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

Direct Digital (NASDAQ:DRCTGet Free Report) posted its quarterly earnings data on Tuesday. The company reported ($0.08) earnings per share for the quarter, missing the consensus estimate 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 firm had revenue of $41.01 million for the quarter, compared to the consensus estimate of $66.02 million. During the same quarter in the previous year, the business earned $0.01 EPS. Direct Digital updated its FY 2024 guidance to EPS.

Direct Digital Stock Down 39.5 %

NASDAQ: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 PE ratio of 114.57 and a beta of 8.14. The firm’s 50-day moving average price is $18.53 and its 200-day moving average price is $11.00. Direct Digital has a 1-year low of $1.96 and a 1-year high of $35.88.

Analysts Set New Price Targets

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

Read Our Latest Analysis on Direct Digital

Hedge Funds Weigh In On Direct Digital

Hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Renaissance Technologies LLC bought a new stake in shares of Direct Digital in the third quarter worth $30,000. UBS Group AG purchased a new position in shares of Direct Digital in the first quarter worth $31,000. State Street Corp purchased a new position in shares of Direct Digital during the third quarter valued at about $36,000. Geode Capital Management LLC raised its holdings in shares of Direct Digital by 31.5% during the 4th quarter. Geode Capital Management LLC now owns 16,555 shares of the company’s stock worth $40,000 after acquiring an additional 3,966 shares in the last quarter. Finally, Two Sigma Investments LP lifted its holdings in shares of Direct Digital by 146.5% in the 3rd quarter. Two Sigma Investments LP now owns 28,760 shares of the company’s stock valued at $64,000 after acquiring an additional 17,095 shares during the last quarter. 4.02% of the stock is owned by 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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