General Background and Product Offerings Digi International Inc. ("Digi®," "we," "our," or "us") was incorporated in 1985 as a Minnesota corporation. We reorganized as a Delaware corporation in 1989 in conjunction with our initial public offering. Our common stock trades on the Nasdaq Global Select Market tier of the Nasdaq Stock Market LLC (the "Nasdaq") under the symbol DGII. Our World Headquarters is located at 9350 Excelsior Blvd., Suite 700, Hopkins, Minnesota 55343. The telephone number at our World Headquarters is (952) 912-3444. We are a leading global provider of business and mission-critical Internet of Things ("IoT") connectivity products, services and solutions. We help our customers deploy, monitor and manage critical communications infrastructures that deliver important information in demanding environments with high levels of security and reliability.
| Metric | TTM | FY2025 | FY2024 | FY2023 | FY2022 | FY2021 |
|---|---|---|---|---|---|---|
| Revenue | 449M | 430M | 424M | 445M | 388M | 309M |
| Net Income | 42M | 41M | 23M | 25M | 19M | 10M |
| EPS | $0.97 | $1.08 | $0.61 | $0.67 | $0.54 | $0.31 |
| Free Cash Flow | 111M | 105M | 81M | 32M | 36M | 55M |
| ROIC | 6.3% | 6.3% | 6.9% | 7.1% | 5.9% | 2.2% |
| Gross Margin | 63.0% | 62.9% | 58.9% | 56.7% | 55.7% | 54.0% |
| Debt/Equity | 0.21 | 0.25 | 0.21 | 0.38 | 0.47 | 0.55 |
| Dividends/Share | $0.00 | - | - | - | - | - |
| Operating Income | 59M | 56M | 48M | 50M | 38M | 11M |
| Operating Margin | 13.2% | 13.1% | 11.3% | 11.3% | 9.8% | 3.4% |
| ROE | 6.5% | 6.7% | 4.0% | 4.8% | 4.0% | 2.5% |
| Shares Outstanding | 44M | 38M | 37M | 37M | 36M | 33M |
DIGI INTERNATIONAL INC passes 5 of 9 quality checks, suggesting mixed fundamentals.
DIGI INTERNATIONAL INC trades at 49.2x trailing earnings, compared to its 15-year median P/E of 41.3x, suggesting it is currently Fair relative to its historical range. On a free-cash-flow basis, the stock trades at 18.6x vs a median of 13.5x. The company's 5-year average ROIC is 5.7% with a gross margin of 57.7%. Total shareholder yield (buybacks) is 0.4%. At current prices, the estimated annualized return to fair value is +24.4%.
DIGI INTERNATIONAL INC (DGII) has a current P/E ratio of 49.2, compared to its historical median P/E of 41.3. The stock is currently considered Fair based on its historical valuation range.
DIGI INTERNATIONAL INC (DGII) has a 5-year average return on invested capital (ROIC) of 5.7%. This is below average and may indicate limited pricing power.
DIGI INTERNATIONAL INC (DGII) has a market capitalization of $2.4B. It is classified as a mid-cap stock.
DIGI INTERNATIONAL INC (DGII) does not currently pay a regular dividend. However, the company returns capital to shareholders through share buybacks, with a buyback yield of 0.37%.
Based on historical P/E analysis, DIGI INTERNATIONAL INC (DGII) appears fair. The current P/E of 49.2 is 19% above its historical median of 41.3. The estimated fair value CAGR (P/E method) is 27.4%.
DIGI INTERNATIONAL INC (DGII) operates in the Computer Communications Equipment industry, within the Technology sector.
DIGI INTERNATIONAL INC (DGII) reported annual revenue of $430 million in its most recent fiscal year, based on SEC EDGAR filings.
DIGI INTERNATIONAL INC (DGII) has a net profit margin of 9.5%. This is a modest margin.
DIGI INTERNATIONAL INC (DGII) generated $105 million in free cash flow in its most recent fiscal year. Positive free cash flow supports dividends, buybacks, and debt reduction.
DIGI INTERNATIONAL INC (DGII) has a debt-to-equity ratio of 0.25. This indicates a conservatively financed balance sheet.
DIGI INTERNATIONAL INC (DGII) reported earnings per share (EPS) of $1.08 in its most recent fiscal year.
DIGI INTERNATIONAL INC (DGII) has a return on equity (ROE) of 6.7%. This indicates moderate shareholder returns.
DIGI INTERNATIONAL INC (DGII) has a 5-year average gross margin of 57.7%. This high margin suggests strong pricing power and a potential competitive moat.
The Ledger Terminal provides 17 years of financial data for DIGI INTERNATIONAL INC (DGII), sourced directly from SEC EDGAR filings. This includes income statements, balance sheets, cash flow statements, and key financial ratios.
DIGI INTERNATIONAL INC (DGII) has a book value per share of $16.84, based on its most recent annual SEC filing.