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Digital Turbine (APPS)
NASDAQ:APPS
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Digital Turbine
(NASDAQ:APPS)
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Rating:50Neutral
Price Target:
$5.00
▼(-15.54% Downside)
Digital Turbine's stock score is primarily impacted by its financial performance challenges, including profitability and cash flow issues. Technical indicators suggest bearish momentum, and valuation metrics are unattractive due to negative earnings. However, strong revenue and EBITDA growth, as highlighted in the earnings call, provide some optimism for future performance.
Digital Turbine (APPS) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$589.90M
Dividend YieldN/A
Average Volume (3M)2.73M
Price to Earnings (P/E)―
Beta (1Y)1.33
Revenue Growth6.82%
EPS Growth75.26%
CountryUS
Employees754
SectorN/A
Sector StrengthN/A
IndustrySoftware - Application
Share Statistics
EPS (TTM)0.15
Shares Outstanding112,148,895
10 Day Avg. Volume1,743,824
30 Day Avg. Volume2,732,935
Financial Highlights & Ratios
PEG Ratio0.04
Price to Book (P/B)1.83
Price to Sales (P/S)0.58
P/FCF Ratio-18.09
Enterprise Value/Market Cap0.00
Enterprise Value/Revenue0.00
Enterprise Value/Gross Profit0.00
Enterprise Value/Ebitda0.00
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusModerate Buy
Number of Analyst Covering1
EPS Forecast (FY)N/A
Revenue Forecast (FY)N/A
Digital Turbine Business Overview & Revenue Model
Company DescriptionDigital Turbine, Inc. (APPS) is a technology company that specializes in mobile app delivery and monetization solutions, primarily targeting the mobile advertising and app distribution sectors. The company provides a platform that connects app developers, mobile operators, and advertisers, enabling them to efficiently distribute and monetize mobile applications. Digital Turbine’s core offerings include app preloads, a mobile advertising marketplace, and various solutions that enhance user engagement and retention through personalized app recommendations.
How the Company Makes MoneyDigital Turbine generates revenue through several key streams. Primarily, the company earns income from its app distribution services by partnering with device manufacturers and mobile carriers to preload apps onto devices, receiving payment for each app installed. Additionally, Digital Turbine operates a mobile advertising platform, where it earns revenue from advertisers who pay to promote their apps within its network. The company also benefits from performance-based advertising, where it receives a share of the revenue generated from in-app purchases made by users who downloaded apps through its platform. Significant partnerships with major mobile carriers and device manufacturers enhance its distribution capability, further contributing to its earnings.
Digital Turbine Earnings Call Summary
Earnings Call Date:Nov 04, 2025
(Q2-2026)
| Next Earnings Date:Feb 11, 2026
Earnings Call Sentiment Positive
The earnings call highlighted strong financial performance with significant growth in revenue and adjusted EBITDA. Successful debt refinancing and international revenue milestones further bolstered their position. However, the company did report a GAAP net loss for the quarter.Q2-2026 Updates
Positive Updates
Strong Revenue Growth
Digital Turbine reported revenue of $140.4 million for the quarter, representing 18% year-over-year growth.
Significant Adjusted EBITDA Increase
The company achieved 78% year-over-year growth in adjusted EBITDA, demonstrating substantial operating leverage.
Successful Debt Refinancing
Digital Turbine completed a debt refinancing through a new 4-year term loan facility, strengthening their balance sheet.
International Revenue Milestone
For the first time, international revenues exceeded 25% of total On Device Solutions revenues, with an 80% year-over-year increase.
Application Growth Platform Performance
The AGP segment returned to year-over-year growth, posting $45 million in revenue, up 20% year-over-year.
Increased Brand Engagement
Direct brand relationships accounted for 47% of total brand revenue in the September quarter, up from 22% in the prior quarter.
Improved Free Cash Flow
Free cash flow for the quarter was $7 million, an improvement of nearly $23 million year-over-year.
Raised Fiscal Year 2026 Guidance
The company raised its full-year revenue guidance to $540 million to $550 million and adjusted EBITDA guidance to $100 million to $105 million.
Negative Updates
GAAP Net Loss
Digital Turbine reported a GAAP net loss of $21.4 million or $0.20 per share for the fiscal second quarter.
Company Guidance
During the Digital Turbine Fiscal 2026 Second Quarter Earnings Conference Call, the company reported significant financial growth, with revenue reaching $140.4 million, marking an 18% year-over-year increase. Adjusted EBITDA saw a remarkable 78% year-over-year growth, highlighting the company's strong operating leverage. The On Device Solutions segment generated $96 million in revenue, up 17% year-over-year, while the App Growth Platform segment returned to growth with $45 million in revenue, a 20% increase from the previous year. International revenues for the On Device Solutions exceeded 25% of total segment revenues for the first time, driven by an 80% year-over-year revenue growth. The company successfully completed debt refinancing with a new 4-year term loan facility, enhancing financial flexibility. Furthermore, Digital Turbine raised its fiscal year 2026 guidance, projecting revenue between $540 million and $550 million, and adjusted EBITDA between $100 million and $105 million. The company's strategic investments in first-party data and AI-driven capabilities are expected to drive future growth, alongside a strong focus on enhancing advertiser demand and supply volumes.Digital Turbine Financial Statement Overview
Summary
Income Statement
45
Neutral
Balance Sheet
50
Neutral
Cash Flow
40
Negative
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Digital Turbine Technical Analysis
Positive
5.92
Price Trends
5.59
Negative
5.29
Negative
4.77
Positive
Market Momentum
-0.07
Negative
52.77
Neutral
75.09
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For APPS, the sentiment is Positive. The current price of 5.92 is above the 20-day moving average (MA) of 4.89, above the 50-day MA of 5.59, and above the 200-day MA of 4.77, indicating a neutral trend. The MACD of -0.07 indicates Negative momentum. The RSI at 52.77 is Neutral, neither overbought nor oversold. The STOCH value of 75.09 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for APPS.
Digital Turbine Peers Comparison
UnderperformOutperform
Sector (―)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
| ― | ― | ― | ― | ― | ― | ― | |
65 Neutral | $734.22M | 445.45 | 4.45% | ― | 22.97% | 49.49% | |
61 Neutral | $504.21M | -23.55 | -12.83% | ― | -24.05% | 96.90% | |
61 Neutral | $672.62M | -14.04 | -26.69% | ― | 13.09% | 32.34% | |
59 Neutral | $409.84M | -48.28 | -2.85% | ― | -0.68% | -146.14% | |
50 Neutral | $589.90M | -7.22 | -46.87% | ― | 6.82% | 75.26% | |
48 Neutral | $618.16M | ― | -28.65% | ― | 16.40% | 22.80% |
* Sector Average
APPS
Digital Turbine
5.26
3.39
181.28%
CRNC
Cerence
11.22
3.40
43.48%
SPT
Sprout Social
11.36
-20.70
-64.57%
PUBM
PubMatic
8.83
-6.43
-42.14%
FRGE
Forge Global Holdings
44.65
31.00
227.11%
DSP
Viant Technology
11.76
-7.49
-38.91%
Digital Turbine Corporate Events
Executive/Board Changes
Digital Turbine Board Member Mollie Spilman Resigns
Neutral
Nov 7, 2025
On November 5, 2025, Mollie Spilman, a member of the Board of Directors at Digital Turbine, Inc., announced her resignation effective November 10, 2025. She is leaving to pursue a senior executive role at another company, which may impact the board’s composition and strategic direction.
Private Placements and FinancingRegulatory Filings and Compliance
Digital Turbine Files Prospectus for Stock Sale
Neutral
Oct 22, 2025
On October 22, 2025, Digital Turbine, Inc. filed a prospectus supplement related to its shelf registration statement to cover the sale of 1,222,418 shares of common stock by certain selling stockholders. This filing includes a legal opinion on the validity of the securities, which may impact the company’s stock market activities and provide assurance to stakeholders regarding the legitimacy of the securities being sold.
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.