Direct Digital Holdings, Inc. (NASDAQ:DRCT) Short Interest Up 239.2% in June

Direct Digital Holdings, Inc. (NASDAQ:DRCT) was the recipient of a significant growth in short interest in the month of June. As of June 15th, there was short interest totalling 372,400 shares, a growth of 239.2% from the May 31st total of 109,800 shares. Currently, 15.3% of the company’s shares are short sold. Based on an average daily trading volume, of 401,300 shares, the days-to-cover ratio is presently 0.9 days.

Analyst Upgrades and Downgrades

DRCT has been the subject of several research analyst reports. Roth Mkm dropped their price target on shares of Direct Digital from $27.50 to $19.00 and set a “buy” rating for the company in a research report on Wednesday, March 27th. Benchmark restated a “buy” rating and set a $23.00 price target on shares of Direct Digital in a research note on Wednesday, April 24th. Finally, Noble Financial reaffirmed a “market perform” rating on shares of Direct Digital in a research note on Wednesday, March 27th.

Institutional Inflows and Outflows

A number of institutional investors have recently made changes to their positions in the company. Raymond James & Associates purchased a new position in Direct Digital in the 4th quarter valued at about $404,000. Perritt Capital Management Inc. boosted its holdings in 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. Denali Advisors LLC acquired a new stake in Direct Digital during the 4th quarter valued at approximately $359,000. Finally, Intrinsic Edge Capital Management LLC purchased a new stake in Direct Digital during the 4th quarter worth approximately $1,155,000. 4.02% of the stock is owned by institutional investors and hedge funds.

Direct Digital Stock Down 6.3 %

NASDAQ DRCT traded down $0.27 during trading hours on Friday, hitting $4.03. The company had a trading volume of 194,084 shares, compared to its average volume of 328,740. The firm’s 50 day moving average is $4.10 and its 200 day moving average is $11.45. The company has a debt-to-equity ratio of 3.51, a current ratio of 1.16 and a quick ratio of 1.16. Direct Digital has a fifty-two week low of $1.96 and a fifty-two week high of $35.88. The company has a market capitalization of $57.51 million, a price-to-earnings ratio of 28.79 and a beta of 7.77.

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

About Direct Digital

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.