5
1 Year Target Price $5
0 | Strong Buy |
1 | Buy |
0 | Hold |
0 | Sell |
0 | Strong Sell |
Analysis of Past Performance
Type Stock | Historic Profit -1.82% | Avg. Invested days 34 | Today’s Advisory PASS |
Upturn Star Rating ![]() ![]() | Upturn Advisory Performance ![]() | Stock Returns Performance ![]() |
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Key Highlights
Company Size Small-Cap Stock | Market Capitalization 42.80M USD | Price to earnings Ratio - | 1Y Target Price 5 |
Price to earnings Ratio - | 1Y Target Price 5 | ||
Volume (30-day avg) 1 | Beta 1.08 | 52 Weeks Range 1.73 - 4.89 | Updated Date 10/13/2025 |
52 Weeks Range 1.73 - 4.89 | Updated Date 10/13/2025 | ||
Dividends yield (FY) - | Basic EPS (TTM) -0.13 |
Analyzing Revenue: Products, Geography and Growth
Revenue by Products
Product revenue - Year on Year
Earnings Date
Report Date - | When - | Estimate - | Actual - |
Profitability
Profit Margin -6.34% | Operating Margin (TTM) 9.5% |
Management Effectiveness
Return on Assets (TTM) -1.15% | Return on Equity (TTM) -6.29% |
Valuation
Trailing PE - | Forward PE - | Enterprise Value 19918166 | Price to Sales(TTM) 1.45 |
Enterprise Value 19918166 | Price to Sales(TTM) 1.45 | ||
Enterprise Value to Revenue 0.67 | Enterprise Value to EBITDA 35.5 | Shares Outstanding 13107146 | Shares Floating 11039675 |
Shares Outstanding 13107146 | Shares Floating 11039675 | ||
Percent Insiders 16.8 | Percent Institutions 18.08 |
Upturn AI SWOT
Zedge Inc

Company Overview
History and Background
Zedge Inc. was founded in 2003 in Norway. It started as a platform for users to share mobile content and has evolved into a marketplace for digital content, including wallpapers, ringtones, and notification sounds. It has also expanded into generative AI and NFT offerings.
Core Business Areas
- Zedge Premium: A marketplace for creators to sell their digital content, including wallpapers, ringtones, and other mobile customizations. Creators earn revenue from their content.
- Subscription: Subscription offers a seamless and ad free experience for users to enjoy Zedge content. Benefits include unlimited downloads and exclusive content.
- Advertising: Advertising is the main source of revenue in the core Zedge application. It utilizes various ad formats, including banner ads, interstitial ads, and rewarded video ads.
- Emesis: Emesis is a collection of avatar creation and social networking experiences which include short form user generated content, AI based creation, and social interaction.
- GuruShots: GuruShots is a skill-based photo game. Photographers compete in challenges to gain recognition and win prizes.
Leadership and Structure
Jonathan Reich is the CEO of Zedge Inc. The company operates with a functional organizational structure, with departments focusing on engineering, product development, marketing, and sales.
Top Products and Market Share
Key Offerings
- Wallpapers: High-quality wallpapers for smartphones. Zedge is a popular source for wallpapers, but market share data is hard to obtain and very fragmented due to countless providers. Competitors include other app stores like Google Play and Apple's App Store where users can find wallpaper apps, as well as general image search platforms.
- Ringtones: Custom ringtones and notification sounds. Competitors include other ringtone apps and music streaming services where users can create their own ringtones.
- NFTs: NFTs allow creators to own digital creations, provide a proof of authenticity and provide new ways for both artists and users to create and use content in both the metaverse and the real world. Competitors include OpenSea and other NFT platforms.
- GuruShots: A skill-based photo game. Competitors include other online photography contests and platforms.
Market Dynamics
Industry Overview
The digital content and mobile customization market is highly competitive and fragmented, with numerous players offering similar services. Growth is driven by increasing smartphone adoption and demand for personalized digital experiences. Generative AI is also impacting the space.
Positioning
Zedge Inc. aims to be a leading provider of digital content and mobile customization services, focusing on offering a wide range of content and a user-friendly platform. Zedge differentiates itself by focusing on user-generated content and premium offerings.
Total Addressable Market (TAM)
The global mobile phone accessories market is estimated to reach billions of dollars. Zedge is positioned to capture a portion of this market by providing unique and personalized content.
Upturn SWOT Analysis
Strengths
- Large user base
- Established brand recognition
- User-generated content
- Diverse content library
- Recurring revenue through subscriptions and advertising
Weaknesses
- Dependence on mobile advertising
- Competition from larger players
- Relatively small scale compared to large tech companies
- History of revenue fluctuation
Opportunities
- Expansion into new markets
- Partnerships with content creators
- Development of new content formats
- Leveraging generative AI
- Growing NFT offerings
Threats
- Changes in mobile operating systems
- Increased competition
- Decline in mobile advertising rates
- Copyright infringement issues
- Changing user preferences
Competitors and Market Share
Key Competitors
- APPS
Competitive Landscape
Zedge's advantages include its established brand, large user base, and diverse content library. Disadvantages include competition from larger companies and dependence on mobile advertising.
Major Acquisitions
Prior Knowledge, Inc.
- Year: 2021
- Acquisition Price (USD millions): 18
- Strategic Rationale: To expand Zedge's content offerings and technology capabilities.
Growth Trajectory and Initiatives
Historical Growth: Zedge's growth has been driven by increasing user engagement and the expansion of its content library. Historically, growth has fluctuated.
Future Projections: Analyst projections for Zedge's future growth depend on the company's ability to attract new users, retain existing users, and monetize its content effectively.
Recent Initiatives: Recent initiatives include investments in generative AI, NFT offerings, and strategic partnerships to expand the content library.
Summary
Zedge Inc. is a unique platform for digital content, leveraging user-generated content and premium offerings. The company has faced revenue volatility but is exploring new avenues through generative AI and NFTs. Zedge needs to carefully manage competition and dependence on mobile advertising. Future success hinges on retaining and growing users, and on successful monetization strategies. The company faces potential risks regarding copyright and changing user preferences.
Peer Comparison
Sources and Disclaimers
Data Sources:
- Company filings (10K, 10Q), Press Releases, Analyst Reports, Third-party Market Research
Disclaimers:
This analysis is for informational purposes only and should not be considered investment advice. Market conditions and company performance are subject to change.
AI Summarization is directionally correct and might not be accurate.
Summarized information shown could be a few years old and not current.
Fundamental Rating based on AI could be based on old data.
AI-generated summaries may have inaccuracies (hallucinations). Please verify the information before taking action.
About Zedge Inc
Exchange NYSE MKT | Headquaters New York, NY, United States | ||
IPO Launch date 2016-05-26 | CEO & President Mr. Jonathan Reich | ||
Sector Communication Services | Industry Internet Content & Information | Full time employees 96 | Website https://www.zedge.net |
Full time employees 96 | Website https://www.zedge.net |
Zedge, Inc. builds digital marketplaces and competitive games around content that people use to express themselves. It offers the Zedge Ringtones and Wallpapers app, a freemium digital content marketplace that provides a wide array of mobile personalization content, including mobile phone wallpapers, video wallpapers, ringtones, and notification sounds; and pAInt, a generative AI wallpaper maker. The company also provides GuruShots, a platform for skill-based photo challenge game that allows amateur photographers to compete in various contests showcasing their photos; and Emojipedia, a source for all things emoji. Zedge, Inc. was incorporated in 2008 and is headquartered in New York, New York.

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