Digi International (DGII) Stock: Buy, Sell, or Hold?
DGII - Digi International Inc
$69.03
0.26 (0.38%)
▲
5d:
-1.78%
30d:
-19.02%
90d:
+1.02%
HOLD
LOW Confidence
Analysis Updated: Sep 11, 2026 12:00 AM ET
Earnings: Aug 05, 2026
0d
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Interactive Price Chart (1 Month)
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Bottom Line:
📊 HOLD: DGII is fairly valued with market pricing in 1.1% annual growth. Fine to hold or accumulate slowly on dips.
📊 HOLD: DGII is fairly valued with market pricing in 1.1% annual growth. Fine to hold or accumulate slowly on dips.
Long-Term Wealth Forecast (2031)
Based on Analyst Consensus Growth & Historical Valuation
0% (Stagnation)
50% (Hyper Growth)
EST. PRICE IN 2031
$107.75
Based on 10.2% avg growth
INTRINSIC VALUE TODAY
$66.91
Trading above historical range
How this is calculated: We use a Growth Decay Model: starting with analyst consensus growth (adjusted above) and gradually slowing it down to a long-term terminal rate (4%) by Year 5. This provides a more realistic valuation than assuming constant hyper-growth. We then apply a 21.3x Exit PE.
In-depth Analysis How we analyze
Valuation Analysis: DGII is currently trading at $69.03, which is considered oversold relative to its 30-day fair value range of $70.50 to $81.75. The stock's valuation (Forward PE: 22.0) is in line with its historical norms (21.3). At these levels, the market is pricing in 1.1% annual earnings growth. This growth rate appears achievable given the company's track record, suggesting the valuation is rational.
Technical Outlook: Technically, DGII is in a strong uptrend. The price is currently testing key support at $67.45. A bounce from this level would confirm strength, while a break below could signal further downside.
Market Sentiment: DGII scores 70/100 on our bottoming-setup gauge — the chart has corrected and is stabilizing (RSI reset, momentum turning up), historically a favorable entry zone. In the options market, Implied Volatility is low (0th percentile), suggesting options premiums are relatively cheap. This makes it an attractive time for long options strategies if you have a directional bias. Wall Street analysts see significant upside, with an average price target of $85.40 (+23.7%). The stock is fairly positioned - fine to hold existing positions or accumulate slowly on dips, but not an urgent buy.
Technical Outlook: Technically, DGII is in a strong uptrend. The price is currently testing key support at $67.45. A bounce from this level would confirm strength, while a break below could signal further downside.
Market Sentiment: DGII scores 70/100 on our bottoming-setup gauge — the chart has corrected and is stabilizing (RSI reset, momentum turning up), historically a favorable entry zone. In the options market, Implied Volatility is low (0th percentile), suggesting options premiums are relatively cheap. This makes it an attractive time for long options strategies if you have a directional bias. Wall Street analysts see significant upside, with an average price target of $85.40 (+23.7%). The stock is fairly positioned - fine to hold existing positions or accumulate slowly on dips, but not an urgent buy.
Quick Decision Summary
Current Position
OVERSOLD
Historical Trading Range
$70.50 -
$81.75
Company Quality Score
67/100
(BUY)
Volume Confirmation
HIGH
Confidence Score
93.1%
Protect Your Profits
Holding DGII? Use our AI-powered strategies to protect your downside while keeping your long-term position.
View Profit Protection PlanAll Signals
- BULLISH: Price oversold vs 30-day range
- BULLISH: Options cheap (IV 0th percentile)
- BULLISH: Strong technical setup (70/100)
- BULLISH: High volume confirmation
- BULLISH: Trading 23.7% below Wall St target ($85.40)
- NEUTRAL: Market pricing in 1.1% annual earnings growth - fairly valued
- CAUTION: Bottoming setup, but lagging the sector by 15% over 20 days — wait for relative strength
Trading Range Analysis
30-Day Trading Range
$70.50 -
$81.75
Current vs Trading Range
OVERSOLD
Expected Move (7 Days)
±$4.88
(7.1%)
Support & Resistance Levels
Support Level
$67.45
Resistance Level
$78.22
Current Trend
Strong Uptrend
Technical data as of
Sep 11, 2026
Fundamental Context
Forward P/E (Next Year Est.)
22.04
Wall Street Target
$85.40
(+23.7%)
Revenue Growth (YoY)
29.0%
Earnings Growth (YoY)
48.1%
Profit Margin
9.6%
Valuation Premium vs History
+1.1% premium
PE vs Historical
22.0 vs 21.3
FAIR
Market-Implied Price Targets
If current PE multiple persists
Implied Growth (YoY):
+1.1%
(market-implied from PE analysis)
1-Year Target
$69.79
(+1%)
2-Year Target
$70.56
(+2%)
3-Year Target
$71.33
(+3%)
3-Yr Target (if PE normalizes)
(PE: 22→21)
PE COMPRESSION
$68.94
(0%)
Earnings growth offset by PE compression
3-Year Scenarios
Using analyst projected EPS growth
Bull:
(PE: 22.0, Growth: 16.3%)
$108.71
(+58%)
Base:
(SPY PE: 20.2, Growth: 16.3%)
$99.49
(+44%)
Bear:
(PE: 17.1, Growth: 16.3%)
$84.56
(+23%)
📈
Valuation based on Current Earnings
Forward PE: 21.79 | Forward EPS (Implied): $3.17
Bull Case
$83.35
(+21%)
Analyst growth 15.0%, PE expands to 22.9
Base Case
$69.03
(0%)
Market implied 0.0%, PE stable at 21.8
Bear Case
$52.81
(-24%)
Severe decline -15.0%, PE contracts to 19.6
These are projections based on PE multiples and EPS growth scenarios, not predictions. Actual results may vary significantly.
Share & Embed Analysis
Last updated: September 12, 2026 8:38 PM ET
Data refreshes hourly during market hours. Next update: 9:38 PM
Data refreshes hourly during market hours. Next update: 9:38 PM
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Technical Signals Check
Is DGII showing a specific setup today?
Insider Activity (6 Months)
0
Buys
0
Sells
0
Net
NEUTRAL
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Advanced DGII Option Strategies
Professional options setups generated by AI based on today's DGII price and gamma walls.
