APPS Stock Price Increased 14.11%: Why It Happened

By Amit Chowdhry ● February 6, 2021
  • The stock price of Digital Turbine Inc (NASDAQ: APPS) increased by 14.11% on Friday, February 5. This is why it happened.

The stock price of Digital Turbine Inc (NASDAQ: APPS) increased by 14.11% on Friday, February 5 as it went from a previous close of $77.19 to $88.08. One of the triggers appears to be a bullish report from Oppenheimer analyst Timothy Horan. Horan had increased the price target on Digital Turbine from $47 to $90. And Horan is also maintaining an “Outperform” rating on the shares.

Digital Turbine’s fiscal 2021 third-quarter results were cited in the report. The fiscal third quarter of 2021 had totaled $88.6 million, representing an increase of 146% compared to the total revenue reported in Q3 2020.

The Application Media revenue increased 58% year-over-year to $56.9 million in the fiscal third quarter of 2021. And Content Media revenue, which primarily included revenue related to the February 2020 acquisition of Mobile Posse totaled $31.7 million in the fiscal third quarter of 2021.

The company’s GAAP net income for the fiscal third quarter of 2021, inclusive of a $4.7 million adjustment to the contingent earn-out related to the Mobile Posse acquisition, was $14.5 million (or $0.15 per share) as compared to the GAAP net income of $3.3 million (or $0.04 per share) for the fiscal third quarter of 2020. And non-GAAP adjusted net income for the fiscal third quarter was $20.0 million (or $0.21 per share) as compared to non-GAAP adjusted net income of $5 million (or $0.05 per share) in the fiscal third quarter of 2020, representing growth of 278% in non-GAAP EPS.

The company’s Application Media software was installed on approximately 65 million devices during the fiscal third quarter and has now been installed on more than 570 million devices to date.

Disclaimer: This content is intended for informational purposes. Before making any investment, you should do your own analysis.