Not a good buy right now: the primary trend is still bearish (MACD negative and worsening; bearish moving-average stack), and there are no proprietary buy signals to override that.
The stock is extremely oversold (RSI_6 7.6) and sitting near key support (5.90), so a short-term bounce is possible, but the setup is not favorable for an impatient buyer because downside trend pressure remains dominant.
Hedge funds are aggressively selling (selling amount up ~2080% QoQ), which is a strong negative positioning signal.
With earnings on 2026-02-19 (pre-market), near-term volatility/event risk is elevated; without a clear edge or signal, buying now is not justified.
Bottom line: Avoid initiating a new long position today; only reconsider if price reclaims the pivot (~6.30) and momentum stabilizes.
Technical Analysis
Trend/Momentum: Bearish. MACD histogram at -0.0767 is below zero and negatively expanding, consistent with accelerating downside momentum.
Overbought/Oversold: RSI_6 at ~7.62 indicates extremely oversold conditions (bounce risk), but oversold alone is not a reliable entry without confirmation.
Moving averages: Bearish structure (SMA_200 > SMA_20 > SMA_5), implying both long-term and short-term trend alignment to the downside.
Key levels:
Support: S1 ~5.896 (price ~5.88 is slightly below/around this), then S2 ~5.648.
Resistance: Pivot ~6.297, then R1 ~6.698.
Near-term pattern odds (model): modestly negative bias (next week -1.19%, next month -1.81%), not supportive of an immediate buy.
Gross margin: 12.91, up +125.70% YoY (meaningful margin improvement, a clear positive trend).
Growth
Profitability
Efficiency
Analyst Ratings and Price Target Trends
No analyst rating or price target change data provided, so there is no observable recent Wall Street trend to rely on.
Wall Street pro view (inferred from available data only):
Pros: improving margins and profitability in the latest quarter.
Cons: declining revenue and a technically weak stock with heavy hedge-fund selling pressure.
Influential/political activity: No recent congress trading data available; insiders appear neutral with no significant recent trend.
Wall Street analysts forecast DOYU stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for DOYU is 0 USD with a low forecast of 0 USD and a high forecast of 0 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
Analyst Rating
0
Wall Street analysts forecast DOYU stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for DOYU is 0 USD with a low forecast of 0 USD and a high forecast of 0 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
Buy
Hold
Sell
0
Current: 5.650
Low
0
Averages
0
High
0
0
Current: 5.650
Low
0
Averages
0
High
0
Citi
Nelson Cheung
Neutral
downgrade
$7
AI Analysis
2025-05-27
Reason
Citi
Nelson Cheung
Price Target
$7
AI Analysis
2025-05-27
downgrade
Neutral
Reason
Citi analyst Nelson Cheung lowered the firm's price target on DouYu to $7 from $10.50 and keeps a Neutral rating on the shares following the Q1 report. The firm's sales missed estimates due to the continued scale-back of live-streaming, the analyst tells investors in a research note. The firm says that going into the rest of 2025, DouYu will likely continue to de-prioritize its live-streaming business with focus on diversifying revenue streams.
Citigroup
Yiwen Zhang
Strong Sell
to
Hold
Upgrades
$5.9 → $11
2025-03-18
Reason
Citigroup
Yiwen Zhang
Price Target
$5.9 → $11
2025-03-18
Upgrades
Strong Sell
to
Hold
Reason
Citi upgraded DouYu to Neutral from Sell with a price target of $10.50, up from $5.90, after the company reported "better-than-feared" Q4 results. Entering 2025, Douyu will likely focus on expanding higher value businesses, such as voice-based social network and game prop sales, to offset the declining live-streaming business and management is also committed to reducing costs significantly, which the firm believes should help Douyu bring forward the breakeven timeline to 2025, the analyst tells investors.
Unlock Full Analyst Thesis, Get the complete breakdown of rating reason for DOYU