Digi International (NASDAQ:DGII) Issues Q4 2026 Earnings Guidance

Digi International (NASDAQ:DGII) updated its fourth quarter 2026 earnings guidance on Wednesday. The company provided EPS guidance of 0.750-0.780 for the period, compared to the consensus estimate of 0.610. The company issued revenue guidance of $138.0 million-$142.0 million, compared to the consensus revenue estimate of $135.9 million. Digi International also updated its FY 2026 guidance to EPS.

Digi International Stock Up 0.8%

NASDAQ DGII traded up $0.61 during midday trading on Wednesday, hitting $72.75. 335,909 shares of the company traded hands, compared to its average volume of 358,850. The company has a debt-to-equity ratio of 0.21, a current ratio of 1.11 and a quick ratio of 0.77. The company has a market cap of $2.74 billion, a PE ratio of 64.38 and a beta of 0.97. The company’s 50-day simple moving average is $68.60 and its 200-day simple moving average is $57.86. Digi International has a 52 week low of $30.69 and a 52 week high of $76.41.

Digi International (NASDAQ:DGII) last issued its quarterly earnings data on Wednesday, August 5th. The technology company reported $0.75 earnings per share for the quarter, beating analysts’ consensus estimates of $0.66 by $0.09. The company had revenue of $138.67 million for the quarter, compared to the consensus estimate of $132.57 million. Digi International had a return on equity of 11.28% and a net margin of 9.10%.The firm’s revenue for the quarter was up 29.0% compared to the same quarter last year. During the same quarter last year, the company earned $0.53 earnings per share. Digi International has set its Q4 2026 guidance at 0.750-0.780 EPS. As a group, equities research analysts forecast that Digi International will post 2.11 earnings per share for the current year.

Wall Street Analysts Forecast Growth

Several research firms recently commented on DGII. Weiss Ratings upgraded shares of Digi International from a “hold (c)” rating to a “hold (c+)” rating in a research note on Monday. Stephens raised their target price on shares of Digi International from $65.00 to $75.00 and gave the company an “overweight” rating in a research note on Tuesday, May 12th. Piper Sandler lifted their price target on shares of Digi International from $46.00 to $63.00 and gave the stock a “neutral” rating in a report on Thursday, May 7th. Roth Capital reaffirmed a “buy” rating and set a $70.00 price target on shares of Digi International in a research report on Thursday, May 7th. Finally, Craig Hallum increased their price objective on Digi International from $50.00 to $75.00 and gave the company a “buy” rating in a report on Thursday, May 7th. Four analysts have rated the stock with a Buy rating and three have given a Hold rating to the company’s stock. Based on data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $66.20.

Insider Transactions at Digi International

In other news, VP James E. Freeland sold 450 shares of the stock in a transaction dated Tuesday, May 26th. The stock was sold at an average price of $68.00, for a total value of $30,600.00. Following the transaction, the vice president directly owned 19,219 shares of the company’s stock, valued at approximately $1,306,892. This represents a 2.29% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, VP Terrence G. Schneider sold 14,182 shares of the firm’s stock in a transaction dated Monday, May 11th. The stock was sold at an average price of $65.61, for a total value of $930,481.02. Following the completion of the transaction, the vice president owned 26,759 shares of the company’s stock, valued at approximately $1,755,657.99. The trade was a 34.64% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold 121,008 shares of company stock valued at $8,320,222 in the last quarter. Insiders own 3.40% of the company’s stock.

Key Digi International News

Here are the key news stories impacting Digi International this week:

• Positive Sentiment: Digi reported fiscal Q3 2026 revenue of approximately $138.7 million, up 29% year over year and ahead of the $132.6 million consensus estimate. Adjusted earnings per share were $0.75, exceeding expectations of $0.66 and increasing from $0.53 in the prior-year quarter. Digi International Reports Third Fiscal Quarter 2026 Results
• Positive Sentiment: Profitability also improved, with gross margin rising 130 basis points to 64.8%. The combination of revenue growth, margin expansion and the earnings beat supports the positive reaction in DGII shares. Digi International Reports Third Fiscal Quarter 2026 Results
• Positive Sentiment: Digi raised or reaffirmed favorable expectations for fiscal Q4, forecasting EPS of $0.750–$0.780 versus the $0.610 analyst consensus and revenue of $138 million–$142 million versus $135.9 million expected. Full-year revenue guidance of $529 million–$533 million also exceeds the $521.6 million consensus, signaling management’s confidence in continued demand.
• Neutral Sentiment: Management discussed the quarterly performance and outlook during the earnings call, giving investors additional context on operating trends and guidance. Digi International Q3 2026 Earnings Call Transcript
• Negative Sentiment: Zacks Research downgraded Digi International from “strong buy” to “hold.” The downgrade could weigh on the stock, particularly because DGII trades at a relatively elevated valuation, with a price-to-earnings ratio above 64, leaving less room for execution disappointments.

Institutional Trading of Digi International

Several large investors have recently made changes to their positions in the business. Lazard Asset Management LLC lifted its position in Digi International by 25.1% during the second quarter. Lazard Asset Management LLC now owns 1,690 shares of the technology company’s stock valued at $58,000 after purchasing an additional 339 shares during the period. Russell Investments Group Ltd. raised its stake in shares of Digi International by 1,530.9% during the 3rd quarter. Russell Investments Group Ltd. now owns 3,376 shares of the technology company’s stock valued at $123,000 after buying an additional 3,169 shares during the last quarter. Brooklyn Investment Group lifted its holdings in shares of Digi International by 3,880.3% in the 3rd quarter. Brooklyn Investment Group now owns 5,652 shares of the technology company’s stock valued at $206,000 after buying an additional 5,510 shares during the period. Millennium Management LLC purchased a new stake in shares of Digi International in the third quarter worth about $292,000. Finally, Verity Asset Management Inc. acquired a new stake in Digi International during the third quarter worth about $464,000. 95.90% of the stock is owned by hedge funds and other institutional investors.

Digi International Company Profile

Digi International Inc is a provider of Internet of Things (IoT) connectivity products and services designed to link devices to networks and applications securely. The company develops a broad range of networking hardware, including cellular and Ethernet routers, gateways, embedded modules and adaptors, as well as accessories and antennas. Digi’s solutions enable businesses to deploy remote monitoring, control and automation systems across diverse industries such as transportation, utilities, healthcare, retail and industrial manufacturing.

In addition to its physical devices, Digi offers cloud-based management software and professional services that simplify device configuration, monitoring and over-the-air updates.