Digital Turbine Inc. Common Stock (APPS)

FairStock Score: 50/100 — MIXED

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

As a Buffett/Graham investor, I want proven earning power, a sound balance sheet, and a margin of safety. Digital Turbine operates a mobile growth platform, placing apps and ads through wireless carriers and device makers. I see no clear durable competitive advantage in these numbers; carrier and OEM relationships may help distribution, but they have not yet produced consistent profits. The top line is moving: in fiscal Q1 2026, the quarter ended 2026-06-30, revenue was $166.0M, up from $130.9M in fiscal Q1 2025, quarter ended 2025-06-30. But net income remained negative at -$11.3M, or diluted EPS -$0.09, versus -$14.1M and -$0.13 a year earlier. In FY2025, year ended 2026-03-31, revenue was $565.3M, net income -$37.7M, diluted EPS -$0.33; that is an improvement from FY2024 net income -$92.1M and FY2023 -$420.2M, but still a loss. FairStock calculations at the 2026-10-13 close show P/E -35.72, P/B 6.60, ROE -20.39%, ROCE 4.69%, and D/E 1.87. Altman Z-Score is 0.31, Piotroski 5/9, and EV/EBITDA 14.06. Trailing free cash flow is $21.2M, a 1.7% yield, so the business is not generating much cash relative to its $1.3B market cap. Lynch category is TURNAROUND—loss in latest year after earlier profits—and the 50/100 FairStock score fits that. Until earnings and debt improve materially, the price looks speculative rather than cheap.

In plain English: Digital Turbine helps app makers, phone carriers, and device makers deliver mobile apps and ads to users. Sales are growing, but the company still loses money and carries a lot of debt. At the recent price, the stock looks expensive compared with current profits and cash flow.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q1 2026 10-Q (period ended 2026-06-30) · fiscal Q3 2025 10-Q (period ended 2025-12-31) · fiscal Q2 2025 10-Q (period ended 2025-09-30) · fiscal Q1 2025 10-Q (period ended 2025-06-30) · FY2025 10-K (period ended 2026-03-31) · FY2024 10-K (period ended 2025-03-31) · FY2023 10-K (period ended 2024-03-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer