Digital Turbine, Inc. (APPS)
NASDAQInformation TechnologySoftware - ApplicationSnapshot 2026-09-04
$10.71-1.56%
Close 2026-09-04 · 1-day change
NASDAQInformation TechnologySoftware - ApplicationSnapshot 2026-09-04
Warn: Primary pillar under pressure — Adjusted EBITDA of $135M-$145M in FY 2027: FY27 EBITDA guided $145M-$155M vs $140M target.
Digital Turbine aims to grow revenue to about $640 million in fiscal 2027. Profit should improve with adjusted EBITDA near $140 million. Operating income rose to $10.5 million in 2026-Q4, showing cost control progress. New AI partnerships support growth plans.
The company is still loss-making with variable profits. Recent sharp stock selloff shows investor doubts. Rating downgrades and debt concerns pose risks to growth. Meeting ambitious revenue and profit targets is uncertain.
The price is about 20% below our fair value near $13. Analysts expect roughly 15% revenue growth, which aligns with management guidance. The market reflects cautious optimism but also elevated risk.
Breaks if: Adjusted EBITDA falls below $135M in FY 2027
Breaks if: Operating income falls below $0 in 2026-Q4
Breaks if: Revenue falls below $630M in FY 2027
This is not a price target or investment advice.
A long-form read on the 1–3 year hold thesis. It updates when the weekly evidence changes.
This investment represents a turnaround story with a focus on improving fundamentals. The company is currently loss-making but has shown strong recent financial performance, which supports a multi-year view.
The market seems to have priced in a level of fragility, but the valuation is considered cheap compared to peers. There is an expectations gap indicating that the market may not fully recognize the potential for revenue and EBITDA growth.
Management is on track to increase revenue and achieve adjusted EBITDA targets for FY 2027. However, there is an elevated risk due to the potential for guidance cuts and recent misses in the industry.
The thesis hinges on the company's ability to maintain its growth trajectory and manage risks effectively. Key factors include the Fed's interest rate decisions and performance from sector leaders like SAP and CRM.
The most important moves since the prior daily snapshot.
Valuation fell by 16.5 points (from 72.1 to 55.6).
Yes, our read has strengthened. The latest earnings beat supports this improved outlook. There are no new threats identified that could weaken the thesis.
as of 2026-09-04
Review the evidence to watch, what would become a concern, and what would make it less concerning.
Not investment advice. Scores describe historical and current data; they are not forecasts of future returns. Consult a licensed advisor before making investment decisions.
Digital Turbine aims to achieve revenue between $630 million and $650 million for fiscal year 2027.
Over the next 1-3 years, APPS will need to execute on its growth priorities while navigating external risks. Not investment advice.