Digital Turbine (NASDAQ:APPS) Shares Gap Up Following Earnings Beat

Shares of Digital Turbine, Inc. (NASDAQ:APPS) gapped up before the market opened on Monday after the company announced better than expected quarterly earnings. The stock had previously closed at $4.68, but opened at $4.90. Digital Turbine shares last traded at $4.97, with a volume of 708,030 shares.

The software maker reported $0.10 EPS for the quarter, beating analysts’ consensus estimates of $0.05 by $0.05. Digital Turbine had a positive return on equity of 1.82% and a negative net margin of 18.61%. The firm had revenue of $119.15 million for the quarter, compared to analyst estimates of $116.64 million. During the same period last year, the firm posted $0.12 earnings per share.

Wall Street Analysts Forecast Growth

APPS has been the topic of a number of recent analyst reports. Craig Hallum lifted their price objective on Digital Turbine from $4.00 to $7.00 and gave the stock a “buy” rating in a research note on Tuesday. Wall Street Zen lowered Digital Turbine from a “hold” rating to a “sell” rating in a research note on Monday, March 24th.

Institutional Investors Weigh In On Digital Turbine

A number of hedge funds have recently added to or reduced their stakes in the business. Vanguard Group Inc. increased its holdings in Digital Turbine by 11.2% in the first quarter. Vanguard Group Inc. now owns 8,869,396 shares of the software maker’s stock worth $24,080,000 after purchasing an additional 893,035 shares in the last quarter. Two Sigma Investments LP increased its holdings in Digital Turbine by 19.1% in the fourth quarter. Two Sigma Investments LP now owns 2,105,953 shares of the software maker’s stock worth $3,559,000 after purchasing an additional 337,959 shares in the last quarter. Bank of America Corp DE increased its holdings in Digital Turbine by 55.6% in the fourth quarter. Bank of America Corp DE now owns 2,028,022 shares of the software maker’s stock worth $3,427,000 after purchasing an additional 724,297 shares in the last quarter. Two Sigma Advisers LP increased its holdings in Digital Turbine by 0.4% in the fourth quarter. Two Sigma Advisers LP now owns 1,641,974 shares of the software maker’s stock worth $2,775,000 after purchasing an additional 7,100 shares in the last quarter. Finally, Greenhaven Road Investment Management L.P. increased its holdings in shares of 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 acquiring an additional 845,051 shares in the last quarter. 63.66% of the stock is currently owned by institutional investors.

Digital Turbine Trading Up 56.8%

The business has a fifty day moving average of $4.03 and a 200-day moving average of $3.22. The company has a debt-to-equity ratio of 2.50, a quick ratio of 1.06 and a current ratio of 1.06. The company has a market capitalization of $791.78 million, a P/E ratio of -8.47 and a beta of 2.58.

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.