Digital Turbine (NASDAQ:APPS) Shares Down 5.7% - What's Next?

Key Points

• Digital Turbine's stock price dropped by 5.7% to $6.16 during mid-day trading, significantly below its previous close of $6.53, with trading volume down 86% from the average.
• Wall Street analysts have mixed ratings on Digital Turbine, with one upgrading its stock to "buy," while another downgraded it to "hold," resulting in an average rating of "hold" and a target price of $5.17.
• The company reported a quarterly earnings miss, with EPS of $0.05 compared to an expected $0.10, while also achieving revenue of $130.93 million, surpassing analysts' expectations of $121.94 million.

Digital Turbine, Inc. (NASDAQ:APPS - Get Free Report)'s share price dropped 5.7% during mid-day trading on Thursday . The stock traded as low as $6.23 and last traded at $6.16. Approximately 778,490 shares changed hands during trading, a decline of 86% from the average daily volume of 5,400,535 shares. The stock had previously closed at $6.53.

Wall Street Analyst Weigh In

APPS has been the topic of several research reports. Wall Street Zen lowered shares of Digital Turbine from a "buy" rating to a "hold" rating in a report on Saturday, August 9th. Bank of America upgraded shares of Digital Turbine from an "underperform" rating to a "neutral" rating and boosted their price target for the stock from $4.50 to $5.50 in a research report on Wednesday, August 6th. Finally, Craig Hallum boosted their price target on shares of Digital Turbine from $7.00 to $8.00 and gave the stock a "buy" rating in a research report on Wednesday, August 6th. One research analyst has rated the stock with a Buy rating and two have issued a Hold rating to the company. According to data from MarketBeat, the company presently has an average rating of "Hold" and an average target price of $5.17.

Digital Turbine Stock Performance

The company has a market cap of $690.92 million, a P/E ratio of -8.28, a price-to-earnings-growth ratio of 4.09 and a beta of 2.56. The company has a quick ratio of 1.09, a current ratio of 1.09 and a debt-to-equity ratio of 2.63. The company's 50-day moving average is $4.81 and its two-hundred day moving average is $4.45.

Digital Turbine (NASDAQ:APPS - Get Free Report) last released its quarterly earnings data on Tuesday, August 5th. The software maker reported $0.05 EPS for the quarter, missing the consensus estimate of $0.10 by ($0.05). The business had revenue of $130.93 million for the quarter, compared to analysts' expectations of $121.94 million. Digital Turbine had a negative net margin of 15.93% and a positive return on equity of 2.24%. Digital Turbine has set its FY 2026 guidance at EPS. Equities analysts predict that Digital Turbine, Inc. will post -0.03 EPS for the current year.

Institutional Investors Weigh In On Digital Turbine

Institutional investors and hedge funds have recently modified their holdings of the company. Smartleaf Asset Management LLC purchased a new stake in shares of Digital Turbine in the second quarter worth about $57,000. Legal & General Group Plc increased its position in shares of Digital Turbine by 31.6% in the second quarter. Legal & General Group Plc now owns 10,624 shares of the software maker's stock worth $63,000 after purchasing an additional 2,550 shares during the last quarter. State of Wyoming bought a new position in shares of Digital Turbine in the second quarter worth approximately $72,000. Prudential Financial Inc. bought a new position in shares of Digital Turbine in the second quarter worth approximately $74,000. Finally, Worth Venture Partners LLC bought a new position in shares of Digital Turbine in the second quarter worth approximately $74,000. 63.66% of the stock is owned by hedge funds and other institutional investors.

About Digital Turbine

Digital Turbine, Inc, through its subsidiaries, operates a mobile growth platform for advertisers, publishers, carriers, and device original equipment manufacturers (OEMs). The company operates through two segments, On Device Solutions and App Growth Platform. Its application media platform delivers mobile applications to various publishers, carriers, OEMs, and devices; and content media platform offers news, weather, sports, and other content, as well as programmatic advertising and media content delivery services, and sponsored and editorial content media.

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