Yahoo Finance Duos Technologies Group, Inc. (NASDAQ:DUOT) Is Expected To Breakeven In The Near Future
With the business potentially at an important milestone, we thought we'd take a closer look at Duos Technologies Group, Inc.'s (NASDAQ:DUOT) future prospects. Duos Technologies Group, Inc. designs, develops, deploys, and operates intelligent technology solutions in North America. The US$23m market-cap company announced a latest loss of US$11m on 31 December 2023 for its most recent financial year result. The most pressing concern for investors is Duos Technologies Group's path to profitability – when will it breakeven? Below we will provide a high-level summary of the industry analysts’ expectations for the company.
See our latest analysis for Duos Technologies Group
According to some industry analysts covering Duos Technologies Group, breakeven is near. They expect the company to post a final loss in 2024, before turning a profit of US$1.8m in 2025. The company is therefore projected to breakeven just over a year from today. What rate will the company have to grow year-on-year in order to breakeven on this date? Using a line of best fit, we calculated an average annual growth rate of 90%, which is extremely buoyant. Should the business grow at a slower rate, it will become profitable at a later date than expected.
Underlying developments driving Duos Technologies Group's growth isn’t the focus of this broad overview, though, keep in mind that typically a high growth rate is not out of the ordinary, particularly when a company is in a period of investment.
One thing we’d like to point out is that The company has managed its capital judiciously, with debt making up 0.8% of equity. This means that it has predominantly funded its operations from equity capital, and its low debt obligation reduces the risk around investing in the loss-making company.
Next Steps:
There are key fundamentals of Duos Technologies Group which are not covered in this article, but we must stress again that this is merely a basic overview. For a more comprehensive look at Duos Technologies Group, take a look at Duos Technologies Group's company page on Simply Wall St. We've also compiled a list of key aspects you should look at:
Historical Track Record: What has Duos Technologies Group's performance been like over the past? Go into more detail in the past track record analysis and take a look at the free visual representations of our analysis for more clarity.
Management Team: An experienced management team on the helm increases our confidence in the business – take a look at who sits on Duos Technologies Group's board and the CEO’s background.
Other High-Performing Stocks: Are there other stocks that provide better prospects with proven track records? Explore our free list of these great stocks here.
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
