Digital Turbine, Inc.
AI Valuation
AI-generated fair value estimate for this company.
AI Fair Value
$2.50
Market Price
$11.24
Overvalued By
349.6%
Method: 10-year unlevered FCF DCF: $21.19M TTM FCF base (thin, off a roughly $600M revenue base); 20% growth years 1-5, 8% years 6-10; 11% discount rate; 3% terminal growth; $313.16M net debt subtracted; 125M diluted shares.
Reasoning: Digital Turbine is a leveraged, historically volatile ad-tech and app-platform business with a very small current FCF base relative to its net debt, so a higher discount rate was used even after stress-testing a generous 20% early growth rate; the result is far below the current market price, suggesting the market has priced in a stronger recovery than the trailing FCF base currently justifies.