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Goodwill to Asset ratio measures how much goodwill a company is recording compared to the total level of its assets. Direct Digital Holdings's Goodwill for the quarter that ended in Mar. 2026 was $6.52 Mil. Direct Digital Holdings's Total Assets for the quarter that ended in Mar. 2026 was $19.26 Mil.
Therefore, Direct Digital Holdings's Goodwill to Asset Ratio for the quarter that ended in Mar. 2026 was 0.34.
Direct Digital Holdings (NAS:DRCT) Goodwill-to-Asset Explanation
If the goodwill-to-asset ratio increases, it can mean that the company is recording a proportionately higher amount of goodwill, assuming total assets are remaining constant. It is generally good to see a company increasing its assets regularly; however, if these increases are coming from intangible assets, such as goodwill, the increases may not be as good.
Increases in the goodwill-to-asset ratio might suggest that a company has been aggressively acquiring other firms or has seen its tangible assets decrease in value. When a large portion of total assets are attributable to intangible assets (such as goodwill), the company may be at risk of having that portion of its asset base wiped out quickly if it must record any goodwill impairments. Decreases in the goodwill-to-assets ratio suggest that the company has either written down some goodwill or increased its tangible assets.
Asset needs vary from industry to industry. This is why comparing goodwill-to-assets ratios is generally most meaningful among companies within the same industry. By comparing a company's goodwill to assets ratio to those of other companies within the same industry, investors can get a feel for how a company is managing its goodwill.
Direct Digital Holdings Goodwill-to-Asset Related Terms
Direct Digital Holdings Goodwill-to-Asset Historical Data
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The historical data trend for Direct Digital Holdings's Goodwill-to-Asset 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.
DRCT vs BAOS, TGNT, HAO: Goodwill-to-Asset Comparison
For the Advertising Agencies subindustry, Direct Digital Holdings's Goodwill-to-Asset, along with its competitors' market caps and Goodwill-to-Asset 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.
Direct Digital Holdings Goodwill-to-Asset vs Media - Diversified Industry
For the Media - Diversified industry and Communication Services sector, Direct Digital Holdings's Goodwill-to-Asset distribution charts can be found below:
* The bar in red indicates where Direct Digital Holdings's Goodwill-to-Asset 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.
Direct Digital Holdings (DRCT) has a Goodwill-to-Asset of 0.34 as of Mar. 2026. Goodwill-to-Asset Ratio is the total goodwill from acquisitions divided by total assets. View historical data on Direct Digital Holdings and its competitors.
Is Direct Digital Holdings' Goodwill-to-Asset too high?
Direct Digital Holdings' current Goodwill-to-Asset is 0.34. Overall, Direct Digital Holdings has a GF Score™ of 46/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Direct Digital Holdings' Goodwill-to-Asset compare to BAOS and TGNT?
Direct Digital Holdings' Goodwill-to-Asset of 0.34 can be compared against companies in the Media - Diversified industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Goodwill-to-Asset for a Media - Diversified company?
A good Goodwill-to-Asset depends on the Media - Diversified industry context. However, Goodwill-to-Asset should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Goodwill-to-Asset mean?
A high Goodwill-to-Asset can signal that a stock is expensive relative to its fundamentals. Goodwill-to-Asset Ratio is the total goodwill from acquisitions divided by total assets. View historical data on Direct Digital Holdings and its competitors. Direct Digital Holdings's current Goodwill-to-Asset is 0.34. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Direct Digital Holdings stock overvalued right now?
Based on GuruFocus' analysis, Direct Digital Holdings (DRCT) is currently considered Possible Value Trap. The stock's GF Value™ is $19.36, compared to a current price of $2.55 — trading 86.8% below its estimated fair value. The current Goodwill-to-Asset is 0.34. Direct Digital Holdings' overall GF Score™ is 46/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Goodwill-to-Asset calculated?
Goodwill-to-Asset is calculated from a company's financial statements. For Direct Digital Holdings (DRCT), the current Goodwill-to-Asset is 0.34 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 Direct Digital Holdings (DRCT) Overvalued in 2026?
Based on GuruFocus' analysis, Direct Digital Holdings stock appears to be undervalued.
The current stock price of $2.55 is trading 86.8% below its estimated GF Value™ of $19.36.
GuruFocus considers Direct Digital Holdings to be Possible Value Trap.
Key valuation signals for DRCT:
Goodwill-to-Asset: 0.34
GF Value™: $19.36 vs. price of $2.55 (86.8% below fair value)
No single metric tells the full story. See the DRCT stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Direct Digital Holdings Inc is an end-to-end, full-service programmatic advertising platform focused on providing advertising technology, data-driven campaign optimization, and other solutions to underserved and less efficient markets on both the buy-side and sell-side of the digital advertising ecosystem. The company operates two reportable segments: sell-side advertising, which includes the results of Colossus Media, and buy-side advertising, which includes the results of Orange 142 and Huddled Masses. All of the company's revenues are attributed to the United States.
46GF Score
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