Short Interest in Direct Digital Holdings, Inc. (NASDAQ:DRCT) Increases By 648.5%

Direct Digital Holdings, Inc. (NASDAQ:DRCT) was the recipient of a significant growth in short interest in the month of April. As of April 30th, there was short interest totaling 215,086 shares, a growth of 648.5% from the April 15th total of 28,736 shares. Currently, 38.9% of the shares of the company are sold short. Based on an average daily volume of 885,745 shares, the days-to-cover ratio is currently 0.2 days.

Analysts Set New Price Targets

DRCT has been the subject of a number of recent analyst reports. Wall Street Zen raised Direct Digital from a “strong sell” rating to a “sell” rating in a research report on Saturday, April 11th. Weiss Ratings reaffirmed a “sell (e+)” rating on shares of Direct Digital in a research report on Wednesday, January 21st. One investment analyst has rated the stock with a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat.com, the company currently has an average rating of “Reduce”.

Hedge Funds Weigh In On Direct Digital

An institutional investor recently raised its position in Direct Digital stock. XTX Topco Ltd increased its stake in shares of Direct Digital Holdings, Inc. (NASDAQ:DRCT) by 252.6% during the second quarter, according to its most recent disclosure with the Securities and Exchange Commission. The firm owned 53,787 shares of the company’s stock after acquiring an additional 38,534 shares during the quarter. XTX Topco Ltd owned about 0.28% of Direct Digital worth $30,000 at the end of the most recent reporting period. 4.02% of the stock is owned by hedge funds and other institutional investors.

Direct Digital Stock Performance

Shares of NASDAQ:DRCT traded down $0.51 during midday trading on Tuesday, hitting $3.20. The company’s stock had a trading volume of 66,617 shares, compared to its average volume of 585,664. The stock has a market capitalization of $2.37 million, a price-to-earnings ratio of -0.01 and a beta of 5.44. The stock’s 50 day simple moving average is $3.43 and its 200 day simple moving average is $17.22. Direct Digital has a fifty-two week low of $2.17 and a fifty-two week high of $172.70.

Direct Digital (NASDAQ:DRCT) last issued its quarterly earnings results on Monday, May 11th. The company reported ($10.32) earnings per share (EPS) for the quarter, missing the consensus estimate of ($7.74) by ($2.58). The firm had revenue of $6.68 million during the quarter, compared to the consensus estimate of $6.82 million. As a group, analysts anticipate that Direct Digital will post -40.44 EPS for the current year.

Direct Digital Company Profile

Direct Digital Holdings, Inc (NASDAQ: DRCT) is a provider of cloud-based marketing software and services tailored to mortgage lenders and real estate professionals. The company’s integrated platform is designed to help its clients generate, nurture and convert leads through customer relationship management (CRM), automated marketing campaigns, customizable websites and digital content delivery. By combining proprietary tools with expert support, Direct Digital enables users to streamline workflows, improve customer engagement and drive growth in competitive markets.

The company’s flagship offerings include a CRM system that centralizes prospect and client data, marketing automation that triggers timely email and digital campaigns, and website solutions that are optimized for lead capture and search-engine visibility.