Digi International Stock Alpha and Beta Analysis

DGII Stock  USD 29.03  0.58  2.04%   
This module allows you to check different measures of market premium (i.e., alpha and beta) for all equities such as Digi International. It also helps investors analyze the systematic and unsystematic risks associated with investing in Digi International over a specified time horizon. Remember, high Digi International's alpha is almost always a sign of good performance; however, a high beta will depend on investors' risk tolerance level and may signal increased volatility and potential future overvaluation. Key technical indicators related to Digi International's market risk premium analysis include:
Beta
1.04
Alpha
(0.02)
Risk
3.16
Sharpe Ratio
(0.06)
Expected Return
(0.20)
Please note that although Digi International alpha is a measure of relative return and represented here as a single number, it indicates the percentage above or below your selected benchmark (i.e., Dow Jones Industrial index.) So in this particular case, Digi International did 0.02  worse than the index. Remember, a high alpha is always good. Beta, on the other hand, measures the volatility (or risk) of an investment. It is an indication of Digi International stock's relative risk over its benchmark. Digi International has a beta of 1.04  . Digi International returns are very sensitive to returns on the market. As the market goes up or down, Digi International is expected to follow. As of now, Digi International's Enterprise Value is increasing as compared to previous years.

Enterprise Value

556.93 Million

Alpha is a measure of relative performance on a risk-adjusted basis, while beta measures volatility against the benchmark. The goal is to know if an investor is being compensated for the volatility risk taken. The return on investment might be better than its reference but still not compensate for the assumption of the risk.
  
Check out Digi International Backtesting, Digi International Valuation, Digi International Correlation, Digi International Hype Analysis, Digi International Volatility, Digi International History and analyze Digi International Performance.
For more detail on how to invest in Digi Stock please use our How to Invest in Digi International guide.

Digi International Market Premiums

Investors always prefer to have the highest possible return on investment, coupled with the lowest possible volatility. Digi International market risk premium is the additional return an investor will receive from holding Digi International long position in a well-diversified portfolio. The market premium is part of the Capital Asset Pricing Model (CAPM), which most analysts and investors use to calculate the acceptable rate of return on investment in Digi International. At the center of the CAPM is the concept of risk and reward, which is usually communicated by investors using alpha and beta measures. Alpha and beta are two of the key measurements used to evaluate Digi International's performance over market.
α-0.02   β1.04

Digi International expected buy-and-hold returns

Although buy-and-hold investment strategy may not appeal to all investors, it may be used as a good measure of Digi International's Buy-and-hold return. Our buy-and-hold chart shows how Digi International performed over your current time horizon against a typical interest-earning bank account and a selected benchmark.

Digi International Market Price Analysis

Market price analysis indicators help investors to evaluate how Digi International stock reacts to ongoing and evolving market conditions. The investors can use it to make informed decisions about market timing, and determine when trading Digi International shares will generate the highest return on investment. By understating and applying Digi International stock market price indicators, traders can identify Digi International position entry and exit signals to maximize returns.

Digi International Return and Market Media

The median price of Digi International for the period between Sun, Dec 15, 2024 and Sat, Mar 15, 2025 is 30.79 with a coefficient of variation of 6.73. The daily time series for the period is distributed with a sample standard deviation of 2.12, arithmetic mean of 31.48, and mean deviation of 1.82. The Stock received substential amount of media coverage during this period.
 Price Growth (%)  
       Timeline  
1
Digi International Drives Digital Transformation with the Launch of Digi X-ON
01/07/2025
2
Disposition of 64864 shares by David Sampsell of Digi International subject to Rule 16b-3
01/08/2025
3
Les investissements croissants dans lIA pour la gestion de rseau suscitent des stratgies diffrentes
01/30/2025
4
Digi International targets 200M ARR by 2028, reports record 120M ARR in Q1 2025
02/05/2025
5
Disposition of tradable shares by Terrence Schneider of Digi International at 33.0187 subject to Rule 16b-3
02/07/2025
6
Acquisition by Heusinkveld Valerie A of 4142 shares of Digi International subject to Rule 16b-3
02/10/2025
7
Opengear Announces CM8100-10G-5G Streamlined Network Management With 5G Connectivity and Scalable Out of Band Access
02/11/2025
8
Acquisition by Lazarakis Spiro C. of 77 shares of Digi International subject to Rule 16b-3
02/12/2025
9
Acquisition by David Sampsell of 2202 shares of Digi International subject to Rule 16b-3
02/14/2025
10
Investors in Digi International have seen solid returns of 161 percent over the past five years
02/21/2025
11
DGII vs. CSCO Which Stock Is the Better Value Option
03/06/2025

About Digi International Beta and Alpha

For many years both, Alpha and Beta indicators are used by professional money managers as critical performance measurement tools across virtually all financial instruments including Digi or other stocks. Alpha measures the amount that position in Digi International has returned in comparison to a selected market index or another relevant benchmark. In other words, Alpha is the excess return on an investment relative to the performance of your selected benchmark. Beta, on the other hand, measures the relative risk of your investment.
 2022 2023 2024 2025 (projected)
Days Sales Outstanding45.9559.9468.9361.99
PTB Ratio1.791.721.982.85

Digi International Upcoming Company Events

As portrayed in its financial statements, the presentation of Digi International's financial position is often influenced by management's estimates, judgments, and sometimes even manipulations. In the best case, Digi International's leadership is honest, while the outside auditors are strict and uncompromising. Whatever the case, investors should always follow all of Digi International's public filing events to personally review all filings and be reasonable and skeptical to interpret all of the financial statements of Digi International. Please utilize our Beneish M Score to check the likelihood of Digi International's management manipulating its earnings.
31st of January 2024
Upcoming Quarterly Report
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2nd of May 2024
Next Financial Report
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31st of December 2023
Next Fiscal Quarter End
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14th of November 2024
Next Fiscal Year End
View
30th of September 2023
Last Quarter Report
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30th of September 2023
Last Financial Announcement
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Align your risk with return expectations

By capturing your risk tolerance and investment horizon Macroaxis technology of instant portfolio optimization will compute exactly how much risk is acceptable for your desired return expectations
When determining whether Digi International offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Digi International's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Digi International Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Digi International Stock:
Digi International technical stock analysis exercises models and trading practices based on price and volume transformations, such as the moving averages, relative strength index, regressions, price and return correlations, business cycles, stock market cycles, or different charting patterns.
A focus of Digi International technical analysis is to determine if market prices reflect all relevant information impacting that market. A technical analyst looks at the history of Digi International trading pattern rather than external drivers such as economic, fundamental, or social events. It is believed that price action tends to repeat itself due to investors' collective, patterned behavior. Hence technical analysis focuses on identifiable price trends and conditions. More Info...