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DIRECT DIGITAL HOLDINGS IN-A (DRCT) Stock Fundamental Analysis

NASDAQ:DRCT - Nasdaq - US25461T1051 - Common Stock - Currency: USD

0.6076  +0.05 (+8.46%)

After market: 0.62 +0.01 (+2.04%)

Fundamental Rating

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Overall DRCT gets a fundamental rating of 1 out of 10. We evaluated DRCT against 97 industry peers in the Media industry. DRCT may be in some trouble as it scores bad on both profitability and health. While showing a medium growth rate, DRCT is valued expensive at the moment.


Dividend Valuation Growth Profitability Health

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1. Profitability

1.1 Basic Checks

In the past year DRCT has reported negative net income.
In the past year DRCT has reported a negative cash flow from operations.
DRCT had negative earnings in 4 of the past 5 years.
The reported operating cash flow has been mixed in the past 5 years: DRCT reported negative operating cash flow in multiple years.
DRCT Yearly Net Income VS EBIT VS OCF VS FCFDRCT Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2020 2021 2022 2023 2024 0 5M -5M -10M

1.2 Ratios

DRCT's Return On Assets of -32.82% is on the low side compared to the rest of the industry. DRCT is outperformed by 85.57% of its industry peers.
Industry RankSector Rank
ROA -32.82%
ROE N/A
ROIC N/A
ROA(3y)-6.66%
ROA(5y)-5.43%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
DRCT Yearly ROA, ROE, ROICDRCT Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2020 2021 2022 2023 2024 0 200 -200 400 -400

1.3 Margins

DRCT's Gross Margin of 30.69% is on the low side compared to the rest of the industry. DRCT is outperformed by 61.86% of its industry peers.
In the last couple of years the Gross Margin of DRCT has declined.
The Profit Margin and Operating Margin are not available for DRCT so they could not be analyzed.
Industry RankSector Rank
OM N/A
PM (TTM) N/A
GM 30.69%
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-16.71%
GM growth 5YN/A
DRCT Yearly Profit, Operating, Gross MarginsDRCT Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2020 2021 2022 2023 2024 0 20 -20 40

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2. Health

2.1 Basic Checks

DRCT does not have a ROIC to compare to the WACC, probably because it is not profitable.
The number of shares outstanding for DRCT has been increased compared to 1 year ago.
The debt/assets ratio for DRCT is higher compared to a year ago.
DRCT Yearly Shares OutstandingDRCT Yearly Shares OutstandingYearly Shares Outstanding 2020 2021 2022 2023 2024 5M 10M 15M
DRCT Yearly Total Debt VS Total AssetsDRCT Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2020 2021 2022 2023 2024 20M 40M 60M

2.2 Solvency

DRCT has an Altman-Z score of -0.73. This is a bad value and indicates that DRCT is not financially healthy and even has some risk of bankruptcy.
DRCT's Altman-Z score of -0.73 is on the low side compared to the rest of the industry. DRCT is outperformed by 74.23% of its industry peers.
Industry RankSector Rank
Debt/Equity N/A
Debt/FCF N/A
Altman-Z -0.73
ROIC/WACCN/A
WACC11.66%
DRCT Yearly LT Debt VS Equity VS FCFDRCT Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2020 2021 2022 2023 2024 0 10M 20M 30M

2.3 Liquidity

DRCT has a Current Ratio of 0.51. This is a bad value and indicates that DRCT is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Current ratio value of 0.51, DRCT is not doing good in the industry: 86.60% of the companies in the same industry are doing better.
DRCT has a Quick Ratio of 0.51. This is a bad value and indicates that DRCT is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.51, DRCT is doing worse than 84.54% of the companies in the same industry.
Industry RankSector Rank
Current Ratio 0.51
Quick Ratio 0.51
DRCT Yearly Current Assets VS Current LiabilitesDRCT Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2020 2021 2022 2023 2024 10M 20M 30M 40M

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3. Growth

3.1 Past

DRCT shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -2903.74%.
DRCT shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -69.54%.
Measured over the past years, DRCT shows a quite strong growth in Revenue. The Revenue has been growing by 17.76% on average per year.
EPS 1Y (TTM)-2903.74%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-59.09%
Revenue 1Y (TTM)-69.54%
Revenue growth 3Y17.76%
Revenue growth 5YN/A
Sales Q2Q%-63.38%

3.2 Future

DRCT is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 40.03% yearly.
Based on estimates for the next years, DRCT will show a very strong growth in Revenue. The Revenue will grow by 31.70% on average per year.
EPS Next Y77.43%
EPS Next 2Y40.03%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year37.32%
Revenue Next 2Y31.7%
Revenue Next 3YN/A
Revenue Next 5YN/A

3.3 Evolution

The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
DRCT Yearly Revenue VS EstimatesDRCT Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2020 2021 2022 2023 2024 2025 2026 50M 100M 150M
DRCT Yearly EPS VS EstimatesDRCT Yearly EPS VS EstimatesYearly EPS VS Estimates 2021 2022 2023 2024 2025 2026 0 -1 -2

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4. Valuation

4.1 Price/Earnings Ratio

The Price/Earnings Ratio is negative for DRCT. In the last year negative earnings were reported.
Besides the negative Price/Earnings Ratio, also the Forward Price/Earnings Ratio is negative for DRCT. No positive earnings are expected for the next year.
Industry RankSector Rank
PE N/A
Fwd PE N/A
DRCT Price Earnings VS Forward Price EarningsDRCT Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 0 10 20 30 40 50

4.2 Price Multiples

Industry RankSector Rank
P/FCF N/A
EV/EBITDA N/A
DRCT Per share dataDRCT EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 1 -1 2 -2

4.3 Compensation for Growth

A more expensive valuation may be justified as DRCT's earnings are expected to grow with 40.03% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y40.03%
EPS Next 3YN/A

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5. Dividend

5.1 Amount

DRCT does not give a dividend.
Industry RankSector Rank
Dividend Yield N/A

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DIRECT DIGITAL HOLDINGS IN-A

NASDAQ:DRCT (7/2/2025, 8:00:00 PM)

After market: 0.62 +0.01 (+2.04%)

0.6076

+0.05 (+8.46%)

Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryMedia
Earnings (Last)05-06 2025-05-06/amc
Earnings (Next)10-13 2025-10-13
Inst Owners3.73%
Inst Owner Change6.71%
Ins Owners4.33%
Ins Owner Change22.68%
Market Cap11.49M
Analysts80
Price Target6.12 (907.24%)
Short Float %2.07%
Short Ratio0.12
Dividend
Industry RankSector Rank
Dividend Yield N/A
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-3381.62%
Min EPS beat(2)-6762.75%
Max EPS beat(2)-0.49%
EPS beat(4)0
Avg EPS beat(4)-2153.34%
Min EPS beat(4)-6762.75%
Max EPS beat(4)-0.49%
EPS beat(8)1
Avg EPS beat(8)-1058.56%
EPS beat(12)3
Avg EPS beat(12)-697.42%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-25.21%
Min Revenue beat(2)-35.54%
Max Revenue beat(2)-14.88%
Revenue beat(4)0
Avg Revenue beat(4)-45.93%
Min Revenue beat(4)-85.1%
Max Revenue beat(4)-14.88%
Revenue beat(8)2
Avg Revenue beat(8)-17.61%
Revenue beat(12)6
Avg Revenue beat(12)-2.67%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)-25%
PT rev (3m)14.29%
EPS NQ rev (1m)0%
EPS NQ rev (3m)80%
EPS NY rev (1m)-462.86%
EPS NY rev (3m)-188.64%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-7.74%
Revenue NY rev (1m)-1.5%
Revenue NY rev (3m)2.36%
Valuation
Industry RankSector Rank
PE N/A
Fwd PE N/A
P/S 0.24
P/FCF N/A
P/OCF N/A
P/B N/A
P/tB N/A
EV/EBITDA N/A
EPS(TTM)-3
EYN/A
EPS(NY)-0.11
Fwd EYN/A
FCF(TTM)-0.3
FCFYN/A
OCF(TTM)-0.3
OCFYN/A
SpS2.55
BVpS-0.39
TBVpS-1.22
PEG (NY)N/A
PEG (5Y)N/A
Profitability
Industry RankSector Rank
ROA -32.82%
ROE N/A
ROCE N/A
ROIC N/A
ROICexc N/A
ROICexgc N/A
OM N/A
PM (TTM) N/A
GM 30.69%
FCFM N/A
ROA(3y)-6.66%
ROA(5y)-5.43%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-16.71%
GM growth 5YN/A
F-Score2
Asset Turnover2.02
Health
Industry RankSector Rank
Debt/Equity N/A
Debt/FCF N/A
Debt/EBITDA N/A
Cap/Depr 1.32%
Cap/Sales 0.07%
Interest Coverage N/A
Cash Conversion N/A
Profit Quality N/A
Current Ratio 0.51
Quick Ratio 0.51
Altman-Z -0.73
F-Score2
WACC11.66%
ROIC/WACCN/A
Cap/Depr(3y)14.3%
Cap/Depr(5y)N/A
Cap/Sales(3y)0.3%
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-2903.74%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-59.09%
EPS Next Y77.43%
EPS Next 2Y40.03%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-69.54%
Revenue growth 3Y17.76%
Revenue growth 5YN/A
Sales Q2Q%-63.38%
Revenue Next Year37.32%
Revenue Next 2Y31.7%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-195.38%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year103.2%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-205.26%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-192.05%
OCF growth 3YN/A
OCF growth 5YN/A