Digital Turbine (NASDAQ:APPS) Stock Breaks Above Fifty Day Moving Average – Here’s What Happened

Digital Turbine, Inc. (NASDAQ:APPS) shares crossed above its fifty day moving average during trading on Monday. The stock has a fifty day moving average of $10.59 and traded as high as $11.65. Digital Turbine shares last traded at $11.30, with a volume of 7,991,334 shares changing hands.

Trending Headlines about Digital Turbine

Here are the key news stories impacting Digital Turbine this week:

• Positive Sentiment: Fiscal Q2 revenue rose 27% year over year to $178.7 million, above analyst expectations of about $166.8 million. Adjusted EPS was $0.18, also ahead of estimates, while adjusted EBITDA increased 46% to $39.8 million. Company results
• Negative Sentiment: Despite the beats, higher partner payouts squeezed margins, prompting concern about how much of the revenue growth is translating into profit. Digital Turbine reported $10.3 million in GAAP net income, while adjusted net income was $23.4 million; after-hours coverage said shares fell sharply in response to the margin concerns. After-hours reaction
• Neutral Sentiment: The recent CFO appointment adds a leadership transition as investors assess execution, cash generation and the company’s debt position. CFO transition

Analysts Set New Price Targets

Several equities analysts recently issued reports on the company. Wall Street Zen cut Digital Turbine from a “strong-buy” rating to a “buy” rating in a report on Sunday. Benchmark boosted their price objective on Digital Turbine from $15.00 to $16.00 and gave the stock a “buy” rating in a report on Wednesday, August 5th. Craig Hallum restated a “buy” rating and set a $18.00 target price on shares of Digital Turbine in a research report on Wednesday, August 5th. Zacks Research downgraded shares of Digital Turbine from a “strong-buy” rating to a “hold” rating in a research report on Monday, July 27th. Finally, Royal Bank Of Canada began coverage on shares of Digital Turbine in a research note on Thursday, October 1st. They issued an “outperform” rating and a $15.00 target price on the stock. Six analysts have rated the stock with a Buy rating, two have issued a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat.com, Digital Turbine currently has an average rating of “Moderate Buy” and an average target price of $15.42.

Digital Turbine Stock Up 8.9%

The business’s 50-day moving average is $10.59 and its two-hundred day moving average is $7.68. The firm has a market capitalization of $1.37 billion, a price-to-earnings ratio of -43.46, a P/E/G ratio of 0.49 and a beta of 3.01. The company has a debt-to-equity ratio of 1.80, a quick ratio of 1.20 and a current ratio of 1.20.

Digital Turbine (NASDAQ:APPS) last issued its quarterly earnings data on Monday, November 9th. The software maker reported $0.18 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.17 by $0.01. Digital Turbine had a negative net margin of 4.46% and a positive return on equity of 38.34%. The firm had revenue of $178.68 million during the quarter, compared to analysts’ expectations of $166.75 million. On average, equities analysts anticipate that Digital Turbine, Inc. will post 0.63 earnings per share for the current year.

Hedge Funds Weigh In On Digital Turbine

Institutional investors and hedge funds have recently made changes to their positions in the company. TD Waterhouse Canada Inc. bought a new stake in shares of Digital Turbine in the 3rd quarter valued at $25,000. Integrated Wealth Concepts LLC acquired a new stake in Digital Turbine during the 2nd quarter worth $56,000. Allworth Financial LP lifted its holdings in Digital Turbine by 42.4% during the second quarter. Allworth Financial LP now owns 5,698 shares of the software maker’s stock worth $74,000 after acquiring an additional 1,696 shares in the last quarter. Essential Partners LLC lifted its holdings in Digital Turbine by 167.3% during the first quarter. Essential Partners LLC now owns 9,031 shares of the software maker’s stock worth $26,000 after acquiring an additional 5,652 shares in the last quarter. Finally, State of Alaska Department of Revenue lifted its holdings in Digital Turbine by 86.9% during the third quarter. State of Alaska Department of Revenue now owns 9,223 shares of the software maker’s stock worth $102,000 after acquiring an additional 4,288 shares in the last quarter. Institutional investors and hedge funds own 63.66% of the company’s stock.

About Digital Turbine

Digital Turbine, Inc provides mobile technology and advertising solutions that connect app developers and advertisers with consumers through smartphones and other connected devices. Its platform supports app discovery, user acquisition, and advertising across the mobile ecosystem.

The company’s services include on-device app recommendations and installation tools, as well as advertising solutions for app publishers and brands. Digital Turbine works with mobile operators and device manufacturers to deliver these services to users.

Digital Turbine expanded its mobile advertising capabilities through acquisitions, including AdColony and Fyber in 2021.