Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.
Digi InternationalDGII -5.82%78 Debt-to-EBITDA is 1.36 as of Mar. 2026, which is 43% below its 10-year median of 2.38. GuruFocus rates DGII with a GF Score™ of 78/100 and a GF Value™ of $35.21 (Significantly Overvalued). The stock has 7 warning signs investors should review. Among 1,793 Hardware companies, Digi International ranks better than 53.65% on this metric.
Debt-to-EBITDA measures a company's ability to pay off its debt.
A high Debt-to-EBITDA ratio generally means that a company may spend more time to paying off its debt. According to Joel Tillinghast's BIG MONEY THINKS SMALL: Biases, Blind Spots, and Smarter Investing, a ratio of Debt-to-EBITDA exceeding four is usually considered scary unless tangible assets cover the debt.
The historical rank and industry rank for Digi International's Debt-to-EBITDA or its related term are showing as below:
DGII'
s Debt-to-EBITDA Range Over the Past 10 Years
Min: 1.51 Med: 2.38 Max: 3.4
Current: 1.51
During the past 13 years, the highest Debt-to-EBITDA Ratio of Digi International was 3.40. The lowest was 1.51. And the median was 2.38.
DGII's Debt-to-EBITDA is ranked better than 53.65% of 1793
companies
in the Hardware industry
Industry Median: 1.72
vs DGII: 1.51
Digi International (NAS:DGII) Debt-to-EBITDA Explanation
A high Debt-to-EBITDA ratio generally means that a company may spend more time to paying off its debt.
According to Joel Tillinghast's BIG MONEY THINKS SMALL: Biases, Blind Spots, and Smarter Investing, a ratio of Debt-to-EBITDA exceeding four is usually considered scary unless tangible assets cover the debt.
Digi International Debt-to-EBITDA Related Terms
Digi International Debt-to-EBITDA Historical Data
* Premium members only.
The historical data trend for Digi International's Debt-to-EBITDA can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
DGII vs VISN, HLIT, ONDS: Debt-to-EBITDA Comparison
For the Communication Equipment subindustry, Digi International's Debt-to-EBITDA, along with its competitors' market caps and Debt-to-EBITDA data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Digi International Debt-to-EBITDA vs Hardware Industry
For the Hardware industry and Technology sector, Digi International's Debt-to-EBITDA distribution charts can be found below:
* The bar in red indicates where Digi International's Debt-to-EBITDA falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
In the calculation of annual Debt-to-EBITDA, the EBITDA of the last fiscal year is used. In calculating the annualized quarterly data,
the EBITDA data used here is four times the quarterly (Mar. 2026) EBITDA data.
Digi International (DGII) has a Debt-to-EBITDA of 1.36 as of Mar. 2026. Debt-to-EBITDA ratio represents the ratio of total debt to total earnings before interest, taxes, depreciation and amortization. View historical data on Digi International. This is 43% below median its historical median of 2.38. Over the past decade, Digi International's Debt-to-EBITDA has ranged from 1.51 to 3.40. According to the industry distribution chart, Digi International ranks #831 out of 1793 companies in the Hardware industry, placing it in the top 46.3%.
Is Digi International's Debt-to-EBITDA too high?
Digi International's current Debt-to-EBITDA of 1.36 is 43% below median its 10-year median of 2.38. Over the past 10 years, this metric has ranged from a low of 1.51 to a high of 3.40. The Hardware industry median Debt-to-EBITDA is 1.72. Digi International's value of 1.36 is 20.9% below this industry median. Based on the distribution chart, Digi International ranks #831 out of 1793 companies in the Hardware industry, which is above the industry midpoint. Overall, Digi International has a GF Score™ of 78/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Digi International's Debt-to-EBITDA compare to VISN and HLIT?
According to the Hardware industry distribution chart, Digi International ranks #831 out of 1793 companies for Debt-to-EBITDA. This puts Digi International in the upper half of its industry. The industry median Debt-to-EBITDA is 1.72. Digi International's value of 1.36 is 20.9% below this benchmark. Historically, Digi International's own Debt-to-EBITDA has ranged from 1.51 to 3.40 over the past decade. While the company's 10-year median is 2.38 vs. the industry median of 1.72, Digi International has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Debt-to-EBITDA for a Hardware company?
The median Debt-to-EBITDA among Hardware companies is 1.72, based on 1,793 companies in the industry. Companies in the top quartile (top 25%) have a Debt-to-EBITDA significantly above this median, while those in the bottom quartile fall well below. However, Debt-to-EBITDA should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Digi International's current Debt-to-EBITDA of 1.36 is 20.9% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Debt-to-EBITDA mean?
A high Debt-to-EBITDA can signal that a stock is expensive relative to its fundamentals. Debt-to-EBITDA ratio represents the ratio of total debt to total earnings before interest, taxes, depreciation and amortization. View historical data on Digi International. For the Hardware industry, the median Debt-to-EBITDA is 1.72 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Digi International's current Debt-to-EBITDA is 1.36, which is 43% below median its own 10-year median of 2.38. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Digi International stock overvalued right now?
Based on GuruFocus' analysis, Digi International (DGII) is currently considered Significantly Overvalued. The stock's GF Value™ is $35.21, compared to a current price of $63.65 — trading 80.8% above its estimated fair value. The current Debt-to-EBITDA is 1.36, which is 43% below median its 10-year median of 2.38 and 20.9% below the Hardware industry median of 1.72. Digi International's overall GF Score™ is 78/100 with 7 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Debt-to-EBITDA calculated?
Debt-to-EBITDA is calculated from a company's financial statements. For Digi International (DGII), the current Debt-to-EBITDA is 1.36 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Digi International (DGII) Overvalued in 2026?
Based on GuruFocus' analysis, Digi International stock appears to be overvalued.
The current stock price of $63.65 is trading 80.8% above its estimated GF Value™ of $35.21.
GuruFocus considers Digi International to be Significantly Overvalued.
Key valuation signals for DGII:
Debt-to-EBITDA: 1.36 (43% below median its 10-year median of 2.38)
GF Value™: $35.21 vs. price of $63.65 (80.8% above fair value)
Industry Position: 20.9% below the Hardware median (#831 of 1793)
No single metric tells the full story. See the DGII stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Digi International Inc is a Minnesota corporation that provides business and mission-critical Internet of Things (IoT) connectivity products and services. It operates through two segments: IoT Products & Services, which supports OEMs, enterprise, and government customers in deploying secure IoT connectivity solutions, and IoT Solutions, consisting of SmartSense and its Managed Network-as-a-Service (MNaaS) business offering wireless temperature and condition-based monitoring, employee task management, label printing, and other services. The company generates the majority of its revenue from the IoT Products & Services segment and mainly from the United States, with a presence in Europe, the Middle East and Africa, and the Rest of the world.
78GF Score
Get the complete analysis for DGII
Debt-to-EBITDA is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
DGII has been successfully added to your 
