📊 DLPN Key Takeaways
Is Dolphin Entertainment, Inc. (DLPN) a Good Investment?
Dolphin Entertainment is fundamentally unprofitable with persistent negative operating margins (-16.7%) and negative free cash flow (-2.0M), indicating the core business is burning cash. While revenue growth of 9.7% YoY provides modest upside, the company faces immediate liquidity stress (current ratio 0.73x) and lacks a clear path to profitability, creating substantial equity risk.
Dolphin Entertainment's fundamentals are weak: profitability remains negative across operating, net income, ROE, ROA, and free cash flow, while gross margin is only 7.3%, leaving little room to absorb overhead or execution missteps. The balance sheet is pressured by low equity, a sub-1.0 current ratio, and negative operating cash flow, suggesting limited financial flexibility despite low long-term debt.
Dolphin Entertainment, Inc. Key Strengths (DLPN)
- Revenue growth of 9.7% YoY demonstrates market demand and business expansion
- Low leverage with debt-to-equity of 0.01x provides financial flexibility and limits bankruptcy risk from debt
- Gross margin of 23.4% suggests underlying product/service economics are viable
- Very low long-term debt reduces refinancing and interest burden risk
- Revenue base of $41.05M provides operating scale to potentially improve if margins recover
- Cash balance of $7.83M offers some near-term liquidity support
DLPN Stock Risks: Dolphin Entertainment, Inc. Investment Risks
- Unprofitable operations with -2.1M operating loss and -2.7M net loss indicate structural business problems
- Negative operating cash flow of -2.0M confirms core business is burning cash unsustainably
- Current ratio of 0.73x signals acute liquidity stress with insufficient current assets to cover near-term liabilities
- Sub-1.0 current and quick ratios indicate tight short-term liquidity
- Negative operating cash flow and free cash flow suggest the business is not self-funding
- Thin gross margin and negative operating margin point to weak earnings quality and poor cost absorption
Key Metrics to Watch
- Operating margin trend - must demonstrate clear path to positive operating profitability within 2-3 quarters
- Operating cash flow - survival depends on turning negative FCF positive before cash depletion
- Cash balance depletion rate - with 6.3M cash and -2.0M annual burn, assess runway and need for capital raise
- Gross margin and operating margin improvement
- Operating cash flow relative to current liabilities
Dolphin Entertainment, Inc. (DLPN) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The current ratio below 1.0x warrants monitoring of short-term liquidity.
DLPN Profit Margin, ROE & Profitability Analysis
DLPN vs Services Sector: How Dolphin Entertainment, Inc. Compares
How Dolphin Entertainment, Inc. compares to Services sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Dolphin Entertainment, Inc. Stock Overvalued? DLPN Valuation Analysis 2026
Based on fundamental analysis, Dolphin Entertainment, Inc. has mixed fundamental signals relative to the Services sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Dolphin Entertainment, Inc. Balance Sheet: DLPN Debt, Cash & Liquidity
DLPN Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Dolphin Entertainment, Inc.'s revenue has grown significantly by 59% over the 5-year period, indicating strong business expansion. The most recent EPS of $-1.22 indicates the company is currently unprofitable.
DLPN Revenue Growth, EPS Growth & YoY Performance
DLPN Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2024 | $10.2M | -$3.9M | $-0.55 |
| Q2 2024 | $11.0M | -$1.6M | $-0.08 |
| Q1 2024 | $9.9M | -$326.8K | $-0.02 |
| Q3 2023 | $9.9M | $178.7K | $-0.14 |
| Q2 2023 | $10.3M | $178.7K | $-0.01 |
| Q1 2023 | $9.2M | -$1.7M | $-0.23 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Dolphin Entertainment, Inc. Dividends, Buybacks & Capital Allocation
DLPN SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Dolphin Entertainment, Inc. (CIK: 0001282224)
📋 Recent SEC Filings
❓ Frequently Asked Questions about DLPN
What is the AI rating for DLPN?
Dolphin Entertainment, Inc. (DLPN) has a Combined AI Grade of D from Claude (D) and ChatGPT (D) with 88% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are DLPN's key strengths?
Claude: Revenue growth of 9.7% YoY demonstrates market demand and business expansion. Low leverage with debt-to-equity of 0.01x provides financial flexibility and limits bankruptcy risk from debt. ChatGPT: Very low long-term debt reduces refinancing and interest burden risk. Revenue base of $41.05M provides operating scale to potentially improve if margins recover.
What are the risks of investing in DLPN?
Claude: Unprofitable operations with -2.1M operating loss and -2.7M net loss indicate structural business problems. Negative operating cash flow of -2.0M confirms core business is burning cash unsustainably. ChatGPT: Sub-1.0 current and quick ratios indicate tight short-term liquidity. Negative operating cash flow and free cash flow suggest the business is not self-funding.
What is DLPN's revenue and growth?
Dolphin Entertainment, Inc. reported revenue of $12.8M.
Does DLPN pay dividends?
Dolphin Entertainment, Inc. does not currently pay dividends.
Where can I find DLPN SEC filings?
Official SEC filings for Dolphin Entertainment, Inc. (CIK: 0001282224) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is DLPN's EPS?
Dolphin Entertainment, Inc. has a diluted EPS of $-0.22.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined grade reflects both perspectives for balanced insights.
What is DLPN's fundamental grade?
Based on our AI fundamental analysis in June 2026, Dolphin Entertainment, Inc. has a D grade with 88% confidence. Review the strengths and risks sections above for full context. This is not investment advice.
Is DLPN stock overvalued or undervalued?
Valuation metrics for DLPN: ROE of -36.8% (sector avg: 16%), net margin of -21.0% (sector avg: 10%). Compare these metrics with sector averages to assess valuation.
What is DLPN's AI grade for 2026?
Our dual AI analysis gives Dolphin Entertainment, Inc. a combined D grade for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is DLPN's free cash flow?
Dolphin Entertainment, Inc.'s operating cash flow is $-2.0M, with capital expenditures of $1.9K. FCF margin is -16.0%.
How does DLPN compare to other Services stocks?
Vs Services sector averages: Net margin -21.0% (avg: 10%), ROE -36.8% (avg: 16%), current ratio 0.73 (avg: 1.5).