Tuya (NYSE:TUYA) Issues Quarterly Earnings Results, Hits Estimates

Tuya (NYSE:TUYA) issued its earnings results on Monday. The company reported $0.03 earnings per share (EPS) for the quarter, hitting the consensus estimate of $0.03, Zacks reports. Tuya had a net margin of 19.10% and a return on equity of 6.20%.

Here are the key takeaways from Tuya’s conference call:

• Revenue growth accelerated to $92.9 million, up 16% year over year, while PaaS revenue increased 16.9% and smart home and robot products revenue rose 23.2%.
• Tuya reported stable operating profitability, with a 10.3% non-GAAP operating margin and $9.6 million in non-GAAP operating profit; liquid assets totaled approximately $976 million.
• The company is expanding its AI platform through AI companion devices, AI energy solutions, and the newly launched Tuya CodeBuilder, which management says can shorten hardware development cycles and broaden its developer ecosystem.
• Management described demand as gradually recovering rather than rebounding immediately, with strong momentum in Europe’s energy-related products, telecom-led opportunities in Southeast Asia and Latin America, and growing AI hardware adoption in China.
• Gross margin was pressured by semiconductor cost increases and business mix, while traditional lighting and IP camera demand remained weak; AI application revenue growth slowed to 3.9% as Tuya reduced lower-margin, project-based B2B work.

Tuya Stock Performance

Shares of TUYA stock opened at $1.76 on Tuesday. Tuya has a 12-month low of $1.61 and a 12-month high of $2.88. The company has a current ratio of 6.94, a quick ratio of 6.65 and a debt-to-equity ratio of 0.01. The company has a market cap of $958.77 million, a price-to-earnings ratio of 17.65 and a beta of 0.47. The stock has a 50 day simple moving average of $1.78 and a 200-day simple moving average of $2.10.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently bought and sold shares of the business. Natixis Advisors LLC bought a new position in shares of Tuya in the third quarter valued at approximately $246,000. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC grew its holdings in shares of Tuya by 45.8% during the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 816,519 shares of the company’s stock worth $2,474,000 after purchasing an additional 256,418 shares in the last quarter. Finally, Goldman Sachs Group Inc. lifted its position in Tuya by 75.2% in the first quarter. Goldman Sachs Group Inc. now owns 368,011 shares of the company’s stock worth $1,115,000 after purchasing an additional 157,978 shares during the period. 11.47% of the stock is owned by institutional investors and hedge funds.

Wall Street Analysts Forecast Growth

Separately, Weiss Ratings reissued a “hold (c)” rating on shares of Tuya in a research report on Monday, July 20th. One investment analyst has rated the stock with a Buy rating and one has issued a Hold rating to the stock. Based on data from MarketBeat, Tuya has a consensus rating of “Moderate Buy” and a consensus target price of $3.69.

About Tuya

Tuya Inc is a global Internet of Things (IoT) platform provider that enables brands, OEMs and developers to create smart products and solutions. The company offers a suite of cloud services, connectivity modules and software development kits designed to support the full lifecycle of IoT devices. Tuya’s platform is built to facilitate rapid prototyping, secure device management and scalable data analytics, with an emphasis on interoperable solutions for smart homes, commercial buildings and industrial applications.

At the core of Tuya’s offering is its IoT operating system, which integrates device hardware, network protocols and application-level services into a unified framework.