Herald Investment Management Ltd Makes New Investment in Digi International Inc. (NASDAQ:DGII)

Key Points

• Herald Investment Management Ltd invested $2.23 million in Digi International, acquiring 80,000 shares, representing about 0.22% of the company.
• Digi International's stock is currently valued at approximately $32.10, with institutional investors holding around 95.90% of the stock.
• The company reported earnings per share of $0.53 for the last quarter, exceeding analyst estimates, along with a revenue of $107.51 million.

Herald Investment Management Ltd bought a new position in Digi International Inc. (NASDAQ:DGII - Free Report) in the 1st quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The firm bought 80,000 shares of the technology company's stock, valued at approximately $2,226,000. Herald Investment Management Ltd owned 0.22% of Digi International as of its most recent filing with the Securities and Exchange Commission.

Several other hedge funds also recently made changes to their positions in the company. Sterling Capital Management LLC raised its position in Digi International by 868.6% during the fourth quarter. Sterling Capital Management LLC now owns 1,143 shares of the technology company's stock worth $35,000 after acquiring an additional 1,025 shares during the last quarter. Captrust Financial Advisors raised its position in Digi International by 6.3% during the fourth quarter. Captrust Financial Advisors now owns 21,629 shares of the technology company's stock valued at $654,000 after acquiring an additional 1,291 shares in the last quarter. MetLife Investment Management LLC grew its stake in shares of Digi International by 7.2% in the fourth quarter. MetLife Investment Management LLC now owns 21,655 shares of the technology company's stock worth $655,000 after acquiring an additional 1,451 shares during the last quarter. Lazard Asset Management LLC acquired a new stake in shares of Digi International in the fourth quarter worth $45,000. Finally, BNP Paribas Financial Markets grew its stake in shares of Digi International by 16.3% in the fourth quarter. BNP Paribas Financial Markets now owns 28,054 shares of the technology company's stock worth $848,000 after acquiring an additional 3,925 shares during the last quarter. Institutional investors and hedge funds own 95.90% of the company's stock.

Wall Street Analysts Forecast Growth

DGII has been the subject of a number of analyst reports. Wall Street Zen raised Digi International from a "buy" rating to a "strong-buy" rating in a report on Tuesday, May 20th. Piper Sandler increased their target price on Digi International from $30.00 to $33.00 and gave the stock a "neutral" rating in a research note on Thursday, August 7th. B. Riley increased their price target on Digi International from $35.00 to $40.00 and gave the company a "buy" rating in a research note on Thursday, August 7th. Finally, Roth Capital reissued a "buy" rating on shares of Digi International in a report on Thursday. Two equities research analysts have rated the stock with a hold rating, three have issued a buy rating and one has assigned a strong buy rating to the stock. According to MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and an average target price of $37.50.

Digi International Price Performance

Shares of Digi International stock traded up $1.69 during trading on Tuesday, hitting $34.19. 82,624 shares of the stock traded hands, compared to its average volume of 194,995. The stock has a market cap of $1.27 billion, a price-to-earnings ratio of 29.96, a PEG ratio of 1.10 and a beta of 0.89. Digi International Inc. has a 52 week low of $22.39 and a 52 week high of $37.06. The firm's fifty day moving average is $33.70 and its 200-day moving average is $31.30. The company has a quick ratio of 1.03, a current ratio of 1.43 and a debt-to-equity ratio of 0.06.

Digi International (NASDAQ:DGII - Get Free Report) last posted its quarterly earnings data on Wednesday, August 6th. The technology company reported $0.53 EPS for the quarter, beating analysts' consensus estimates of $0.51 by $0.02. The company had revenue of $107.51 million during the quarter, compared to analysts' expectations of $106.23 million. Digi International had a return on equity of 10.96% and a net margin of 10.14%. Digi International's revenue for the quarter was up 2.2% compared to the same quarter last year. During the same quarter in the prior year, the business earned $0.50 earnings per share. Research analysts expect that Digi International Inc. will post 1.68 EPS for the current fiscal year.

Digi International 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.