NasdaqCM:APPS

Stock Analysis Report

Executive Summary

Digital Turbine, Inc., through its subsidiaries, provides media and mobile communication products and solutions for mobile operators, application developers, device original equipment manufacturers (OEMs), and other third parties worldwide.


Snowflake Analysis

Flawless balance sheet with reasonable growth potential.


Similar Companies

Share Price & News

How has Digital Turbine's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: APPS's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

0.4%

APPS

-2.6%

US Software

-1.0%

US Market


1 Year Return

112.5%

APPS

35.8%

US Software

18.0%

US Market

Return vs Industry: APPS exceeded the US Software industry which returned 35.8% over the past year.

Return vs Market: APPS exceeded the US Market which returned 18% over the past year.


Shareholder returns

APPSIndustryMarket
7 Day0.4%-2.6%-1.0%
30 Day-5.9%4.9%0.6%
90 Day-18.8%15.2%7.9%
1 Year112.5%112.5%37.3%35.8%20.4%18.0%
3 Year729.3%729.3%145.0%134.6%48.0%38.5%
5 Year88.4%88.4%214.6%191.9%72.2%53.3%

Price Volatility Vs. Market

How volatile is Digital Turbine's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Digital Turbine undervalued compared to its fair value and its price relative to the market?

26.6%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: APPS ($6.8) is trading below our estimate of fair value ($9.27)

Significantly Below Fair Value: APPS is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: APPS is unprofitable, so we can't compare its PE Ratio to the Software industry average.

PE vs Market: APPS is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate APPS's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: APPS is overvalued based on its PB Ratio (10.3x) compared to the US Software industry average (5.9x).


Next Steps

Future Growth

How is Digital Turbine forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?

50.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: APPS is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.7%).

Earnings vs Market: APPS is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: APPS's is expected to become profitable in the next 3 years.

Revenue vs Market: APPS's revenue (20% per year) is forecast to grow faster than the US market (7.6% per year).

High Growth Revenue: APPS's revenue (20% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if APPS's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Digital Turbine performed over the past 5 years?

28.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: APPS is currently unprofitable.

Growing Profit Margin: APPS is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: APPS is unprofitable, but has reduced losses over the past 5 years at a rate of 28.1% per year.

Accelerating Growth: Unable to compare APPS's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: APPS is unprofitable, making it difficult to compare its past year earnings growth to the Software industry (18.4%).


Return on Equity

High ROE: APPS has a negative Return on Equity (-11.37%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Digital Turbine's financial position?


Financial Position Analysis

Short Term Liabilities: APPS's short term assets ($64.2M) exceed its short term liabilities ($54.4M).

Long Term Liabilities: APPS's short term assets ($64.2M) exceed its long term liabilities ($2.0M).


Debt to Equity History and Analysis

Debt Level: APPS is debt free.

Reducing Debt: APPS currently has no debt however we can't compare to 5 years ago as we have no data for that period.


Balance Sheet

Inventory Level: APPS has a low level of unsold assets or inventory.

Debt Coverage by Assets: Insufficient data to determine if APPS's debt is covered by short term assets.


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: Whilst unprofitable APPS has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: APPS is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 45.6% per year.


Next Steps

Dividend

What is Digital Turbine's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%1.4%markettop25%3.7%industryaverage1.2%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: Unable to evaluate APPS's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate APPS's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if APPS's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if APPS's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of APPS's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

3.5yrs

Average management tenure


CEO

Bill Stone (51yo)

5.3yrs

Tenure

US$980,593

Compensation

Mr. William Gordon Stone, III, also known as Bill, has been the Chief Executive Officer of Digital Turbine, Inc. (known as Mandalay Digital Group) since October 2014. Mr. Stone served as Chief Executive Of ...


CEO Compensation Analysis

Compensation vs Market: Bill's total compensation ($USD980.59K) is below average for companies of similar size in the US market ($USD1.67M).

Compensation vs Earnings: Bill's compensation has increased whilst the company is unprofitable.


Leadership Team

NamePositionTenureCompensationOwnership
William Stone
CEO & Director5.3yrsUS$980.59k1.13% $6.8m
Barrett Garrison
Executive VP & CFO3.4yrsUS$623.74k0.19% $1.2m
David Wesch
Chief Accounting Officer & Controller3.7yrsUS$216.28k0.00052% $3.1k
Christine Collins
Chief Technology Officer1.9yrsUS$511.12kno data
Kirstie Brown
Executive Vice President of Global Finance & Operations6.7yrsUS$458.76kno data
Nicholas Montes
Head of Americas & Executive VP of Global Business Development0yrsno datano data
Matt Tubergen
Executive Vice President of Digital Turbine Media2.8yrsno datano data
Brian Bartholomew
Senior Vice President of Capital Markets & Strategy0yrsno datano data

3.5yrs

Average Tenure

43yo

Average Age

Experienced Management: APPS's management team is considered experienced (3.5 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
William Stone
CEO & Director5.3yrsUS$980.59k1.13% $6.8m
Mohanbir Gyani
Independent Director4.1yrsUS$108.75k0.35% $2.1m
Robert Deutschman
Independent Chairman of the Board5.2yrsUS$172.50k1.02% $6.1m
John Bendheim
Member of Advisory Board7.8yrsno datano data
Mark Shapiro
Member of Advisory Board8.7yrsno datano data
Michael Lambert
Member of Advisory Board8.5yrsno datano data
Tim Spengler
Member of Advisory Board0yrsno datano data
John Schneider
Member of Advisory Board8.8yrsno datano data
Fred Goldring
Member of Advisory Board8.8yrsno datano data
Jeffrey Karish
Independent Director6.8yrsUS$107.50k0.38% $2.3m

7.8yrs

Average Tenure

55yo

Average Age

Experienced Board: APPS's board of directors are considered experienced (7.8 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: APPS insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 7.9%.


Top Shareholders

Company Information

Digital Turbine, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Digital Turbine, Inc.
  • Ticker: APPS
  • Exchange: NasdaqCM
  • Founded:
  • Industry: Application Software
  • Sector: Software
  • Market Cap: US$599.381m
  • Shares outstanding: 86.74m
  • Website: https://www.digitalturbine.com

Number of Employees


Location

  • Digital Turbine, Inc.
  • 111 Nueces Street
  • Austin
  • Texas
  • 78701
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
APPSNasdaqCM (Nasdaq Capital Market)YesCommon StockUSUSDJun 2006
4MDDB (Deutsche Boerse AG)YesCommon StockDEEURJun 2006

Biography

Digital Turbine, Inc., through its subsidiaries, provides media and mobile communication products and solutions for mobile operators, application developers, device original equipment manufacturers (OEMs), and other third parties worldwide. It provides Ignite, a software platform that enables mobile operators and OEMs to control, manage, and monetize devices. The company offers other products and professional services directly related to the Ignite platform. Digital Turbine, Inc. is headquartered in Austin, Texas. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/22 01:16
End of Day Share Price2020/02/21 00:00
Earnings2019/12/31
Annual Earnings2019/03/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.