Direct Digital (NASDAQ:DRCT) Earns Buy Rating from Benchmark

Benchmark reiterated their buy rating on shares of Direct Digital (NASDAQ:DRCT) in a research note issued to investors on Wednesday morning, Benzinga reports. The brokerage currently has a $23.00 price objective on the stock.

Several other research analysts have also recently issued reports on the stock. Noble Financial reissued a market perform rating on shares of Direct Digital in a report on Wednesday, March 27th. TheStreet cut shares of Direct Digital from a c rating to a d+ rating in a report on Wednesday, February 14th. Finally, Roth Mkm dropped their target price on shares of Direct Digital from $27.50 to $19.00 and set a buy rating for the company in a report on Wednesday, March 27th.

Direct Digital Trading Down 7.2 %

NASDAQ DRCT opened at $5.68 on Wednesday. The stock has a market capitalization of $81.05 million, a P/E ratio of 40.57 and a beta of 7.91. Direct Digital has a 52-week low of $1.96 and a 52-week high of $35.88. The firm has a 50-day moving average price of $17.37 and a 200 day moving average price of $12.08. The company has a quick ratio of 1.16, a current ratio of 1.16 and a debt-to-equity ratio of 3.51.

Direct Digital (NASDAQ:DRCT) last posted its quarterly earnings results on Tuesday, March 26th. The company reported ($0.08) earnings per share (EPS) for the quarter, missing the consensus estimate of $0.28 by ($0.36). The firm had revenue of $41.01 million for the quarter, compared to analysts’ expectations of $66.02 million. Direct Digital had a return on equity of 48.38% and a net margin of 1.26%. During the same period in the prior year, the company earned $0.01 earnings per share. Equities research analysts expect that Direct Digital will post 0.16 EPS for the current year.

Institutional Inflows and Outflows

A number of hedge funds have recently added to or reduced their stakes in the stock. Intrinsic Edge Capital Management LLC purchased a new position in Direct Digital in the fourth quarter valued at about $1,155,000. Denali Advisors LLC acquired a new stake in shares of Direct Digital in the fourth quarter valued at approximately $359,000. Raymond James & Associates acquired a new stake in shares of Direct Digital in the fourth quarter valued at approximately $404,000. Perritt Capital Management Inc. grew its position in shares of Direct Digital by 31.2% in the third quarter. Perritt Capital Management Inc. now owns 52,480 shares of the company’s stock valued at $134,000 after purchasing an additional 12,480 shares during the last quarter. Finally, Warberg Asset Management LLC acquired a new stake in shares of Direct Digital in the third quarter valued at approximately $76,000. 4.02% of the stock is owned by hedge funds and other institutional investors.

Direct Digital Company Profile

Direct Digital Holdings, Inc operates as an end-to-end full-service programmatic advertising platform. The company's platform primarily focuses on providing advertising technology, data-driven campaign optimization, and other solutions to underserved and less efficient markets on both the buy- and sell-side of the digital advertising ecosystem.