Stock AnalizDigi International Inc. DGII
Computer Communications Equipment · IPO 1989 · data as of November 13, 2026
Digi International Inc. (DGII) is a telecom company listed in the US with a market value of about $2.1B. In the twelve months to September 30, 2026 it had revenue of $535M and net income of $54M, a net margin of 10.0%.
Its overall Stock Analiz score is 3.0 out of 5 (average). The strongest part is financial health (5/5); the weakest is shareholder returns (1/5).
Key numbers: a P/E of 39.8, a price to free cash flow of 13.8, 5-year revenue growth of 9% a year, a 5-year average ROIC of 5%. A discounted cash flow model with moderate assumptions puts its intrinsic value about 23% above the current price.
Score: 3.0 / 5
Checks passed
- P/FCF below 20
- Price below intrinsic value (DCF, moderate assumptions)
- PEG below 1.5
- Profit margin improving
- 3-year free cash flow growth above 10% a year
- Strong R&D investment or growth above 20%
- 5-year EPS growth above 10% a year
- 5-year revenue growth above 8% a year
Checks not passed
- P/E below 25
- P/E below the industry median
- Revenue growth above 10% last year
- 3-year revenue growth above 10% a year
- 5-year average ROIC above 12%
- ROE above 15%
- Pays a dividend
- Share count down over 3 years (buybacks)
Valuation
Growth and quality
Financials, last 10 years
| Fiscal year | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | $535M | $430M | $424M | $445M | $388M | $309M | $279M | $254M | $227M | $181M | $203M |
| Net income | $54M | $41M | $23M | $25M | $19M | $10M | $8M | $10M | $2M | $9M | $17M |
| Free cash flow | $153M | $105M | $81M | $32M | $36M | $55M | $34M | $20M | -$5M | $702000 | $24M |
| EPS (diluted) | $1.39 | $1.08 | $0.61 | $0.67 | $0.54 | $0.31 | $0.28 | $0.35 | $0.06 | $0.35 | $0.64 |
| Net margin | 10.0% | 9.5% | 5.3% | 5.6% | 5.0% | 3.4% | 3.0% | 3.9% | 0.7% | 5.2% | 8.2% |
| ROIC | — | 5.7% | 6.6% | 6.5% | 4.0% | 1.5% | 2.0% | 2.6% | 0.4% | 2.7% | 4.6% |
From the company’s 10-K and 10-Q filings with the SEC. TTM = trailing twelve months.
What analysts expect
The average 12-month price target from 5 analysts is $79.60, 44% above the current price; targets range from $67.00 to $86.00; the consensus rating is “Strong buy”; expected EPS is $3.07 for the fiscal year ending September 30, 2026.
Frequently asked questions
What is Digi International’s P/E ratio?
About 39.8, based on the last twelve months of diluted earnings per share (forward P/E about 17.2).
Is Digi International stock undervalued?
Our DCF model with moderate assumptions puts its intrinsic value about 23% above the current market value. A model is a range, not a promise; try your own assumptions in the DCF calculator.
Does Digi International pay a dividend?
Not currently.
Is Digi International a good stock to buy?
We do not give buy or sell advice. Digi International scores 3.0 out of 5 on our five checks (value, growth, track record, financial health and shareholder returns); the checks above show why.
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Generated from SEC filings, analyst consensus estimates and market prices, rebuilt every day. Educational information, not investment advice.