Digital Turbine (NASDAQ:APPS) Shares Up 8.5% - Should You Buy?

Key Points

• Digital Turbine's stock rose by 8.5% on Thursday, reaching a last traded price of $5.43 after closing at $5.00, despite a significant decrease in trading volume.
• Analysts upgraded their price targets for Digital Turbine, with Craig Hallum raising it from $4.00 to $7.00 and providing a "buy" recommendation.
• The company reported earnings per share of $0.10 for the last quarter, exceeding estimates and generating revenues of $119.15 million, up from an estimate of $116.64 million.

Digital Turbine, Inc. (NASDAQ:APPS - Get Free Report) shares shot up 8.5% during mid-day trading on Thursday . The company traded as high as $5.39 and last traded at $5.43. 2,063,473 shares changed hands during trading, a decline of 65% from the average session volume of 5,908,209 shares. The stock had previously closed at $5.00.

Analyst Upgrades and Downgrades

A number of research firms recently issued reports on APPS. Wall Street Zen raised shares of Digital Turbine from a "hold" rating to a "buy" rating in a research report on Saturday, June 21st. Craig Hallum increased their target price on shares of Digital Turbine from $4.00 to $7.00 and gave the stock a "buy" rating in a research report on Tuesday, June 17th.

Digital Turbine Price Performance

The company has a debt-to-equity ratio of 2.66, a current ratio of 1.09 and a quick ratio of 1.09. The company's 50-day simple moving average is $5.35 and its 200-day simple moving average is $4.12. The company has a market cap of $578.13 million, a price-to-earnings ratio of -6.02 and a beta of 2.57.

Digital Turbine (NASDAQ:APPS - Get Free Report) last issued its quarterly earnings data on Monday, June 16th. The software maker reported $0.10 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.05 by $0.05. Digital Turbine had a negative net margin of 18.61% and a positive return on equity of 1.89%. The company had revenue of $119.15 million during the quarter, compared to the consensus estimate of $116.64 million. During the same quarter last year, the company earned $0.12 earnings per share. On average, equities research analysts anticipate that Digital Turbine, Inc. will post -0.03 EPS for the current year.

Institutional Trading of Digital Turbine

Hedge funds have recently made changes to their positions in the stock. Strs Ohio acquired a new stake in shares of Digital Turbine during the first quarter worth approximately $41,000. Caitong International Asset Management Co. Ltd acquired a new stake in shares of Digital Turbine during the first quarter worth approximately $45,000. Thompson Davis & CO. Inc. acquired a new stake in shares of Digital Turbine during the first quarter worth approximately $47,000. Hsbc Holdings PLC acquired a new stake in shares of Digital Turbine during the first quarter worth approximately $51,000. Finally, Greenleaf Trust acquired a new stake in shares of Digital Turbine during the second quarter worth approximately $115,000. Institutional investors and hedge funds own 63.66% of the company's stock.

Digital Turbine Company Profile

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.