Core Viewpoint - Wall Street anticipates a year-over-year increase in earnings for Digi International (DGII) due to higher revenues, with a focus on how actual results will compare to estimates [1] Earnings Expectations - Digi International is expected to report quarterly earnings of $0.55 per share, reflecting a +10% change year-over-year [3] - Revenues are projected to be $115.67 million, which is an increase of 11.4% from the same quarter last year [3] Estimate Revisions - The consensus EPS estimate has been revised 0.68% lower in the last 30 days, indicating a reassessment by analysts [4] - The Most Accurate Estimate for Digi International is lower than the Zacks Consensus Estimate, resulting in an Earnings ESP of -1.22% [12] Earnings Surprise Prediction - A positive Earnings ESP is a strong predictor of an earnings beat, especially when combined with a Zacks Rank of 1, 2, or 3 [10] - Stocks with a positive Earnings ESP and a solid Zacks Rank have historically produced a positive surprise nearly 70% of the time [10] Historical Performance - In the last reported quarter, Digi International had an earnings surprise of +9.80%, reporting $0.56 per share against an expectation of $0.51 [13] - Over the past four quarters, the company has beaten consensus EPS estimates three times [14] Investment Considerations - Despite the potential for an earnings beat, other factors may influence stock movement, and an earnings miss does not guarantee a decline [15] - Digi International does not currently appear to be a compelling earnings-beat candidate, and investors should consider additional factors before making investment decisions [17]

Core Insights - Digi International reported quarterly earnings of $0.53 per share, exceeding the Zacks Consensus Estimate of $0.51 per share, and showing an increase from $0.5 per share a year ago, resulting in an earnings surprise of +3.92% [1] - The company achieved revenues of $107.51 million for the quarter ended June 2025, surpassing the Zacks Consensus Estimate by 1.24% and up from $105.2 million year-over-year [2] - Digi International has outperformed consensus EPS estimates three times over the last four quarters and has topped revenue estimates two times in the same period [2] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $0.53 on revenues of $108.9 million, while for the current fiscal year, the estimate is $2.04 on revenues of $423.43 million [7] - The stock currently holds a Zacks Rank 3 (Hold), indicating expected performance in line with the market in the near future [6] Industry Context - The Computer - Networking industry, to which Digi International belongs, is currently ranked in the top 32% of over 250 Zacks industries, suggesting a favorable outlook compared to lower-ranked industries [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked by investors [5]