DIGITAL TURBINE INC (APPS)
US25400W1027 - Common Stock
We assign a fundamental rating of 3 out of 10 to APPS. APPS was compared to 276 industry peers in the Software industry. APPS may be in some trouble as it scores bad on both profitability and health. APPS is valued quite cheap, while showing a decent growth score. This is a good combination!
1. Profitability
1.1 Basic Checks
In the past year APPS was profitable.
APPS had a positive operating cash flow in the past year.
Of the past 5 years APPS 4 years were profitable.
Each year in the past 5 years APPS had a positive operating cash flow.
1.2 Ratios
The Return On Assets of APPS (-17.86%) is worse than 64.23% of its industry peers.
APPS's Return On Equity of -44.35% is on the low side compared to the rest of the industry. APPS is outperformed by 63.14% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -17.86% | ||
| ROE | -44.35% | ||
| ROIC | N/A |
ROA(3y)8.28%
ROA(5y)5.03%
ROE(3y)15.83%
ROE(5y)9.79%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
APPS's Profit Margin has declined in the last couple of years.
In the last couple of years the Operating Margin of APPS has declined.
APPS has a worse Gross Margin (44.70%) than 70.44% of its industry peers.
In the last couple of years the Gross Margin of APPS has grown nicely.
APPS does not have Profit Margin and Operating Margin available, so we won't be analyzing them here.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 44.7% |
OM growth 3Y-8.66%
OM growth 5YN/A
PM growth 3Y-36.98%
PM growth 5YN/A
GM growth 3Y7.49%
GM growth 5Y7.46%
2. Health
2.1 Basic Checks
APPS does not have a ROIC to compare to the WACC, probably because it is not profitable.
APPS has more shares outstanding than it did 1 year ago.
The number of shares outstanding for APPS has been increased compared to 5 years ago.
The debt/assets ratio for APPS has been reduced compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 0.17, we must say that APPS is in the distress zone and has some risk of bankruptcy.
APPS has a worse Altman-Z score (0.17) than 68.61% of its industry peers.
The Debt to FCF ratio of APPS is 11.12, which is on the high side as it means it would take APPS, 11.12 years of fcf income to pay off all of its debts.
APPS has a Debt to FCF ratio (11.12) which is in line with its industry peers.
APPS has a Debt/Equity ratio of 0.84. This is a neutral value indicating APPS is somewhat dependend on debt financing.
APPS has a Debt to Equity ratio of 0.84. This is in the lower half of the industry: APPS underperforms 70.44% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.84 | ||
| Debt/FCF | 11.12 | ||
| Altman-Z | 0.17 |
ROIC/WACCN/A
WACC7.01%
2.3 Liquidity
A Current Ratio of 1.07 indicates that APPS should not have too much problems paying its short term obligations.
With a Current ratio value of 1.07, APPS is not doing good in the industry: 74.82% of the companies in the same industry are doing better.
A Quick Ratio of 1.07 indicates that APPS should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.07, APPS is doing worse than 73.36% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.07 | ||
| Quick Ratio | 1.07 |
3. Growth
3.1 Past
The earnings per share for APPS have decreased strongly by -57.14% in the last year.
The Earnings Per Share has been growing by 79.15% on average over the past years. This is a very strong growth
The Revenue for APPS has decreased by -19.36% in the past year. This is quite bad
The Revenue has been growing by 54.85% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)-57.14%
EPS 3Y79.15%
EPS 5YN/A
EPS growth Q2Q-48.28%
Revenue 1Y (TTM)-19.36%
Revenue growth 3Y68.7%
Revenue growth 5Y54.85%
Revenue growth Q2Q-12.12%
3.2 Future
The Earnings Per Share is expected to decrease by -5.48% on average over the next years.
The Revenue is expected to grow by 2.24% on average over the next years.
EPS Next Y-55.43%
EPS Next 2Y-37.08%
EPS Next 3Y-22.25%
EPS Next 5Y-5.48%
Revenue Next Year-17.24%
Revenue Next 2Y-8.76%
Revenue Next 3Y-2.77%
Revenue Next 5Y2.24%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
APPS is valuated cheaply with a Price/Earnings ratio of 3.10.
APPS's Price/Earnings ratio is rather cheap when compared to the industry. APPS is cheaper than 97.81% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 25.20. APPS is valued rather cheaply when compared to this.
Based on the Price/Forward Earnings ratio of 4.08, the valuation of APPS can be described as very cheap.
APPS's Price/Forward Earnings ratio is rather cheap when compared to the industry. APPS is cheaper than 98.54% of the companies in the same industry.
APPS's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 21.63.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 3.1 | ||
| Fwd PE | 4.08 |
4.2 Price Multiples
94.53% of the companies in the same industry are more expensive than APPS, based on the Enterprise Value to EBITDA ratio.
97.45% of the companies in the same industry are more expensive than APPS, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.64 | ||
| EV/EBITDA | 9.13 |
4.3 Compensation for Growth
A cheap valuation may be justified as APPS's earnings are expected to decrease with -22.25% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-37.08%
EPS Next 3Y-22.25%
5. Dividend
5.1 Amount
APPS does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
DIGITAL TURBINE INC
NASDAQ:APPS (4/26/2024, 8:40:05 AM)
1.86
+0.04 (+2.2%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap189.76M
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
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EPS beat(16)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 3.1 | ||
| Fwd PE | 4.08 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -17.86% | ||
| ROE | -44.35% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 44.7% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.52
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.84 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.07 | ||
| Quick Ratio | 1.07 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)-57.14%
EPS 3Y79.15%
EPS 5Y
EPS growth Q2Q
EPS Next Y-55.43%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-19.36%
Revenue growth 3Y68.7%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y