Direct Digital (NASDAQ:DRCT) Releases Quarterly Earnings Results, Misses Expectations By $0.36 EPS

Direct Digital (NASDAQ:DRCTGet Free Report) issued its earnings results on Tuesday. The company reported ($0.08) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.28 by ($0.36), Zacks reports. Direct Digital had a return on equity of 48.38% and a net margin of 1.26%. The company had revenue of $41.01 million during the quarter, compared to analyst estimates of $66.02 million. During the same quarter in the previous year, the firm earned $0.01 earnings per share. Direct Digital updated its FY 2024 guidance to EPS.

Direct Digital Price Performance

Shares of DRCT opened at $16.04 on Thursday. The company has a debt-to-equity ratio of 3.51, a current ratio of 1.16 and a quick ratio of 1.16. The company has a market capitalization of $228.89 million, a price-to-earnings ratio of 114.57 and a beta of 8.14. The business’s 50-day moving average is $18.53 and its 200-day moving average is $11.00. Direct Digital has a fifty-two week low of $1.96 and a fifty-two week high of $35.88.

Analyst Ratings Changes

A number of equities analysts recently weighed in on the company. TheStreet cut Direct Digital from a “c” rating to a “d+” rating in a research note on Wednesday, February 14th. Noble Financial reissued a “market perform” rating on shares of Direct Digital in a research report on Wednesday. Roth Mkm reduced their price target on shares of Direct Digital from $27.50 to $19.00 and set a “buy” rating for the company in a research report on Wednesday. Finally, Benchmark lowered their price objective on shares of Direct Digital from $30.00 to $23.00 and set a “buy” rating on the stock in a research report on Wednesday. One analyst has rated the stock with a hold rating and three have issued a buy rating to the company’s stock. According to MarketBeat.com, the company has a consensus rating of “Moderate Buy” and an average price target of $15.83.

Check Out Our Latest Report on Direct Digital

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently added to or reduced their stakes in DRCT. Vanguard Group Inc. boosted its stake in shares of Direct Digital by 335.1% during the 3rd quarter. Vanguard Group Inc. now owns 123,024 shares of the company’s stock valued at $276,000 after buying an additional 94,748 shares during the period. Renaissance Technologies LLC raised its holdings in shares of Direct Digital by 162.7% during the first quarter. Renaissance Technologies LLC now owns 110,315 shares of the company’s stock worth $357,000 after acquiring an additional 68,315 shares in the last quarter. Two Sigma Investments LP boosted its position in Direct Digital by 146.5% during the third quarter. Two Sigma Investments LP now owns 28,760 shares of the company’s stock valued at $64,000 after purchasing an additional 17,095 shares during the last quarter. State Street Corp purchased a new position in Direct Digital in the third quarter valued at about $36,000. Finally, Geode Capital Management LLC increased its position in Direct Digital by 60.3% in the 1st quarter. Geode Capital Management LLC now owns 26,535 shares of the company’s stock worth $86,000 after purchasing an additional 9,980 shares during the last quarter. 4.02% of the stock is owned by hedge funds and other institutional investors.

Direct Digital Company Profile

(Get Free Report)

Direct Digital Holdings, Inc operates as an end-to-end full-service programmatic advertising platform. The company's platform primarily focuses on providing advertising technology, data-driven campaign optimization, and other solutions to underserved and less efficient markets on both the buy- and sell-side of the digital advertising ecosystem.

See Also

Earnings History for Direct Digital (NASDAQ:DRCT)

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