Digi International stock draws a Moderate Buy consensus

Published on 10/07/2026 at 04:51 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS

Digi International stock has a Moderate Buy consensus from seven firms, with an average 12-month target of USD 82.40. The October 6 Nasdaq quote was USD 73.94 after Q3 revenue rose 29 percent.

DGII, US2537981027, Illustration mit AI erstellt.

Digi International (ISIN US2537981027) was last at USD 73.94 on Nasdaq on October 6, 2026 at 4:00 p.m. ET, down 0.83 percent from the prior close. The share price sits 14.9 percent below its 52-week high of USD 86.84, giving the analyst target debate a concrete valuation marker.

Analysts see room above USD 73.94

According to MarketBeat on October 6, 2026, seven research firms rated Digi International at a Moderate Buy consensus, with five Buy ratings and two Holds. The average 12-month price target is USD 82.40, which places the target 11.4 percent above the October 6 price.

The individual views span a wide range. Stephens raised its target from USD 75.00 to USD 85.00, while B. Riley Financial lifted its target from USD 78.00 to USD 86.00, both in research published on August 6, 2026, according to MarketBeat.

Revenue growth supports the case

Digi reported fiscal third-quarter 2026 results for the period ended June 30, 2026, with revenue of USD 138.67 million, up 29 percent year over year. According to Digi International in its August 5, 2026 release, adjusted net income per diluted share rose 47 percent to USD 0.75, while adjusted EBITDA increased 47 percent to USD 40 million.

The recurring-revenue profile also expanded. Annualized recurring revenue reached USD 191 million at the end of fiscal Q3 2026, up 52 percent from the prior-year quarter, while operating margin rose to 16.5 percent from 13.9 percent, according to Digi International.

Digi also lifted its fiscal 2026 outlook in the same release. Revenue is expected at USD 529 million to USD 533 million, compared with prior guidance for 20 percent to 22 percent growth, while adjusted EBITDA is expected at USD 146.0 million to USD 147.5 million.

Acquisition adds execution risk

On October 1, 2026, Digi International announced a USD 130 million cash agreement to acquire Disruptive Technologies. The target generated USD 15 million in calendar 2025 revenue and USD 4 million in annualized recurring revenue, while Digi expects USD 9 million in additional fiscal 2028 adjusted EBITDA and free cash flow after integration.

The transaction is financed through Digi's existing revolving credit facility and remains subject to regulatory approval before the end of 2026. For investors, the central trade-off is visible in the numbers: recurring revenue and margins are accelerating, while acquisition financing and integration add execution demands.

DGII stock remains below its yearly high

Digi International stock was last at USD 73.94 on Nasdaq on October 6, 2026 at 4:00 p.m. ET, with a market capitalization of USD 2.8 billion and trading volume of 638,679 shares. Its 52-week range is USD 34.41 to USD 86.84.