Forensic Analysis · General / Diversified · as of Sep 25, 2026
Digital Turbine, Inc. (APPS)
A forensic read on Digital Turbine, Inc. built from its complete SEC filings — financial-health screens, earnings quality, red flags and a price-aware rating. Reproducible math, not opinion.
F · Poor — capital at risk
Forensic grade
Distress
Financial health
0.1
Distress distance
Clean
Earnings quality
5
Forensic signals
-47.2
P / E (ttm)
-19.6%
ROE
$1.4B
Market cap
0.00%
Dividend yield
15.2%
Revenue growth
This free snapshot doesn't read filing or proxy text, so the auditor-quality and governance checks that can lower a grade were not evaluated (red flags, auditor quality, say on pay, board independence, going concern, valuation). Those checks only ever lower a grade, so the full analysis can land below the grade above but never above it — treat it as the most favourable reading, not the settled one.
Digital Turbine, Inc. earns an F (Poor — capital at risk) forensic quality grade, and its balance-sheet distress test reads 0.1, placing it in the Distress zone. 5 forensic signals were flagged in its latest SEC filings, led by return on invested capital.
What the filings flag
5.0%
FY2026
Return on invested capital.Return on invested capital is 5.0% in the latest fiscal year and rising across FY2024–FY2026 from -49.6%. After-tax operating profit was ($296M) in FY2024 and $27M in FY2026, with operating income at -68.8% of revenue in FY2024, -11.0% in FY2025 and 6.0% in FY2026. The capital base behind it cannot be compared across FY2024–FY2026: short-term debt is tagged in one of those two fiscal years and not the other, and an untagged line enters this calculation as zero, so any change in the base would be a change in what the filer tagged. FY2024's operating profit carried a $337M goodwill write-off that alone took about 44.6 points off that year's return, so about 44.6 of the 54.6-point rise across FY2024–FY2026 is that charge leaving the base year rather than the capital earning more.
+5.8%/yr
FY2024–FY2026
Share-count dilution.Diluted share count changed +12% over the last 2 years to FY2026 (+5.8%/yr). The count is growing: more stock was issued than repurchased over this window, so aggregate results grew faster than their per-share equivalents. That's ~5.8% shaved off per-share growth every year — total profit has to grow that much just to keep earnings-per-share flat, and a stake held since FY2024 has been diluted ~11%.
3% of rev
FY2026
Stock-based comp load.Stock-based compensation ran 3% of revenue and 146% of free cash flow in FY2026 — about $0.14 per diluted share. No cash left the business to pay it, which is why operating cash flow adds it back. Net of repurchases the diluted count still rose about 5.8% a year and that rate is not falling, so total profit has to grow by that much annually before any of it reaches a share. Stock compensation is one source of that issuance; acquisition consideration, equity raises, convertibles and other employee plans also net into the count, and these figures do not separate them.
162d DSO
Key fundamentals
Latest Revenue$565.3M
Revenue Growth YoY+15.2%
Revenue CAGR (2yr)+1.9%
Net Margin-6.7%
Free Cash Flow$11.2M
Return on Equity-19.6%
Debt / Equity1.88x
The forensic grade and screens above are free — no account needed. Want the AI investment read on top — the 0–100 rating, thesis, bull-vs-bear, red flags and the 12-month scenario, written from Digital Turbine, Inc.'s actual 10-K/10-Q/8-K filings?
Data from SEC EDGAR public filings · metrics as of Sep 25, 2026. Forensic signals flag probability, not certainty.
FY2025→FY2026
Receivables vs revenue.Days sales outstanding moved from 135 to 162 days FY2025→FY2026 (receivables +38% vs revenue +15%). Receivables are creeping up relative to sales. Across FY2024–FY2026 the day count ran 128 → 135 → 162 days, so the latest reading sits on top of a record that was flat or falling before it — one year's move, not a direction the business has been travelling in. Measured against the same quarter twelve months earlier — like-for-like on the calendar, so an ordinary seasonal build cannot produce it — receivables took longer to collect in 3 consecutive quarters (Dec 2025 +13, Mar 2026 +21, Jun 2026 +3 days). In the latest of them the receivable balance grew +29% against sales +27%, so more of a quarter's billings were still outstanding at the period end than a year earlier — money the company has recognized and not yet been paid. Both figures are measured on period-end balances rather than the beginning-plus-ending average, because averaging needs the balance a year before every reading — FY2025's opening balance is on file, but across the 3 fiscal years read here (FY2024–FY2026) the average yields only 2 day counts (1 step), too few to tell a climb from one year's move.
$337M
FY2024–FY2024
Goodwill impairments.Took $337M of goodwill writedowns across 1 year (FY2024 ($337M)). Writedowns mean past acquisitions underperformed what was paid for them.
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