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DRCT (Direct Digital Holdings) Profitability Rank : 4 (As of Dec. 2024)


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What is Direct Digital Holdings Profitability Rank?

Direct Digital Holdings has the Profitability Rank of 4.

GuruFocus Profitability Rank ranks how profitable a company is and how likely the company's business will stay that way. It is rated on a scale of 1 to 10 and is based on these factors:

1. Operating Margin %
2. Piotroski F-Score
3. Trend of the Operating Margin % (5-year average). The company with an uptrend profit margin has a higher rank.
4. Consistency of the profitability
5. Predictability Rank

A higher score indicates superior profitability, with companies rated 7 or above considered to have more robust and sustainable profit generation. Conversely, a score of 3 or lower suggests challenges in generating consistent profits.

Direct Digital Holdings's Operating Margin % for the quarter that ended in Dec. 2024 was -51.79%. As of today, Direct Digital Holdings's Piotroski F-Score is 1.


Competitive Comparison of Direct Digital Holdings's Profitability Rank

For the Advertising Agencies subindustry, Direct Digital Holdings's Profitability Rank, along with its competitors' market caps and Profitability Rank 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's Profitability Rank Distribution in the Media - Diversified Industry

For the Media - Diversified industry and Communication Services sector, Direct Digital Holdings's Profitability Rank distribution charts can be found below:

* The bar in red indicates where Direct Digital Holdings's Profitability Rank falls into.


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Direct Digital Holdings Profitability Rank Calculation

GuruFocus Profitability Rank ranks how profitable a company is and how likely the company's business will stay that way.

The rank is rated on a scale of 1 to 10. A higher score indicates superior profitability, with companies rated 7 or above considered to have more robust and sustainable profit generation. Conversely, a score of 3 or lower suggests challenges in generating consistent profits.

Direct Digital Holdings has the Profitability Rank of 4.

Profitability Rank is not directly related to the Financial Strength. But if a company is consistently profitable, its financial strength will be stronger.

Profitability Rank is based on these factors:

1. Operating Margin %

Operating Margin % - also known as operating income margin, operating profit margin and return on sales (ROS) - is the ratio of Operating Income divided by net sales or Revenue, usually presented in percent.

Direct Digital Holdings's Operating Margin % for the quarter that ended in Dec. 2024 is calculated as:

Operating Margin %=Operating Income (Q: Dec. 2024 ) / Revenue (Q: Dec. 2024 )
=-4.704 / 9.083
=-51.79 %

* 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.

2. Piotroski F-Score

Warning Sign:

Piotroski F-Score of 1 is low, which usually implies poor business operation.

The zones of discrimination were as such:

Good or high score = 8 or 9
Bad or low score = 0 or 1

Direct Digital Holdings has an F-score of 1. It is a bad or low score, which usually implies poor business operation.

3. Trend of the Operating Margin % (5-year average). The company with an uptrend profit margin has a higher rank.

4. Consistency of the profitability

5. Predictability Rank


Direct Digital Holdings Profitability Rank Related Terms

Thank you for viewing the detailed overview of Direct Digital Holdings's Profitability Rank provided by GuruFocus.com. Please click on the following links to see related term pages.


Direct Digital Holdings Business Description

Traded in Other Exchanges
N/A
Address
1177 West Loop South, Suite 1310, Houston, TX, USA, 77027
Direct Digital Holdings Inc is an end-to-end, full-service programmatic advertising platform primarily 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.
Executives
Mark D Walker director, 10 percent owner, officer: Chairman and CEO C/O DIRECT DIGITAL HOLDINGS, INC., 1233 WEST LOOP SUITE 1170, HOUSTON TX 77027
W Keith Smith director, 10 percent owner, officer: President
Mistelle Locke director C/O DIRECT DIGITAL HOLDINGS, INC., 1177 WEST LOOP SOUTH, SUITE 1310, HOUSTON TX 77027
Richard Cohen director C/O DUNE ENERGY, INC., TWO SHELL PLAZA, 777 WALKER STREET, SUITE 2300, HOUSTON TX 77002
Antoinette Renee Leatherberry director C/O ZOETIS INC., 10 SYLVAN WAY, PARSIPPANY NJ 07054
Diana P Diaz officer: Interim CFO 9220 KIRBY DRIVE SUITE 500, HOUSTON TX 77054
Maria Vilchez Lowrey officer: Chief Growth Officer C/O DIRECT DIGITAL HOLDINGS, INC., 1177 WEST LOOP SOUTH STE 1310, HOUSTON TX 77027
Timothy Grittani 10 percent owner PO BOX 20551, COLUMBUS OH 43220
Susan Echard officer: Chief Financial Officer C/O TRINITY CAPITAL INC., 3075 WEST RAY ROAD, SUITE 525, CHANDLER AZ 85226
Anu Pillai officer: Chief Technology Officer C/O DIRECT DIGITAL HOLDINGS, INC., 1233 WEST LOOP SUITE 1170, HOUSTON TX 77027
Direct Digital Management, Llc 10 percent owner 1233 WEST LOOP S., SUITE 1170, HOUSTON TX 77027