Digital Turbine (NASDAQ:APPS) Shares Up 8.5% - Time to 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) shot up 8.5% on Thursday . The company traded as high as $5.39 and last traded at $5.43. 2,063,473 shares traded 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.

Analysts Set New Price Targets

A number of brokerages have weighed in on APPS. Craig Hallum raised their target price on shares of Digital Turbine from $4.00 to $7.00 and gave the company a "buy" rating in a research note on Tuesday, June 17th. Wall Street Zen raised shares of Digital Turbine from a "hold" rating to a "buy" rating in a research note on Saturday, June 21st.

Digital Turbine Stock Up 9.2%

The company has a market cap of $588.37 million, a P/E ratio of -6.12 and a beta of 2.57. 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 moving average is $5.32 and its two-hundred day moving average is $4.04.

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

Institutional Investors Weigh In On Digital Turbine

A number of large investors have recently added to or reduced their stakes in the stock. Harbor Capital Advisors Inc. purchased a new position in shares of Digital Turbine during the 2nd quarter worth $12,031,000. Marshall Wace LLP purchased a new position in Digital Turbine during the fourth quarter valued at $1,698,000. Segall Bryant & Hamill LLC purchased a new position in Digital Turbine during the first quarter valued at $2,710,000. Vanguard Group Inc. grew its holdings in Digital Turbine by 11.2% during the first quarter. Vanguard Group Inc. now owns 8,869,396 shares of the software maker's stock valued at $24,080,000 after purchasing an additional 893,035 shares during the period. Finally, Greenhaven Road Investment Management L.P. grew its holdings in Digital Turbine by 467.1% during the first quarter. Greenhaven Road Investment Management L.P. now owns 1,025,951 shares of the software maker's stock valued at $2,785,000 after purchasing an additional 845,051 shares during the period. Institutional investors own 63.66% of the company's stock.

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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