NASDAQ
DGII
Last Price
US $74.12
KEY FIGURES
MKT CAP
$2.7B
EPS
TTM
$1.15
PEG
TTM
0.51x
P/E
TTM
60.82x
P/S
TTM
6.18x
YIELD
0.00%
GROWTH
Revenue Y/Y
Profit margin
Current Ratio
Capital Returns
6.72%
Return on equity
ROIC: 5.79%
Valuation History
60.8X
Price to Earnings
EV/EBITDA: 27.9X
Cash flow
Profit margin
9.03%
(FY vs FY)
EBITDA Y/Y
22.60%
(FY vs FY)
Cash flow Y/Y
25.69%
(FY vs FY)
Cash Flow (DCF)
Fair Value
Market $74.12
-38.60%
Default assumptions
EBITDA Multiple
Fair Value
Market $74.12
-84.55%
Default assumptions
Base valuations use default assumptions. Customize in the Valuator.
Valuation
Financial
Performance
Financial stability - Cash flow debt coverage.
Digi International Inc. cash flow to debt ratio of 60.03% indicates that the company generates enough cash to cover its debts. This level indicates strong financial health.
Financial stability - Healthy cash flow growth.
Digi International Inc.'s free cash flow has increased 30.25% from $80.87M last year to $105.33M, signaling increasing performance
Financial stability - Healthy debt to equity ratio.
Digi International Inc.'s debt to equity ratio is 0.23, which means that the company's assets are healthy financed, signaling financial stability. READ MORE: A ratio under 0.60 means the company finances its assets with own equity, signaling financial stability and good management.
Financial stability - Healthy debt to equity ratio development.
Digi International Inc.'s debt has decreased relative to shareholder equity from 0.24 last year to 0.23 today, signaling strengthened financials
Financial stability - Net debt/EBITDA.
Digi International Inc. has a net debt to EBITDA ratio of 1.88x, which is below the 3.00x threshold, indicating healthy leverage and financial stability
Financial stability - ICR.
Digi International Inc.'s interest coverage ratio of 22.58 indicates that earnings with good margin can cover interest payments on company debt
Financial stability - Profit margin growth.
Digi International Inc.'s profit margin has increased (71.50%) in the last year from 5.31% to 9.10%, signaling increasing performance
Financial stability - Short term assets vs short term liabilities.
Digi International Inc.'s short-term assets of $130.70M exceed its short-term liabilities of $107.81M
Decreasing performance - ROA.
Digi International Inc.'s return on assets of 4.44% is lower than the 5.00% threshold, indicating inefficient asset utilization
Decreasing performance - Absolute return on equity.
Digi International Inc.'s return on equity of 6.72%, is lower than 15.00%, indicating bad performance
Increasing performance - Earnings quality.
Digi International Inc.'s operating cash flow exceeds its net income, indicating high-quality earnings backed by actual cash generation
Increasing performance - Earnings stability.
Digi International Inc. had positive net income in 5.00 out of 5 years, indicating stable and consistent earnings
Increasing performance - Free cash flow.
Digi International Inc. has positive free cash flow, indicating the company generates cash after capital expenditures
Increasing performance - FCF yield.
Digi International Inc. has a free cash flow yield of 3.96%, which is above the 2.00% threshold, indicating strong cash generation relative to market value
Increasing performance - Healthy earnings growth.
Digi International Inc.'s yearly earnings has increased 81.31% since last year from $22.50M to $40.80M, signaling increasing performance
Increasing performance - Healthy revenue growth.
Digi International Inc.'s yearly revenue has increased 1.46% since last year from $424.05M to $430.22M, signaling increasing performance
Increasing performance - ROIC.
ROIC 5.79% (Source: FMP key-metrics). In the 5–10% partial-credit band. Score: 1 of 2. This band sits within the typical US weighted-average cost of capital range. Methodology choice can change the conclusion: under FMP's invested-capital definition the company is at or near its cost of capital; under narrower operating-capital definitions the same company may score higher. Invested capital here includes equity, non-current liabilities, and short-term debt. Cash is not subtracted. See methodology.
Increasing performance - 3-year revenue CAGR.
Digi International Inc.'s 3-year revenue CAGR of 3.48% is positive, indicating growing revenue over the past 3 years
Increasing performance - Revenue consistency.
Digi International Inc. had revenue growth in 4.00 out of 5 years, indicating consistent revenue performance
Increasing performance - ROE consistency.
Digi International Inc. had positive ROE in 5.00 out of 5 years, indicating consistent and reliable returns on equity
Overvalued - DCF valuation.
Digi International Inc. is overvalued relative to its fair value price of 45.51 based on Discounted Cash Flow model
Overvalued - Earnings yield.
Digi International Inc. has an earnings yield of 1.63%, which is below the 4.00% threshold, indicating the stock may be expensive relative to its earnings
Overvalued - EBITDA valuation.
Digi International Inc. is overvalued relative to its fair value price of 11.45 based on EBITDA multiple model
Overvalued - EV/EBITDA.
Digi International Inc. has an EV/EBITDA ratio of 27.87x, which exceeds the 20.00x threshold, indicating the stock may be overvalued relative to its operating earnings
Undervalued - PEG ratio value.
Digi International Inc. has a PEG-ratio under 1 which is considered undervalued
Undervalued - P/B ratio.
Digi International Inc. has a price-to-book ratio of 3.99x, which is below the 5.00x threshold, indicating reasonable valuation relative to its book value
Undervalued - P/S ratio.
Digi International Inc. has a price-to-sales ratio of 5.60x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue