Digi International (NASDAQ:DGII) Hits New 1-Year High - Still a Buy?

Key Points

• Digi International hit a new 52-week high, trading as high as $51.94 (last $51.30) with a market cap of about $1.96 billion and a PE of 46.44.
• Analyst sentiment is mixed: four Buys, two Holds and one Sell, giving an average MarketBeat rating of "Hold" and an average target price of $49.80, which is below the current share price.
• Recent results beat expectations and show growth: Q earnings were $0.56 EPS (vs. $0.55 est.) and revenue $122.46M (vs. $115.9M est.), up 17.9% YoY, with Q2 2026 EPS guidance of $0.560–$0.590.

Digi International Inc. (NASDAQ:DGII - Get Free Report)'s stock price hit a new 52-week high during trading on Tuesday . The stock traded as high as $51.94 and last traded at $51.30, with a volume of 75066 shares trading hands. The stock had previously closed at $50.56.

Analysts Set New Price Targets

Several equities research analysts recently commented on DGII shares. Zacks Research downgraded Digi International from a "hold" rating to a "strong sell" rating in a report on Tuesday, February 10th. Stephens lifted their price objective on Digi International from $50.00 to $55.00 and gave the stock an "overweight" rating in a report on Friday, January 2nd. Wall Street Zen upgraded Digi International from a "buy" rating to a "strong-buy" rating in a report on Saturday, January 31st. Piper Sandler lifted their price objective on Digi International from $41.00 to $46.00 and gave the stock a "neutral" rating in a report on Monday, January 5th. Finally, Weiss Ratings restated a "hold (c+)" rating on shares of Digi International in a report on Monday, March 23rd. Four equities research 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's stock. Based on data from MarketBeat, Digi International presently has an average rating of "Hold" and an average target price of $49.80.

Digi International Stock Up 3.1%

The company has a debt-to-equity ratio of 0.21, a quick ratio of 0.90 and a current ratio of 1.24. The firm has a fifty day simple moving average of $48.28 and a 200-day simple moving average of $43.21. The company has a market capitalization of $1.96 billion, a PE ratio of 46.44 and a beta of 0.85.

Digi International (NASDAQ:DGII - Get Free Report) last issued its earnings results on Wednesday, February 4th. The technology company reported $0.56 EPS for the quarter, topping the consensus estimate of $0.55 by $0.01. The company had revenue of $122.46 million during the quarter, compared to analyst estimates of $115.90 million. Digi International had a return on equity of 10.93% and a net margin of 9.45%.The business's revenue was up 17.9% on a year-over-year basis. During the same quarter last year, the firm earned $0.45 EPS. Digi International has set its Q2 2026 guidance at 0.560-0.590 EPS. Equities research analysts anticipate that Digi International Inc. will post 1.68 EPS for the current fiscal year.

Insider Transactions at Digi International

In other news, VP James E. Freeland sold 1,355 shares of Digi International stock in a transaction that occurred on Tuesday, February 10th. The stock was sold at an average price of $45.84, for a total value of $62,113.20. Following the completion of the transaction, the vice president owned 19,987 shares in the company, valued at approximately $916,204.08. This trade represents a 6.35% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, VP David H. Sampsell sold 5,000 shares of Digi International stock in a transaction that occurred on Tuesday, February 10th. The stock was sold at an average price of $45.74, for a total value of $228,700.00. Following the completion of the transaction, the vice president owned 24,740 shares of the company's stock, valued at approximately $1,131,607.60. The trade was a 16.81% decrease in their position. The SEC filing for this sale provides additional information. In the last quarter, insiders sold 13,455 shares of company stock worth $616,357. 3.40% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Bessemer Group Inc. grew its stake in Digi International by 2,215.1% during the 3rd quarter. Bessemer Group Inc. now owns 1,227 shares of the technology company's stock worth $45,000 after buying an additional 1,174 shares during the last quarter. Lazard Asset Management LLC grew its stake in Digi International by 25.1% during the 2nd quarter. Lazard Asset Management LLC now owns 1,690 shares of the technology company's stock worth $58,000 after buying an additional 339 shares during the last quarter. Russell Investments Group Ltd. grew its stake in Digi International by 1,530.9% during the 3rd quarter. Russell Investments Group Ltd. now owns 3,376 shares of the technology company's stock worth $123,000 after buying an additional 3,169 shares during the last quarter. LSV Asset Management bought a new position in Digi International during the 3rd quarter worth $153,000. Finally, FourThought Financial Partners LLC bought a new position in Digi International during the 4th quarter worth $204,000. Institutional investors and hedge funds own 95.90% of the company's stock.

About Digi International

Digi International Inc is a provider of Internet of Things (IoT) connectivity products and services designed to link devices to networks and applications securely. The company develops a broad range of networking hardware, including cellular and Ethernet routers, gateways, embedded modules and adaptors, as well as accessories and antennas. Digi's solutions enable businesses to deploy remote monitoring, control and automation systems across diverse industries such as transportation, utilities, healthcare, retail and industrial manufacturing.

In addition to its physical devices, Digi offers cloud-based management software and professional services that simplify device configuration, monitoring and over-the-air updates.

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