The Receivables Turnover ratio measures the number of times a company collects its average accounts receivable balance. It is calculated as Revenue divided by average Accounts Receivable. An efficient company has a higher accounts receivable turnover ratio while an inefficient company has a lower ratio. Direct Digital Holdings's Revenue for the
three
months ended in Mar. 2026 was $6.68 Mil. Direct Digital Holdings's average Accounts Receivable for the
three
months ended in Mar. 2026 was $2.95 Mil.
Hence, Direct Digital Holdings's Receivables Turnover for the
three
months ended in Mar. 2026 was 2.26.
Direct Digital Holdings (NAS:DRCT) Receivables Turnover Explanation
An efficient company has a higher accounts receivable turnover ratio while an inefficient company has a lower ratio. This metric is commonly used to compare companies within the same industry to check whether they are on par with their competitors.
Direct Digital Holdings Receivables Turnover Related Terms
Direct Digital Holdings Receivables Turnover Historical Data
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The historical data trend for Direct Digital Holdings's Receivables Turnover 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.
Direct Digital Holdings Receivables Turnover Chart
DRCT vs HAO, DBMM, CNET: Receivables Turnover Comparison
For the Advertising Agencies subindustry, Direct Digital Holdings's Receivables Turnover, along with its competitors' market caps and Receivables Turnover 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 Receivables Turnover vs Media - Diversified Industry
For the Media - Diversified industry and Communication Services sector, Direct Digital Holdings's Receivables Turnover distribution charts can be found below:
* The bar in red indicates where Direct Digital Holdings's Receivables Turnover 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 Receivables Turnover of 2.26 as of Mar. 2026. The accounts receivables turnover ratio measures the number of times a company collects its average accounts receivable balance. It is calculated as Revenue divided by Average Accounts Receivable. View historical data on Direct Digital Holdings and its competitors. According to the industry distribution chart, Direct Digital Holdings ranks #229 out of 1006 companies in the Media - Diversified industry, placing it in the top 22.8%.
Is Direct Digital Holdings' Receivables Turnover too high?
Direct Digital Holdings' current Receivables Turnover is 2.26. The Media - Diversified industry median Receivables Turnover is 5.33. Direct Digital Holdings' value of 2.26 is 57.6% below this industry median. Based on the distribution chart, Direct Digital Holdings ranks #229 out of 1006 companies in the Media - Diversified industry, which is in the top quartile — a strong position relative to peers. Overall, Direct Digital Holdings has a GF Score™ of 43/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Direct Digital Holdings' Receivables Turnover compare to HAO and DBMM?
According to the Media - Diversified industry distribution chart, Direct Digital Holdings ranks #229 out of 1006 companies for Receivables Turnover. This places Direct Digital Holdings in the top 23% of its industry — outperforming the majority of peers. The industry median Receivables Turnover is 5.33. Direct Digital Holdings' value of 2.26 is 57.6% below this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Receivables Turnover for a Media - Diversified company?
The median Receivables Turnover among Media - Diversified companies is 5.33, based on 1,006 companies in the industry. Companies in the top quartile (top 25%) have a Receivables Turnover significantly above this median, while those in the bottom quartile fall well below. However, Receivables Turnover should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Direct Digital Holdings's current Receivables Turnover of 2.26 is 57.6% 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 Receivables Turnover mean?
A high Receivables Turnover can signal that a stock is expensive relative to its fundamentals. The accounts receivables turnover ratio measures the number of times a company collects its average accounts receivable balance. It is calculated as Revenue divided by Average Accounts Receivable. View historical data on Direct Digital Holdings and its competitors. For the Media - Diversified industry, the median Receivables Turnover is 5.33 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Direct Digital Holdings's current Receivables Turnover is 2.26. 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 $20.83, compared to a current price of $2.79 — trading 86.6% below its estimated fair value. The current Receivables Turnover is 2.26 and 57.6% below the Media - Diversified industry median of 5.33. Direct Digital Holdings' overall GF Score™ is 43/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Receivables Turnover calculated?
Receivables Turnover is calculated from a company's financial statements. For Direct Digital Holdings (DRCT), the current Receivables Turnover is 2.26 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 $2.79 is trading 86.6% below its estimated GF Value™ of $20.83.
GuruFocus considers Direct Digital Holdings to be Possible Value Trap.
Key valuation signals for DRCT:
Receivables Turnover: 2.26
GF Value™: $20.83 vs. price of $2.79 (86.6% below fair value)
Industry Position: 57.6% below the Media - Diversified median (#229 of 1006)
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.
43GF Score
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