Tuya (TUYA) Unveiled Doova At IFA 2026, Is It Still 47% Below Fair Value?

Tuya (NYSE:TUYA) is back in focus after IFA 2026, where the company introduced Doova, an AI companion robot for independent seniors, along with new AI Home, AI Energy, and AI Robot ecosystems.

Tuya’s latest AI showcase comes after a mixed run in the market, with the share price at US$1.80 and short term performance under pressure as the stock declined over the past week, month, and quarter. Over a 1 year period, total shareholder return fell 28.44%, while the 3 year total shareholder return remained positive, pointing to momentum that has softened recently compared with earlier gains.

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Tuya is trading at a low US$1.80 after a tough year, while analyst targets and an indicated intrinsic estimate sit higher. Does it make more sense to lean in now, or hold out for an even cheaper entry point?

Most Popular Narrative: 47% Undervalued

Tuya’s most followed narrative pegs fair value around $3.42 per share, well above the recent $1.80 close. This frames the current weakness against a much higher long term view.

Ongoing expansion of SaaS and value-added services, with SaaS segment revenue growing at a faster rate than PaaS and achieving over 70% gross margin, is structurally shifting Tuya's business model toward higher-margin, recurring revenue, supporting long-term gross margin improvement and greater earnings visibility.

See why 21 investors see Tuya as 47% undervalued.

Result: Fair Value of $3.42 (UNDERVALUED)

Still, two things could easily throw this Tuya narrative off course: prolonged trade and supply chain disruptions, and tougher AI and data regulations that hit international demand.

Find out about the key risks to this Tuya narrative.

Next Steps

That bullish tone on Tuya is useful, but it is still only one angle on the story. Consider your next steps carefully, stress test the thesis against your own risk tolerance, and see how the market is framing the upside with 5 key rewards

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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.

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