Want to see GB:DOTD full AI Analyst Report?
Top Page
Dotdigital
(LSE:DOTD)
Select Model
Select Model
Rating:67Neutral
Price Target:
56.00 p
▲(18.64% Upside)
Action:Downgraded
Date:03/29/26
The score is supported by strong financial performance (profitability, cash conversion, and low leverage) and reasonable valuation (P/E 11.95 with a 2.74% dividend yield). These positives are materially offset by weak technicals, with the share price below all major moving averages and bearish/oversold momentum signals.
Positive Factors
Recurring SaaS business model & integrations
Dotdigital’s subscription SaaS model with tight ecommerce and CRM integrations creates predictable recurring revenue and deeper workflow embedding. This durable structure supports steady retention, partner-driven customer acquisition and reduces churn risk over the medium term.
Negative Factors
Sluggish revenue growth
Top-line growth is modest, with single-digit revenue expansion recently. For a SaaS company, slow revenue momentum limits operating leverage and the pace at which cash generation and profits can scale, constraining sustained EPS and shareholder return growth over coming quarters.
Read all positive and negative factors
Positive Factors
Negative Factors
Recurring SaaS business model & integrations
Dotdigital’s subscription SaaS model with tight ecommerce and CRM integrations creates predictable recurring revenue and deeper workflow embedding. This durable structure supports steady retention, partner-driven customer acquisition and reduces churn risk over the medium term.
Read all positive factors
Dotdigital (DOTD) vs. iShares MSCI United Kingdom ETF (EWC)
Market Cap
£153.75M
Dividend Yield2.34%
Average Volume (3M)518.56K
Price to Earnings (P/E)17.1
Beta (1Y)0.73
Revenue Growth3.82%
EPS Growth-18.43%
CountryUK
Employees457
SectorTechnology
Sector Strength88
IndustrySoftware - Application
Share Statistics
EPS (TTM)0.03
Shares Outstanding303,245,330
10 Day Avg. Volume568,439
30 Day Avg. Volume518,558
Financial Highlights & Ratios
PEG Ratio24.93
Price to Book (P/B)2.25
Price to Sales (P/S)2.76
P/FCF Ratio9.79
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
£135.00Price Target Upside186.02% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering1
EPS Forecast (FY)0.06
Revenue Forecast (FY)£104.59M
Dotdigital Business Overview & Revenue Model
Company Description
dotdigital Group Plc offers intuitive software-as-a-service (SaaS) solutions and managed services to digital marketing professionals globally. The company's flagship product is Engagement Cloud, a SaaS-based omni-channel marketing automation platf...
How the Company Makes Money
Dotdigital primarily makes money by selling subscriptions to its cloud-based marketing automation platform. Customers pay recurring fees (typically contracted for a term) to access the software and its features, with pricing commonly scaling by fa...
Dotdigital Financial Statement Overview
Summary
Income Statement
85
Very Positive
Balance Sheet
78
Positive
Cash Flow
82
Very Positive
| Breakdown | TTM | Jun 2025 | Jun 2024 | Jun 2023 | Jun 2022 | Jun 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 85.75M | 83.92M | 78.97M | 69.23M | 62.83M | 58.12M |
| Gross Profit | 51.03M | 55.50M | 62.80M | 47.26M | 44.02M | 41.68M |
| EBITDA | 26.04M | 26.54M | 23.40M | 22.05M | 20.86M | 18.97M |
| Net Income | 9.23M | 11.21M | 11.07M | 12.60M | 11.83M | 10.59M |
Balance Sheet | ||||||
| Total Assets | 140.06M | 141.97M | 123.57M | 100.17M | 87.79M | 75.09M |
| Cash, Cash Equivalents and Short-Term Investments | 36.10M | 36.21M | 42.16M | 52.68M | 43.92M | 31.95M |
| Total Debt | 1.55M | 1.78M | 3.08M | 2.14M | 2.58M | 3.42M |
| Total Liabilities | 33.54M | 38.86M | 28.37M | 19.86M | 17.98M | 14.05M |
| Stockholders Equity | 106.52M | 103.11M | 95.20M | 80.31M | 69.81M | 61.03M |
Cash Flow | ||||||
| Free Cash Flow | 21.57M | 23.68M | 22.22M | 12.64M | 15.31M | 9.97M |
| Operating Cash Flow | 22.01M | 23.99M | 21.07M | 21.70M | 23.46M | 17.01M |
| Investing Cash Flow | -25.57M | -25.11M | -27.48M | -9.07M | -8.15M | -7.04M |
| Financing Cash Flow | -5.29M | -4.15M | -4.07M | -3.84M | -3.67M | -3.50M |
Dotdigital Technical Analysis
Positive
47.20
Price Trends
46.89
Positive
47.09
Positive
55.19
Negative
Market Momentum
1.06
Positive
57.31
Neutral
33.63
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:DOTD, the sentiment is Positive. The current price of 47.2 is below the 20-day moving average (MA) of 49.42, above the 50-day MA of 46.89, and below the 200-day MA of 55.19, indicating a neutral trend. The MACD of 1.06 indicates Positive momentum. The RSI at 57.31 is Neutral, neither overbought nor oversold. The STOCH value of 33.63 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:DOTD.
Dotdigital Peers Comparison
UnderperformOutperform
Sector (61)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
68 Neutral | £201.30M | 83.22 | 5.22% | 0.80% | 19.00% | -53.85% | |
67 Neutral | £153.75M | 17.14 | 8.80% | 2.56% | 3.82% | -18.43% | |
65 Neutral | £38.37M | -116.77 | -1.32% | 0.03% | -41.95% | -106.40% | |
65 Neutral | £149.62M | 1,460.29 | 0.31% | ― | -1.56% | -98.71% | |
63 Neutral | £1.07B | 193.51 | 64.11% | ― | 20.07% | 30.00% | |
61 Neutral | $37.18B | 12.37 | -10.20% | 1.83% | 8.50% | -7.62% | |
48 Neutral | £288.76M | -12.50 | -26.32% | ― | -1.15% | -1047.06% |
* Technology Sector Average
GB:DOTD
Dotdigital
51.60
-15.75
-23.39%
GB:CLBS
Celebrus Technologies
101.00
-60.19
-37.34%
GB:EYE
Eagle Eye Solutions
496.50
272.50
121.65%
GB:NET
Netcall
119.00
0.51
0.43%
GB:TRST
Trustpilot Group Plc
280.40
58.60
26.42%
GB:BIG
Big Technologies PLC
100.00
11.00
12.36%
Dotdigital Corporate Events
Business Operations and StrategyExecutive/Board ChangesFinancial Disclosures
Dotdigital lifts recurring revenue and boosts ARR as AI platform and acquisitions drive growth
Positive
Jul 28, 2026
Dotdigital reported that revenue for the year to 30 June 2026 rose 8% to £90.9m, with gross margin improving to 80% as its core customer experience and data platform contributed 84% of group sales. Recurring revenue and forward-looking contra...
Business Operations and StrategyFinancial DisclosuresM&A Transactions
Dotdigital boosts recurring revenue as AI-led platform and acquisitions drive growth
Positive
Jul 28, 2026
Dotdigital, a provider of AI-driven marketing platforms, reported that revenue for the year to 30 June 2026 rose 8% to £90.9m, with gross margin improving to 80% as higher-margin core CXDP recurring revenue grew 14% to £76.8m and reached...
Business Operations and StrategyProduct-Related Announcements
Dotdigital expands AI marketing suite with loyalty and prompting tools
Positive
Jul 16, 2026
Dotdigital has launched Dotdigital Loyalty, a new product initially aimed at Shopify merchants that enables brands to design and run loyalty programmes directly within its platform and link rewards data to broader marketing campaigns. The tool sup...
Business Operations and StrategyM&A TransactionsProduct-Related Announcements
Dotdigital unveils new website and brand as it sharpens AI-driven CX focus
Positive
Jul 1, 2026
Dotdigital has launched a new corporate website and refreshed its commercial brand to reflect its evolution into an all-in-one customer experience and data platform. The new site, alongside a dedicated investor portal, is intended to better showca...
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.