tiprankstipranks
Trending News
More News >
Digital Value SpA (IT:DGV)
:DGV
Italy Market
Advertisement

Digital Value SpA (DGV) AI Stock Analysis

Compare
21 Followers

Top Page

IT:DGV

Digital Value SpA

(DGV)

Select Model
Select Model
Select Model
Outperform 81 (OpenAI - 4o)
Rating:81Outperform
Price Target:
€37.00
▲(19.16% Upside)
Digital Value SpA's overall stock score is driven by strong technical analysis and attractive valuation. The company's robust financial performance supports its position, although cash flow challenges need addressing. The absence of earnings call and corporate events data did not impact the score.
Positive Factors
Business Model Strength
Digital Value SpA's diverse service offerings in high-demand areas like cloud computing and cybersecurity position it well for sustained growth and relevance in digital transformation.
Strategic Partnerships
Partnerships with industry leaders enhance DGV's market reach and credibility, supporting long-term revenue growth and competitive advantage through integrated solutions.
Profitability Metrics
Improved gross profit margins reflect effective cost management, contributing to sustained profitability and operational efficiency, which are crucial for long-term financial health.
Negative Factors
Cash Flow Challenges
Negative operating cash flow indicates potential issues in converting profits into cash, which could strain liquidity and financial flexibility if not addressed.
Revenue Decline
A recent decline in revenue growth could signal challenges in market demand or competitive pressures, potentially impacting future growth prospects if not reversed.
Liabilities Increase
An increase in liabilities may indicate rising financial obligations, which could affect the company's balance sheet strength and require careful management to maintain stability.

Digital Value SpA (DGV) vs. iShares MSCI Italy ETF (EWI)

Digital Value SpA Business Overview & Revenue Model

Company DescriptionDigital Value S.p.A. provides technology and service solutions to the telecommunications, utilities, finance, automotive, defense and security, and IT services and solutions sectors in Italy. It offers security, Internet of Things, cloud, business applications, digital transformation, artificial intelligence, analytics, cognitive big data, and unified collaboration and digital workplace solutions, as well as networking, technology, managed, test, monitoring, and e-visibility solutions. The company is headquartered in Milan, Italy. Digital Value S.p.A. is a subsidiary of DV Holding S.p.A.
How the Company Makes MoneyDigital Value SpA generates revenue through multiple streams, primarily by offering consulting services, software solutions, and managed services. The company's core revenue drivers include project-based consulting fees for digital transformation initiatives, subscription fees for proprietary software platforms, and recurring revenue from managed services agreements. Additionally, DGV has established strategic partnerships with leading technology providers, which enable it to offer integrated solutions and expand its market reach. Collaborations with industry leaders also enhance DGV's credibility and attract new clients, contributing significantly to its overall earnings.

Digital Value SpA Financial Statement Overview

Summary
Digital Value SpA shows strong revenue growth and profitability metrics, with a stable balance sheet. However, recent cash flow challenges, particularly in operating cash flows, could impact liquidity if not addressed.
Income Statement
84
Very Positive
Digital Value SpA has demonstrated a solid financial performance with consistent revenue growth over the years. The company's gross profit margin has improved, indicating efficient cost management, while the net profit margin remains healthy. The EBIT and EBITDA margins reflect strong operational efficiency, contributing to the company's profitability. However, the slight decline in revenue in the latest year is a point of concern, but overall growth trajectory remains positive.
Balance Sheet
78
Positive
The balance sheet of Digital Value SpA shows a healthy equity ratio, indicating a stable financial position with a good portion of assets financed by equity. The company maintains a manageable debt-to-equity ratio, suggesting prudent leverage levels. Return on equity is strong, showcasing effective utilization of shareholders' funds. The company's financial stability is reinforced by adequate cash reserves, although a slight increase in liabilities requires monitoring.
Cash Flow
70
Positive
Digital Value SpA's cash flow statement reveals a mixed picture. The operating cash flow has fluctuated, with recent negative results raising concerns. Despite this, the company has managed to maintain its free cash flow, albeit with a declining growth rate. The negative operating cash flow to net income ratio in the latest period indicates potential issues in converting profits into cash, which should be addressed to ensure liquidity stability.
BreakdownDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue814.67M847.39M708.51M557.78M442.26M
Gross Profit262.60M96.72M79.29M62.37M49.41M
EBITDA90.77M89.44M71.81M56.36M44.41M
Net Income35.27M38.37M33.95M30.13M24.10M
Balance Sheet
Total Assets752.58M729.75M634.73M539.58M379.86M
Cash, Cash Equivalents and Short-Term Investments112.38M148.05M114.64M112.13M73.26M
Total Debt100.22M101.04M78.06M90.86M40.40M
Total Liabilities525.79M541.33M476.95M410.42M286.14M
Stockholders Equity224.62M187.29M156.86M123.67M93.54M
Cash Flow
Free Cash Flow-25.46M18.90M19.14M-12.00M5.52M
Operating Cash Flow-5.12M76.45M51.19M15.36M17.85M
Investing Cash Flow-36.32M-57.56M-35.87M-31.61M-13.03M
Financing Cash Flow1.29M14.51M-12.80M50.46M13.55M

Digital Value SpA Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price31.05
Price Trends
50DMA
29.72
Positive
100DMA
28.56
Positive
200DMA
24.13
Positive
Market Momentum
MACD
0.52
Positive
RSI
51.64
Neutral
STOCH
49.69
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IT:DGV, the sentiment is Neutral. The current price of 31.05 is below the 20-day moving average (MA) of 31.38, above the 50-day MA of 29.72, and above the 200-day MA of 24.13, indicating a neutral trend. The MACD of 0.52 indicates Positive momentum. The RSI at 51.64 is Neutral, neither overbought nor oversold. The STOCH value of 49.69 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for IT:DGV.

Digital Value SpA Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
81
Outperform
€319.19M9.02
2.55%-3.76%-9.21%
70
Outperform
1.44B23.3113.48%1.08%3.50%-19.19%
60
Neutral
681.03M169.192.40%2.02%17.21%-80.93%
61
Neutral
$37.18B12.37-10.20%1.83%8.50%-7.62%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
IT:DGV
Digital Value SpA
31.05
-17.19
-35.63%
GB:0QHK
Sesa S.p.A.
93.00
7.56
8.85%
DE:7T4
Tinexta SpA
14.58
3.31
29.37%
IT:RETI
Reti SpA
1.58
-0.25
-13.66%
IT:NRST
Neurosoft S.A.
0.79
0.20
33.90%
IT:SPN
Spindox S.P.A
12.60
2.70
27.27%
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.Date of analysis: Sep 12, 2025