Digital Turbine (NASDAQ:APPS) Trading 10.4% Higher Following Analyst Upgrade

Digital Turbine, Inc. (NASDAQ:APPS)’s stock price was up 10.4% on Thursday after Bank of America upgraded the stock from a neutral rating to a buy rating. Bank of America now has a $7.50 price target on the stock. Digital Turbine traded as high as $7.01 and last traded at $7.3770. Approximately 2,304,204 shares changed hands during mid-day trading, a decline of 30% from the average daily volume of 3,269,469 shares. The stock had previously closed at $6.68.

A number of other analysts also recently commented on APPS. Wall Street Zen upgraded Digital Turbine from a “hold” rating to a “buy” rating in a research note on Saturday, May 9th. Zacks Research downgraded Digital Turbine from a “strong-buy” rating to a “hold” rating in a report on Monday, April 6th. Finally, Weiss Ratings restated a “sell (d-)” rating on shares of Digital Turbine in a research report on Friday, March 27th. Two research analysts have rated the stock with a Buy rating, one has given a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat, the stock presently has a consensus rating of “Hold” and a consensus target price of $8.75.

Digital Turbine News Roundup

Here are the key news stories impacting Digital Turbine this week:

• Positive Sentiment: Digital Turbine beat fiscal Q4 estimates, reporting EPS of $0.16 versus $0.09 expected and revenue of $142.55 million versus $133.22 million expected, which signals better-than-anticipated operating performance. Article Title
• Positive Sentiment: The company guided fiscal 2027 revenue to $630 million-$650 million, above consensus, and said it expects double-digit growth, reinforcing confidence in the growth outlook. Article Title
• Positive Sentiment: Management highlighted improved profitability, with adjusted EBITDA up sharply year over year, and the company also announced new AI-related collaborations and a European partnership with Orange, which could support future monetization. Article Title
• Positive Sentiment: Bank of America upgraded Digital Turbine from neutral to buy and set a $7.50 price target, adding to the bullish sentiment around the stock. Article Title
• Neutral Sentiment: Short-interest data showed no meaningful change, with reported short interest at 0 shares, offering little direct impact on the stock’s move. Article Title
• Negative Sentiment: Some analysts remain cautious, arguing that margins, debt, and free cash flow are still weak despite the strong headline results, which could limit upside if execution stalls. Article Title

Hedge Funds Weigh In On Digital Turbine

Institutional investors and hedge funds have recently modified their holdings of the business. Essential Partners LLC boosted its position in Digital Turbine by 167.3% during the first quarter. Essential Partners LLC now owns 9,031 shares of the software maker’s stock worth $26,000 after purchasing an additional 5,652 shares in the last quarter. Quarry LP increased its position in shares of Digital Turbine by 1,323.4% in the fourth quarter. Quarry LP now owns 5,594 shares of the software maker’s stock valued at $28,000 after buying an additional 5,201 shares in the last quarter. Verus Capital Partners LLC acquired a new position in shares of Digital Turbine during the 1st quarter worth approximately $35,000. Strs Ohio purchased a new position in shares of Digital Turbine during the 1st quarter valued at approximately $41,000. Finally, Caitong International Asset Management Co. Ltd purchased a new position in shares of Digital Turbine during the 4th quarter valued at approximately $44,000. Hedge funds and other institutional investors own 63.66% of the company’s stock.

Digital Turbine Stock Up 12.4%

The stock has a market cap of $899.85 million, a price-to-earnings ratio of -20.89, a PEG ratio of 0.19 and a beta of 2.40. The business’s 50 day moving average is $3.61 and its 200-day moving average is $4.36. The company has a debt-to-equity ratio of 1.80, a quick ratio of 1.10 and a current ratio of 1.10.

Digital Turbine (NASDAQ:APPS) last posted its quarterly earnings data on Tuesday, May 26th. The software maker reported $0.16 earnings per share for the quarter, topping analysts’ consensus estimates of $0.09 by $0.07. Digital Turbine had a negative net margin of 6.68% and a positive return on equity of 28.73%. The company had revenue of $142.55 million during the quarter, compared to analysts’ expectations of $133.23 million. On average, sell-side analysts predict that Digital Turbine, Inc. will post 0.62 EPS for the current fiscal year.

Digital Turbine Company Profile

Digital Turbine, Inc (NASDAQ: APPS) is a mobile technology company that streamlines content delivery and app advertising across connected devices. Its platform enables carriers, OEMs, app developers and advertisers to engage users through personalized app recommendations, in-app promotions and turnkey monetization solutions. By integrating software directly on smartphones and tablets, Digital Turbine simplifies the user journey from discovery to installation without requiring additional downloads or redirects through traditional app stores.

The company’s flagship Ignite Platform offers end-to-end campaign management, combining demand-side advertising, real-time analytics and automated content fulfillment.