Key Takeaways APPS' AGP segment grew 19% YoY to $52.6M, driven by strong programmatic ad demand.Digital Turbine's SSP and exchange rose 30% YoY, with 80,000 apps integrated.APPS leverages AI, Ignite Graph and DTiQ to boost ad targeting and impressions by 20% YoY.Digital Turbine’s (APPS) App Growth Platform (AGP) business is experiencing robust growth. The segment grew 19% year over year in the third quarter of fiscal 2026 to $52.6 million due to solid demand for its programmatic marketplace by demand-side p ...

Digital Turbine (NasdaqCM:APPS) FY Conference March 23, 2026 06:00 PM ET Company ParticipantsBill Stone - CEOLauren Dillard - CFORemco Westermann - CEOConference Call ParticipantsRohit Kulkarni - Managing Director and Senior Research AnalystRohit KulkarniAll right. We are going to go ahead and get started. Thank you for joining us. My name is Rohit Kulkarni. I'm the Internet research analyst here at Roth Capital Partners. Very excited to host three C-level execs here today. I'll let them do the intros. They ...

Group 1 - Digital Turbine, Inc. will participate in the 38th Annual Roth Conference on March 23rd and 24th, 2026, in Dana Point, CA [1] - CEO Bill Stone will engage in a roundtable discussion titled "How AI Reshapes Media and Ad-Tech" on March 23rd at 3:00 PM PT/6:00 PM ET [1] - A live webcast of the roundtable will be available on Digital Turbine's investor relations website [1] Group 2 - Digital Turbine empowers mobile consumer experiences and results for telcos, advertisers, and publishers through its end-to-end platform [2] - The company is headquartered in North America and has offices globally [2]

Core Viewpoint - Digital Turbine (APPS) is currently viewed as a better value opportunity compared to F5 Networks (FFIV) based on various financial metrics and analyst outlooks [1]. Valuation Metrics - APPS has a forward P/E ratio of 9.89, significantly lower than FFIV's forward P/E of 18.35 [5]. - The PEG ratio for APPS is 0.24, indicating a more favorable growth expectation compared to FFIV's PEG ratio of 6.31 [5]. - APPS has a P/B ratio of 2.05, while FFIV's P/B ratio stands at 4.62, suggesting that APPS is more undervalued relative to its book value [6]. Analyst Outlook - APPS holds a Zacks Rank of 2 (Buy), indicating a positive earnings estimate revision trend, while FFIV has a Zacks Rank of 3 (Hold) [3]. - The stronger estimate revision activity for APPS contributes to a more favorable analyst outlook compared to FFIV [7].

Core Insights - Digital Turbine (APPS) shares have declined 10% in the past month, underperforming the Zacks Internet – Software industry's growth of 3% [1][7] - The stock has also underperformed peers such as Unity Software (U) and AppLovin (APP), which returned 7.3% and 18.2% respectively in the same period [4][7] - The current trading position of APPS below the 200-day and 50-day moving averages indicates a bearish trend [5] Financial Performance - APPS's On Device Solutions (ODS) segment saw more than 20% year-over-year revenue per device growth [7][14] - The Application Growth Platform (AGP) experienced a 20% year-over-year increase in supply volumes driven by international performance and non-gaming inventory [16] Competitive Landscape - Digital Turbine operates in a highly competitive digital advertising and mobile distribution ecosystem, facing competition from AppLovin and Unity Software [8][10] - The market is fragmented with regional players and OEM-led alternatives increasing competition [10] Market Dynamics - The company is experiencing softness in the U.S. market, which is its largest revenue contributor [11] - The Zacks Consensus Estimate for APPS's fiscal 2026 bottom line is pegged at 36 cents, indicating a year-over-year increase of 2.86% [11] Strategic Partnerships - Digital Turbine has established partnerships with major companies such as Xiaomi, Samsung, HMD, Nokia, and Motorola, enhancing its market presence [17] - The addition of TIM (TIMB) in 2025 aims to improve smartphone experiences through personalized app recommendations [17] Conclusion - Despite facing intense competition and market challenges, Digital Turbine shows resilience through growth in its ODS and AGP segments, suggesting a hold recommendation for investors [18]

Core Viewpoint - Digital Turbine (APPS) is currently more attractive to value investors compared to Autodesk (ADSK) based on various financial metrics and rankings [1]. Group 1: Zacks Rank and Earnings Outlook - Digital Turbine has a Zacks Rank of 2 (Buy), indicating a stronger earnings outlook compared to Autodesk, which has a Zacks Rank of 4 (Sell) [3]. - APPS has likely experienced a more significant improvement in its earnings outlook than ADSK recently [3]. Group 2: Valuation Metrics - APPS has a forward P/E ratio of 10.78, while ADSK has a forward P/E of 19.59, suggesting that APPS is undervalued relative to ADSK [5]. - The PEG ratio for APPS is 0.26, indicating a favorable valuation considering its expected EPS growth, whereas ADSK has a PEG ratio of 1.15 [5]. - APPS has a P/B ratio of 2.24, significantly lower than ADSK's P/B of 16.47, further highlighting APPS's relative undervaluation [6]. Group 3: Value Grades - Based on the analysis of various key metrics, APPS has earned a Value grade of B, while ADSK has a Value grade of D, reinforcing the notion that APPS is the better option for value investors [6].

Core Insights - Digital Turbine has appointed Ben John as Chief Technology Officer to lead innovation and support the company's growth momentum [1] - The global mobile advertising market is projected to exceed $640 billion by 2030, positioning Digital Turbine favorably within the ecosystem [1] Company Overview - Digital Turbine is a leader in growth solutions for the mobile ecosystem, connecting advertisers, app owners, and device partners through various integrations and partnerships [1] - The company's technology is operational on over 1 billion devices and is embedded in more than 80,000 apps, reaching over a billion users monthly [1] Leadership Background - Ben John has over 20 years of experience in AI and advertising platforms, previously serving as Vice President of Engineering at Microsoft AI Copilot and CTO of Xandr [1] - His expertise includes building large-scale AI and advertising platforms, with a focus on translating complex technology into business outcomes [1] Strategic Vision - The appointment of Ben John is expected to enhance Digital Turbine's ability to innovate and grow by leveraging AI and first-party data [1] - The company aims to deliver premium data-driven and AI experiences to various stakeholders, including mobile carriers and app developers [1]

Core Insights - Digital Turbine Inc. (NASDAQ:APPS) is identified as an undervalued penny stock with a reported 12% year-over-year revenue increase to $151.4 million for FQ3 2026, driven primarily by a 60% surge in international business [1][7] - The company experienced a significant boost in profitability, with EBITDA growing by 76% year-over-year and margins expanding to 26% [1] Group 1: Financial Performance - The international business was a key growth driver, increasing over 60% compared to the previous year [1] - The company reported a relatively low free cash flow of $6.4 million for the quarter, indicating financial constraints [2] - EBITDA increased by 76% year-over-year, reflecting improved profitability [1] Group 2: Competitive Landscape - Despite strong international growth, the company faces challenges from persistent softness in US device volumes and intense competition in the gaming and app distribution sectors [2] - The CEO noted successful integration of AI and ML, leading to a 25% increase in gross profit dollars while reducing operating expenses [3] Group 3: Business Operations - Digital Turbine operates a mobile growth platform for advertisers, publishers, carriers, and device OEMs, through two segments: On Device Solutions and App Growth Platform [4] - The company confirmed that its Single Tap technology is now utilized by the three largest global gaming companies to enhance app distribution [3]

Core Insights - The Zacks Internet Software industry is experiencing volatility due to fears of AI disrupting the traditional SaaS space, alongside heightened geopolitical risks and tariff uncertainties. However, companies like MongoDB, Digital Turbine, and 8x8 are benefiting from increased demand for digital transformation and cloud solutions driven by the need for remote working and AI-powered applications [1] Industry Overview - The Zacks Internet Software industry includes companies that provide application performance monitoring, infrastructure and application software, DevOps deployment, and security software. The primary revenue sources are subscription and advertising, targeting various end markets such as banking, education, and healthcare [2] Trends Shaping the Industry - **Adoption of SaaS Grows**: The industry benefits from the demand for digital transformation, with SaaS providing a flexible and cost-effective delivery method for applications, enhancing customer satisfaction and retention [3] - **Pay-As-You-Go Model Gains Traction**: The customer-centric approach allows users to scale offerings according to needs, with the subscription model ensuring recurring revenues and affordability for small and medium-sized businesses [4] - **Ongoing Transition to Cloud Creates Opportunities**: The need for secure cloud platforms amid rising cyberattacks drives demand for web-based cybersecurity software and performance management tools [5] Industry Performance - The Zacks Internet Software industry holds a Zacks Industry Rank of 139, placing it in the bottom 43% of over 250 Zacks industries, indicating dull near-term prospects [6][7] - The industry has underperformed the S&P 500 and the broader Computer and Technology sector, returning 16.9% over the past year compared to the S&P 500's 17.2% and the sector's 23.1% [10] Current Valuation - The industry is currently trading at a forward 12-month price-to-sales (P/S) ratio of 4.09X, lower than the S&P 500's 5.30X and the sector's 6.8X, with historical trading ranging from 4.09X to 5.99X over the past five years [13] Company Highlights - **MongoDB**: This company has seen a 29% year-over-year revenue increase in Q2 of fiscal 2026, adding over 5,000 customers in the past two quarters. Its shares have appreciated 29% in the past year, with a consensus estimate for fiscal 2027 earnings at $5.61 per share [17][18][19] - **Digital Turbine**: Expected revenues for fiscal 2026 are projected between $553 million and $558 million, with shares dropping 24% in the past year. The consensus estimate for fiscal 2026 earnings is 36 cents per share [22][23] - **8x8**: This company has experienced nearly 60% year-over-year growth in usage-based offerings, with shares down 19% over the past year. The consensus estimate for fiscal 2026 earnings is also 36 cents per share [26][27]

Core Viewpoint - Digital Turbine (APPS) is currently viewed as a more attractive undervalued stock compared to Zoom Communications (ZM) based on various financial metrics and rankings [1][3][6]. Group 1: Zacks Rank and Earnings Outlook - Digital Turbine has a Zacks Rank of 1 (Strong Buy), indicating a positive earnings estimate revision trend, while Zoom Communications has a Zacks Rank of 2 (Buy) [3]. - The Zacks Rank system emphasizes companies with improving earnings outlooks, suggesting that APPS is likely experiencing a more favorable earnings forecast than ZM [3]. Group 2: Valuation Metrics - Digital Turbine has a forward P/E ratio of 12.28, significantly lower than Zoom Communications' forward P/E of 16.07, indicating that APPS may be undervalued relative to ZM [5]. - The PEG ratio for Digital Turbine is 0.30, while Zoom Communications has a PEG ratio of 5.60, further suggesting that APPS is a better value option considering expected earnings growth [5]. - Digital Turbine's P/B ratio stands at 2.55 compared to Zoom Communications' P/B of 3.04, reinforcing the notion that APPS is more attractively priced [6]. Group 3: Value Grades - Digital Turbine has a Value grade of B, while Zoom Communications has a Value grade of C, indicating that APPS is perceived as a stronger value investment at this time [6].