DGII (Digi International) ROCE %: 8.27% (As of Mar. 2026)

What is Digi International ROCE %?

Digi International DGII -1.46% 80 ROCE % is 8.27% as of Mar. 2026. GuruFocus rates DGII with a GF Score™ of 80/100 and a GF Value™ of $34.88 (Significantly Overvalued). The stock has 7 warning signs investors should review.

ROCE % measures how well a company generates profits from its capital. It is calculated as EBIT divided by Capital Employed, where Capital Employed is calculated as Total Assets minus Total Current Liabilities. Digi International's annualized ROCE % for the quarter that ended in Mar. 2026 was 8.27%.

Digi International (NAS:DGII) ROCE % Explanation

ROCE % can be especially useful when comparing the performance of capital-intensive companies. Unlike ROE %, which indicates the profitability of Shareholders Equity, ROCE % also considers long-term debt in Capital Employed. This can be helpful when analyzing companies with significant debt, as the result is neutralized by taking debt into consideration.

Generally speaking, a higher ROCE % indicates a stonger profitability for a company. Moreover, it is important to look at the ratio from a long term perspective. Investors tend to favor companies with stable and rising ROCE % trend over those with volatile ones.

Digi International ROCE % Related Terms

Digi International ROCE % Historical Data

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The historical data trend for Digi International's ROCE % 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.

Digi International ROCE % Chart

Digi International Annual Data

Trend

Sep16

Sep17

Sep18

Sep19

Sep20

Sep21

Sep22

Sep23

Sep24

Sep25

ROCE %

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2.02

5.81

6.66

5.19

7.30

Digi International Quarterly Data
	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23	Mar24	Jun24	Sep24	Dec24	Mar25	Jun25	Sep25	Dec25	Mar26
ROCE %	Get a 7-Day Free Trial															7.81	8.65	7.63	8.06	8.27

80GF Score

Digi International Inc DGII

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Digi International ROCE % Calculation

Digi International's annualized ROCE % for the fiscal year that ended in Sep. 2025 is calculated as:

ROCE %	=	EBIT	/	( (Capital Employed	+	Capital Employed)	/ count )
		(A: Sep. 2025 )		(A: Sep. 2024 )		(A: Sep. 2025 )
	=	EBIT	/	( ( (Total Assets - Total Current Liabilities)	+	(Total Assets - Total Current Liabilities) )	/ count )
		(A: Sep. 2025 )		(A: Sep. 2024 )		(A: Sep. 2025 )
	=	56.236	/	( ( (815.075 - 89.337)	+	(922.646 - 107.81) )	/ 2 )
	=	56.236	/	( (725.738	+	814.836)	/ 2 )
	=	56.236	/	770.287
	=	7.30 %

Digi International's ROCE % of for the quarter that ended in Mar. 2026 is calculated as:

ROCE %	=	EBIT ⁽¹⁾	/	( (Capital Employed	+	Capital Employed)	/ count )
		(Q: Mar. 2026 )		(Q: Dec. 2025 )		(Q: Mar. 2026 )
	=	EBIT	/	( ( (Total Assets - Total Current Liabilities)	+	(Total Assets - Total Current Liabilities) )	/ count )
		(Q: Mar. 2026 )		(Q: Dec. 2025 )		(Q: Mar. 2026 )
	=	68.116	/	( ( (918.437 - 113.719)	+	(974.227 - 131.936) )	/ 2 )
	=	68.116	/	( ( 804.718	+	842.291 )	/ 2 )
	=	68.116	/	823.5045
	=	8.27 %

(1) Note: The EBIT data used here is four times the quarterly (Mar. 2026) EBIT data.

Frequently Asked Questions Learn more about ROCE % →

What does a ROCE % of 8.27% mean?

Digi International (DGII) has a ROCE % of 8.27% as of Mar. 2026.

Is Digi International's ROCE % too high?

Digi International's current ROCE % is 8.27%. The Hardware industry median ROCE % is 5.82. Digi International's value of 8.27% is 42.1% above this industry median. Overall, Digi International has a GF Score™ of 80/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.

How does Digi International's ROCE % compare to VISN and HLIT?

Digi International's ROCE % of 8.27% can be compared against companies in the Hardware industry. The industry median ROCE % is 5.82. Digi International's value of 8.27% is 42.1% above this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.

What is a good ROCE % for a Hardware company?

The median ROCE % among Hardware companies is 5.82, based on 2,445 companies in the industry. Companies in the top quartile (top 25%) have a ROCE % significantly above this median, while those in the bottom quartile fall well below. However, ROCE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Digi International's current ROCE % of 8.27% is 42.1% above 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 ROCE % mean?

A high ROCE % can signal that a stock is expensive relative to its fundamentals. For the Hardware industry, the median ROCE % is 5.82 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Digi International's current ROCE % is 8.27%. 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 $34.88, compared to a current price of $67.74 — trading 94.2% above its estimated fair value. The current ROCE % is 8.27% and 42.1% above the Hardware industry median of 5.82. Digi International's overall GF Score™ is 80/100 with 7 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.

How is ROCE % calculated?

ROCE % is calculated from a company's financial statements. For Digi International (DGII), the current ROCE % is 8.27% 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 $67.74 is trading 94.2% above its estimated GF Value™ of $34.88. GuruFocus considers Digi International to be Significantly Overvalued.

Key valuation signals for DGII:

ROCE %: 8.27%
GF Value™: $34.88 vs. price of $67.74 (94.2% above fair value)
GF Score™: 80/100 with 7 warning signs
Industry Position: 42.1% above the Hardware median

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 Business Description

Industry Technology Hardware

Comparable Companies VISN HLIT EXTR ADTN GILT BDC FEIM NTGR CLFD BKTI CSCO SHSE:601138 SZSE:300308 SZSE:300502 CIEN OHEL:NOKIA MSI LITE HPE SZSE:300394

Other Exchanges DGI:Germany

Address 9350 Excelsior Boulevard, Suite 700, Hopkins, MN, USA, 55343

Website https://www.digi.com

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.

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$67.74

Price

$34.88

GF Value

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