Digi International (NASDAQ:DGII) Shares Cross Above Two Hundred Day Moving Average - Here's Why

Key Points

• Digi International Inc. stock has recently surpassed its 200-day moving average, trading at $32.24 with a high of $33.10 and a trading volume of 240,313 shares.
• Equities analysts have increased their price targets for Digi International, with B. Riley setting a new target of $40.00, while Wall Street Zen upgraded the stock to a strong-buy rating.
• The company reported a quarterly earnings per share (EPS) of $0.53, exceeding estimates of $0.51, and recorded revenue of $107.51 million, a year-over-year increase of 2.2%.

Digi International Inc. (NASDAQ:DGII - Get Free Report)'s stock price passed above its 200-day moving average during trading on Friday . The stock has a 200-day moving average of $31.37 and traded as high as $33.10. Digi International shares last traded at $32.24, with a volume of 240,313 shares trading hands.

Wall Street Analyst Weigh In

Several equities research analysts recently commented on the stock. 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. Roth Capital reiterated a "buy" rating on shares of Digi International in a research report on Thursday, August 7th. Piper Sandler increased their target price on shares of Digi International from $30.00 to $33.00 and gave the stock a "neutral" rating in a research report on Thursday, August 7th. B. Riley increased their target price on shares of Digi International from $35.00 to $40.00 and gave the stock a "buy" rating in a research report on Thursday, August 7th. Finally, Stephens reiterated an "overweight" rating and issued a $50.00 target price on shares of Digi International in a research report on Tuesday. Three research analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the stock. Based on data from MarketBeat, Digi International has an average rating of "Moderate Buy" and a consensus target price of $38.75.

Digi International Trading Down 1.4%

The company's 50 day moving average price is $33.62 and its 200 day moving average price is $31.45. The company has a market cap of $1.22 billion, a price-to-earnings ratio of 28.88, a price-to-earnings-growth ratio of 1.15 and a beta of 0.89. The company has a debt-to-equity ratio of 0.06, a quick ratio of 1.03 and a current ratio of 1.43.

Digi International (NASDAQ:DGII - Get Free Report) last announced its quarterly earnings results on Wednesday, August 6th. The technology company reported $0.53 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 for the quarter, compared to analyst estimates of $106.23 million. During the same quarter in the prior year, the business posted $0.50 EPS. Digi International's quarterly revenue was up 2.2% on a year-over-year basis. Research analysts anticipate that Digi International Inc. will post 1.68 EPS for the current year.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently bought and sold shares of the company. Lazard Asset Management LLC grew its stake in Digi International by 25.1% in the 2nd quarter. Lazard Asset Management LLC now owns 1,690 shares of the technology company's stock valued at $58,000 after buying an additional 339 shares during the last quarter. Ameriprise Financial Inc. grew its stake in Digi International by 7.7% in the 2nd quarter. Ameriprise Financial Inc. now owns 652,197 shares of the technology company's stock valued at $22,736,000 after buying an additional 46,659 shares during the last quarter. Rhumbline Advisers grew its position in Digi International by 3.6% in the 2nd quarter. Rhumbline Advisers now owns 107,050 shares of the technology company's stock worth $3,732,000 after purchasing an additional 3,722 shares during the last quarter. Hillsdale Investment Management Inc. acquired a new stake in Digi International in the 2nd quarter worth $4,293,000. Finally, SG Americas Securities LLC acquired a new stake in shares of Digi International during the 2nd quarter valued at about $196,000. 95.90% of the stock is currently owned by institutional investors and hedge funds.

Digi International Company Profile

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.