Digi International Inc. (NASDAQ:DGII) Receives Average Rating of “Hold” from Brokerages

Digi International Inc. (NASDAQ:DGII) has earned a consensus recommendation of “Hold” from the seven brokerages that are presently covering the company, Marketbeat Ratings reports. One investment analyst has rated the stock with a sell recommendation, two have given a hold recommendation and four have given a buy recommendation to the company. The average 1-year price objective among brokers that have updated their coverage on the stock in the last year is $49.80.

DGII has been the subject of several analyst reports. Wall Street Zen raised Digi International from a “buy” rating to a “strong-buy” rating in a research note on Saturday, January 31st. Weiss Ratings restated a “hold (c+)” rating on shares of Digi International in a research report on Wednesday, December 24th. Stephens raised their target price on shares of Digi International from $50.00 to $55.00 and gave the stock an “overweight” rating in a report on Friday, January 2nd. Zacks Research downgraded shares of Digi International from a “hold” rating to a “strong sell” rating in a report on Tuesday, February 10th. Finally, Craig Hallum reissued a “buy” rating and issued a $50.00 price objective on shares of Digi International in a research note on Thursday, February 5th.

Insider Activity at Digi International

In other Digi International news, Director Satbir Khanuja sold 6,000 shares of the stock in a transaction on Tuesday, February 10th. The stock was sold at an average price of $46.00, for a total value of $276,000.00. Following the sale, the director owned 85,298 shares in the company, valued at $3,923,708. This trade represents a 6.57% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, VP James E. Freeland sold 1,355 shares of Digi International stock in a transaction on Tuesday, February 10th. The stock was sold at an average price of $45.84, for a total value of $62,113.20. Following the sale, the vice president owned 19,987 shares of the company’s stock, valued at approximately $916,204.08. This trade represents a 6.35% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold a total of 13,455 shares of company stock worth $616,357 in the last quarter. 3.40% of the stock is owned by company insiders.

Hedge Funds Weigh In On Digi International

Hedge funds have recently added to or reduced their stakes in the stock. Bessemer Group Inc. increased its position in shares of Digi International by 2,215.1% during the third quarter. Bessemer Group Inc. now owns 1,227 shares of the technology company’s stock worth $45,000 after acquiring an additional 1,174 shares during the period. Lazard Asset Management LLC boosted its holdings in shares of Digi International by 25.1% in the second quarter. Lazard Asset Management LLC now owns 1,690 shares of the technology company’s stock valued at $58,000 after purchasing an additional 339 shares during the period. Russell Investments Group Ltd. grew its stake in Digi International by 1,530.9% in the third quarter. Russell Investments Group Ltd. now owns 3,376 shares of the technology company’s stock worth $123,000 after purchasing an additional 3,169 shares in the last quarter. LSV Asset Management bought a new position in Digi International in the third quarter worth approximately $153,000. Finally, SG Americas Securities LLC purchased a new position in Digi International during the 2nd quarter worth $196,000. 95.90% of the stock is currently owned by institutional investors.

Digi International Stock Down 1.2%

NASDAQ DGII opened at $49.07 on Friday. The stock has a 50 day moving average price of $46.80 and a 200-day moving average price of $41.94. Digi International has a one year low of $22.39 and a one year high of $51.78. The company has a debt-to-equity ratio of 0.21, a quick ratio of 0.90 and a current ratio of 1.24. The company has a market capitalization of $1.85 billion, a P/E ratio of 43.81 and a beta of 0.79.

Digi International (NASDAQ:DGII) last released its quarterly earnings results on Wednesday, February 4th. The technology company reported $0.56 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.55 by $0.01. The company had revenue of $122.46 million for the quarter, compared to the consensus estimate of $115.90 million. Digi International had a net margin of 9.45% and a return on equity of 10.93%. Digi International’s revenue was up 17.9% on a year-over-year basis. During the same quarter in the prior year, the firm earned $0.45 earnings per share. Digi International has set its Q2 2026 guidance at 0.560-0.590 EPS. As a group, equities analysts predict that Digi International will post 1.68 EPS for the current fiscal year.

Digi International Company Profile

Digi International Inc is a provider of Internet of Things (IoT) connectivity products and services designed to link devices to networks and applications securely. The company develops a broad range of networking hardware, including cellular and Ethernet routers, gateways, embedded modules and adaptors, as well as accessories and antennas. Digi’s solutions enable businesses to deploy remote monitoring, control and automation systems across diverse industries such as transportation, utilities, healthcare, retail and industrial manufacturing.

In addition to its physical devices, Digi offers cloud-based management software and professional services that simplify device configuration, monitoring and over-the-air updates.