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Digital Turbine Inc. (NASDAQ:APPS), a software company specializing in mobile communications and advertising solutions with a market capitalization of $594 million, has reached a new 52-week high, with its stock price climbing to $5.73. This milestone reflects a significant turnaround for the company, which has seen its stock soar by an impressive 61.82% over the past year, with a remarkable 222% gain year-to-date. Investors have shown increased confidence in Digital Turbine’s strategic initiatives and market positioning, despite its significant debt burden. InvestingPro analysis indicates the stock is currently trading in overbought territory, with a beta of 2.38 suggesting higher volatility than the market. The 52-week high serves as a testament to the company’s resilience and potential for continued growth in the dynamic mobile technology sector. For deeper insights into Digital Turbine’s valuation and 13 additional ProTips, visit InvestingPro, where you’ll find comprehensive analysis and expert research reports.
In other recent news, Digital Turbine has announced better-than-expected third-quarter earnings and raised its full-year revenue guidance. The company reported third-quarter earnings per share of $0.13, significantly surpassing the analyst estimate of $0.01. Revenue for the quarter was $134.6 million, slightly above the consensus estimate of $134.46 million. These results reflect a 13% increase from the previous quarter, although they represent a 6% decline from the same quarter last year.
Digital Turbine also provided an optimistic outlook for fiscal year 2025, projecting revenue between $485-490 million, which is above the consensus estimate of $477 million. This forecast suggests strong year-over-year revenue growth for the March quarter, with substantial growth expected in EBITDA. The company’s CEO, Bill Stone, attributed the positive financial results to improved execution and the implementation of profit-optimization measures.
Despite these positive figures, Digital Turbine reported a GAAP net loss of $23.1 million, or ($0.22) per share for the third quarter. This is a greater loss compared to the $14.1 million, or ($0.14) per share, reported for the same period last year. However, non-GAAP adjusted net income was $13.7 million, or $0.13 per share, down slightly from $15.6 million, or $0.15 per share, year-over-year.
These recent developments indicate that investors have responded positively to the company’s updated guidance and earnings beat, reflecting confidence in Digital Turbine’s growth trajectory and strategic initiatives.
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