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Zedge’s Upcoming Financial Report Spurs Anticipation, Market Movements

Jack KelloggAvatar
Written by Jack Kellogg Reviewed by Ellis Hobbs Fact-checked by Matt Monaco
Updated 12/13/2025, 8:16 am ET 12/13/2025, 8:16 am ET | 5 min 5 min read
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Zedge Inc. Class B stocks have been trading up by 12.76 percent amid positive quarterly earnings and increased user engagement.

To grasp the potential implications of Zedge’s financial report set for December 12, understanding its current financial health is crucial. The company’s stock has experienced fluctuations, with prices recently ranging between $2.43 and $2.83. Such volatility is not uncommon in anticipation of earnings reports as investor sentiment readjusts based on expected performance.

Financial data reveals that Zedge struggles with key profitability metrics. Negative margins, including an EBIT margin of -11.5% and a broader profit margin of -8.14%, underscore operational and financial efficiency challenges. The company’s revenue shows a modest steadying, standing at approximately $29.4M, suggesting a stable but cautious progression.

Zedge’s financial resilience is bolstered to an extent by strong current and quick ratios of 2.9 and 2.8 respectively, indicating reasonable short-term liquidity. However, an observed high price-to-free-cash ratio of 11.9 implies potential overvaluation concerns, emphasizing the need for careful financial stewardship to remain attractive to investors. The capital structure looks balanced with no significant long-term debt, a positive for sustaining growth initiatives sans debt-driven pressures.

Media industry expert:

Analyst sentiment – negative

Zedge, Inc. (ZDGE) presents a mixed market position, characterized by certain financial strengths and critical deficiencies evident from the data. Despite boasting an impressive gross margin of 103.1%, indicative of efficient cost management in direct expenses, the company struggles with profitability, as seen in negative margins across EBIT, EBITDA, and net profits. This is further illustrated by significant losses in operating income and pretax income. Zedge has maintained revenue growth, with a notable five-year trajectory of 25.43%, suggesting resilient demand for its products. However, the absence of substantial leverage, with a total debt to equity ratio of 0 and a robust current ratio of 2.9, could alternatively imply underutilization of financial leverage to bolster growth.

The recent weekly trading data reveals a range-bound pattern, with ZDGE experiencing slight volatility, culminating in a higher close at $2.74 on December 12, compared to the low of $2.43 earlier in the week. Despite this uptick, the primary trend indicates consolidation without clear directional momentum. Coupled with low trading volumes, the prevailing trend lacks conviction. For traders, the strategy focuses on breakout confirmation; a sustained move above the $2.83 resistance would suggest a buying opportunity, targeting higher levels, whereas falling below the $2.5 support level could trigger a sell-off. This approach capitalizes on potentially heightened volatility from upcoming financial disclosures.

More Breaking News

Upcoming earnings reports for Zedge, Inc. on December 12, 2025, serve as a catalyst that could influence market sentiment and trajectory. The firm’s upcoming discussions on strategy will be pivotal in reshaping investor perceptions. When juxtaposed against the broader Media and Interactive Multi-Media industry benchmarks, Zedge’s revenue growth contrasts its weak profit margins, suggesting room for operational efficiency improvements. With key resistance at $2.83 and support at $2.5, Zedge’s outlook remains precariously poised, challenged by its inability to translate gross margin into bottom-line profitability. Overall, while the upcoming earnings and strategic insights could provide short-term optimism, the company’s fundamentals cast a long-term shadow on its investment appeal.

Candlestick Chart

Weekly Update Dec 08 – Dec 12, 2025: On Saturday, December 13, 2025 Zedge Inc. Class B stock [NYSE American: ZDGE] is trending up by 12.76%! Discover the key drivers behind this movement as well as our expert analysis in the detailed breakdown below.

This is stock news, not investment advice. Timothy Sykes News delivers real-time stock market news focused on key catalysts driving short-term price movements. Our content is tailored for active traders and investors seeking to capitalize on rapid price fluctuations, particularly in volatile sectors like penny stocks. Readers come to us for detailed coverage on earnings reports, mergers, FDA approvals, new contracts, and unusual trading volumes that can trigger significant short-term price action. Some users utilize our news to explain sudden stock movements, while others rely on it for diligent research into potential investment opportunities.

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Jack Kellogg

He teaches webinars on Tim Sykes’ Trading Challenge He became Tim’s youngest millionaire student in 2020. Now he’s second on the Trading Challenge leaderboard with $12.9 million in career earnings. He’s a master of the 7-Step Pennystocking Framework. Jack is one of a rare breed of traders to profitably trade the entire penny stock framework.
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* Results are not typical and will vary from person to person. Making money trading stocks takes time, dedication, and hard work. There are inherent risks involved with investing in the stock market, including the loss of your investment. Past performance in the market is not indicative of future results. Any investment is at your own risk. See Terms of Service here

The available research on day trading suggests that most active traders lose money. Fees and overtrading are major contributors to these losses.

A 2000 study called “Trading is Hazardous to Your Wealth: The Common Stock Investment Performance of Individual Investors” evaluated 66,465 U.S. households that held stocks from 1991 to 1996. The households that traded most averaged an 11.4% annual return during a period where the overall market gained 17.9%. These lower returns were attributed to overconfidence.

A 2014 paper (revised 2019) titled “Learning Fast or Slow?” analyzed the complete transaction history of the Taiwan Stock Exchange between 1992 and 2006. It looked at the ongoing performance of day traders in this sample, and found that 97% of day traders can expect to lose money from trading, and more than 90% of all day trading volume can be traced to investors who predictably lose money. Additionally, it tied the behavior of gamblers and drivers who get more speeding tickets to overtrading, and cited studies showing that legalized gambling has an inverse effect on trading volume.

A 2019 research study (revised 2020) called “Day Trading for a Living?” observed 19,646 Brazilian futures contract traders who started day trading from 2013 to 2015, and recorded two years of their trading activity. The study authors found that 97% of traders with more than 300 days actively trading lost money, and only 1.1% earned more than the Brazilian minimum wage ($16 USD per day). They hypothesized that the greater returns shown in previous studies did not differentiate between frequent day traders and those who traded rarely, and that more frequent trading activity decreases the chance of profitability.

These studies show the wide variance of the available data on day trading profitability. One thing that seems clear from the research is that most day traders lose money .

Millionaire Media 66 W Flagler St. Ste. 900 Miami, FL 33130 United States (888) 878-3621 This is for information purposes only as Millionaire Media LLC nor Timothy Sykes is registered as a securities broker-dealer or an investment adviser. No information herein is intended as securities brokerage, investment, tax, accounting or legal advice, as an offer or solicitation of an offer to sell or buy, or as an endorsement, recommendation or sponsorship of any company, security or fund. Millionaire Media LLC and Timothy Sykes cannot and does not assess, verify or guarantee the adequacy, accuracy or completeness of any information, the suitability or profitability of any particular investment, or the potential value of any investment or informational source. The reader bears responsibility for his/her own investment research and decisions, should seek the advice of a qualified securities professional before making any investment, and investigate and fully understand any and all risks before investing. Millionaire Media LLC and Timothy Sykes in no way warrants the solvency, financial condition, or investment advisability of any of the securities mentioned in communications or websites. In addition, Millionaire Media LLC and Timothy Sykes accepts no liability whatsoever for any direct or consequential loss arising from any use of this information. This information is not intended to be used as the sole basis of any investment decision, nor should it be construed as advice designed to meet the investment needs of any particular investor. Past performance is not necessarily indicative of future returns.

Citations for Disclaimer

Barber, Brad M. and Odean, Terrance, Trading is Hazardous to Your Wealth: The Common Stock Investment Performance of Individual Investors. Available at SSRN: “Day Trading for a Living?”

Barber, Brad M. and Lee, Yi-Tsung and Liu, Yu-Jane and Odean, Terrance and Zhang, Ke, Learning Fast or Slow? (May 28, 2019). Forthcoming: Review of Asset Pricing Studies, Available at SSRN: “https://ssrn.com/abstract=2535636”

Chague, Fernando and De-Losso, Rodrigo and Giovannetti, Bruno, Day Trading for a Living? (June 11, 2020). Available at SSRN: “https://ssrn.com/abstract=3423101”