Roth Capital Issues Optimistic Forecast for DGII Earnings

Digi International Inc. (NASDAQ:DGII) – Research analysts at Roth Capital boosted their FY2025 earnings estimates for Digi International in a research report issued to clients and investors on Tuesday, August 19th. Roth Capital analyst S. Searle now anticipates that the technology company will post earnings per share of $1.73 for the year, up from their prior forecast of $1.72. Roth Capital has a “Buy” rating on the stock. The consensus estimate for Digi International’s current full-year earnings is $1.68 per share. Roth Capital also issued estimates for Digi International’s Q4 2025 earnings at $0.44 EPS, Q1 2026 earnings at $0.47 EPS, Q2 2026 earnings at $0.44 EPS, Q3 2026 earnings at $0.51 EPS, Q4 2026 earnings at $0.55 EPS and FY2026 earnings at $1.94 EPS.

Digi International (NASDAQ:DGII) last announced its quarterly earnings results on Wednesday, August 6th. The technology company reported $0.53 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.51 by $0.02. Digi International had a net margin of 10.14% and a return on equity of 10.96%. The company had revenue of $107.51 million during the quarter, compared to the consensus estimate of $106.23 million. During the same period in the prior year, the business earned $0.50 earnings per share. The company’s revenue for the quarter was up 2.2% compared to the same quarter last year.

Other analysts have also issued reports about the company. Stephens reissued an “overweight” rating and set a $50.00 price target on shares of Digi International in a research note on Tuesday. Piper Sandler raised their price objective on shares of Digi International from $30.00 to $33.00 and gave the company a “neutral” rating in a report on Thursday, August 7th. Wall Street Zen upgraded shares of Digi International from a “buy” rating to a “strong-buy” rating in a research report on Tuesday, May 20th. Finally, B. Riley lifted their price objective on Digi International from $35.00 to $40.00 and gave the stock a “buy” rating in a research note on Thursday, August 7th. Three analysts have rated the stock with a Buy rating and two have given a Hold rating to the company. According to MarketBeat.com, Digi International has a consensus rating of “Moderate Buy” and an average price target of $38.75.

Digi International Price Performance

Shares of DGII opened at $34.46 on Friday. The company has a quick ratio of 1.03, a current ratio of 1.43 and a debt-to-equity ratio of 0.06. The stock has a market cap of $1.28 billion, a PE ratio of 30.23, a PEG ratio of 1.13 and a beta of 0.89. Digi International has a 12-month low of $22.39 and a 12-month high of $37.06. The business has a 50-day simple moving average of $33.65 and a two-hundred day simple moving average of $31.48.

Hedge Funds Weigh In On Digi International

Several institutional investors have recently added to or reduced their stakes in DGII. Ameriprise Financial Inc. grew its position in shares of Digi International by 8.8% during the 4th quarter. Ameriprise Financial Inc. now owns 359,893 shares of the technology company’s stock worth $10,880,000 after buying an additional 29,026 shares during the period. GAMMA Investing LLC boosted its stake in Digi International by 2,467.2% during the first quarter. GAMMA Investing LLC now owns 28,136 shares of the technology company’s stock worth $783,000 after acquiring an additional 27,040 shares in the last quarter. Herald Investment Management Ltd bought a new stake in Digi International in the 1st quarter valued at about $2,226,000. Lazard Asset Management LLC acquired a new position in Digi International during the 4th quarter worth approximately $45,000. Finally, Pacer Advisors Inc. lifted its holdings in shares of Digi International by 2,297.0% in the 1st quarter. Pacer Advisors Inc. now owns 238,019 shares of the technology company’s stock worth $6,624,000 after purchasing an additional 228,089 shares in the last quarter. 95.90% of the stock is owned by institutional investors and hedge funds.

About Digi International

Digi International Inc provides business and mission-critical Internet of Things (IoT) products, services, and solutions in the United States, Europe, the Middle East, Africa, and internationally. The company operates in two segments, IoT Products & Services, and IoT Solutions. It offers cellular routers for mission-critical wireless connectivity; cellular modules to embed cellular communications abilities into the products to deploy and manage intelligent and secure cellular connected products; console servers to provide secure and remote access to network equipment in data centers and at edge locations; and radio frequency products, including embedded wireless modules, off-the-shelf gateways, modems, and adapters under the Digi XBee brand.