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Digital Turbine (NAS:APPS) Financial Strength

: 5 (As of Dec. 2022)
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Digital Turbine has the Financial Strength Rank of 5.

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is based on these factors:

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.
2. Debt to revenue ratio. The lower, the better.
3. Altman Z-Score.

Digital Turbine's Interest Coverage for the quarter that ended in Dec. 2022 was 1.42. Digital Turbine's debt to revenue ratio for the quarter that ended in Dec. 2022 was 0.65. As of today, Digital Turbine's Altman Z-Score is 1.51.


Competitive Comparison

For the Software - Application subindustry, Digital Turbine's Financial Strength, along with its competitors' market caps and Financial Strength 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.

   

Digital Turbine Financial Strength Distribution

For the Software industry and Technology sector, Digital Turbine's Financial Strength distribution charts can be found below:

* The bar in red indicates where Digital Turbine's Financial Strength falls in comparison to its industry or sector. The grey bar indicates the Financial Strength's extreme value range as defined by GuruFocus.



Digital Turbine Financial Strength Calculation

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is based on these factors

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:

Digital Turbine's Interest Expense for the months ended in Dec. 2022 was $-6.9 Mil. Its Operating Income for the months ended in Dec. 2022 was $9.8 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2022 was $422.3 Mil.

Digital Turbine's Interest Coverage for the quarter that ended in Dec. 2022 is

Interest Coverage=-1*Operating Income (Q: Dec. 2022 )/Interest Expense (Q: Dec. 2022 )
=-1*9.797/-6.913
=1.42

The higher the ratio, the stronger the company's financial strength is.

2. Debt to revenue ratio. The lower, the better.

Digital Turbine's Debt to Revenue Ratio for the quarter that ended in Dec. 2022 is

Debt to Revenue Ratio=Total Debt (Q: Dec. 2022 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(0 + 422.31) / 649.24
=0.65

3. Altman Z-Score.

Z-Score model is an accurate forecaster of failure up to two years prior to distress. It can be considered the assessment of the distress of industrial corporations.

The zones of discrimination were as such:

When Z-Score is less than 1.81, it is in Distress Zones.
When Z-Score is greater than 2.99, it is in Safe Zones.
When Z-Score is between 1.81 and 2.99, it is in Grey Zones.

Digital Turbine has a Z-score of 1.51, indicating it is in Distress Zones. This implies bankrupcy possibility in the next two years.

Warning Sign:

Altman Z-score of 1.51 is in distress zone. This implies bankruptcy possibility in the next two years.

* 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.


Digital Turbine  (NAS:APPS) Financial Strength Explanation

The maximum rank is 10. Companies with rank 7 or higher will be unlikely to fall into distressed situations. Companies with rank of 3 or less are likely in financial distress.

Digital Turbine has the Financial Strength Rank of 5.


Digital Turbine Financial Strength Related Terms

Thank you for viewing the detailed overview of Digital Turbine's Financial Strength provided by GuruFocus.com. Please click on the following links to see related term pages.


Digital Turbine (NAS:APPS) Business Description

Digital Turbine logo
Traded in Other Exchanges
Address
110 San Antonio Street, Suite 160, Austin, TX, USA, 78701
Digital Turbine Inc is an independent mobile growth platform. It offers end-to-end products and solutions to all participants in the mobile application ecosystem, enabling brand discovery and advertising, user acquisition and engagement, and operational efficiency for advertisers. Its operating segments are On Device Media (ODM); In App Media-AdColony; and In App Media-Fyber. The company derives key revenue from the ODM segment by providing solutions to all participants in the mobile application ecosystem who want to connect with end users and consumers who hold the device, including mobile carriers and device original equipment manufacturers (OEMs) that participate in the app economy, app publishers and developers, and brands and advertising agencies. It has a global business presence.
Executives
Senthilkumaran Kanagaratnam officer: Chief Technology Officer 5717 LA SEYNE PLACE, SAN JOSE CA 95138
Matthew Gillis officer: President 2400 BOSTON STREET, SUITE 201, BALTIMORE MD 21224
Mary Spilman director C/O CRITEO LEGAL DEPT., 387 PARK AVENUE SOUTH, 12TH FLOOR, NEW YORK NY 10016
Michael Benjamin Miller officer: Chief Accounting Officer 360 WEST FOREST GROVE ROAD, LUCAS TX 75002
Holyce Hess Groos director 58 CHRISTIANA COURT, LAKE GEORGE NY 12845
Christine Collins officer: CTO 111 NUECES STREET, AUSTIN TX 78701
Michelle M Sterling director 5775 MOREHOUSE DRIVE, SAN DIEGO CA 92121
Roy H Chestnutt director 1095 AVENUE OF THE AMERICAS, 8TH FLOOR, NEW YORK NY 10036
J. Barrett Garrison officer: EVP, CFO 1300 GUADALUPE STREET, SUITE 302, AUSTIN TX 78701
David Wesch officer: Acting CAO 1300 GUADALUPE STREET, SUITE 302, AUSTIN TX 78701
Mohan S Gyani director 7277 164TH AVE NE, BLDG1, REDMOND WA 98052
Judson Bowman director 1300 GUADALUPE STREET, SUITE 302, AUSTIN TX 78701
Craig I Forman director 1375 PEACHTREE STREET, ATLANTA GA 30309
James Alejandro officer: Chief Accounting Officer 2811 CAHUENGA BOULEVARD WEST, LOS ANGELES CA 90068
Kirstie Elizabeth Brown officer: Head, Global Fin. Obligations 2811 CAHUENGA BOULEVARD WEST, LOS ANGELES CA 90068

Digital Turbine (NAS:APPS) Headlines

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