Direct Digital Holdings Stock Price To Sales
| DRCT Stock | USD 3.32 0.05 1.48% |
Direct Digital Holdings fundamentals help investors to digest information that contributes to Direct Digital's financial success or failures. It also enables traders to predict the movement of Direct Stock. The fundamental analysis module provides a way to measure Direct Digital's intrinsic value by examining its available economic and financial indicators, including the cash flow records, the balance sheet account changes, the income statement patterns, and various microeconomic indicators and financial ratios related to Direct Digital stock.
| Last Reported | Projected for Next Year | ||
| Price To Sales Ratio | 1.35 | 0.88 |
Direct | Price To Sales |
Direct Digital Holdings Company Price To Sales Analysis
Direct Digital's Price to Sales ratio is typically used for valuing equity relative to its own past performance as well as to performance of other companies or market indexes. In most cases, the lower the ratio, the better it is for investors. However, it is advisable for investors to exercise caution when looking at price-to-sales ratios across different industries.
Current Direct Digital Price To Sales | 0.86 X |
Most of Direct Digital's fundamental indicators, such as Price To Sales, are part of a valuation analysis module that helps investors searching for stocks that are currently trading at higher or lower prices than their real value. If the real value is higher than the market price, Direct Digital Holdings is considered to be undervalued, and we provide a buy recommendation. Otherwise, we render a sell signal.
Direct Price To Sales Driver Correlations
Understanding the fundamental principles of building solid financial models for Direct Digital is extremely important. It helps to project a fair market value of Direct Stock properly, considering its historical fundamentals such as Price To Sales. Since Direct Digital's main accounts across its financial reports are all linked and dependent on each other, it is essential to analyze all possible correlations between related accounts. However, instead of reviewing all of Direct Digital's historical financial statements, investors can examine the correlated drivers to determine its overall health. This can be effectively done using a conventional correlation matrix of Direct Digital's interrelated accounts and indicators.
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Direct Price To Sales Historical Pattern
Today, most investors in Direct Digital Stock are looking for potential investment opportunities by analyzing not only static indicators but also various Direct Digital's growth ratios. Consistent increases or drops in fundamental ratios usually indicate a possible pattern that can be successfully translated into profits. However, when comparing two companies, knowing each company's price to sales growth rates may not be enough to decide which company is a better investment. That's why investors frequently use a static breakdown of Direct Digital price to sales as a starting point in their analysis.
Direct Digital Price To Sales |
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The most critical factor to remember is that the price of equity takes a firm's debt into account, whereas the sales indicators do not consider financial leverage. Generally speaking, Price to Sales ratio shows how much market values every dollar of the company's sales.
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Direct Price To Sales Ratio
Price To Sales Ratio |
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Based on the latest financial disclosure, Direct Digital Holdings has a Price To Sales of 0.8611 times. This is 96.79% lower than that of the Entertainment sector and significantly higher than that of the Communication Services industry. The price to sales for all United States stocks is 92.46% higher than that of the company.
Direct Price To Sales Peer Comparison
Stock peer comparison is one of the most widely used and accepted methods of equity analyses. It analyses Direct Digital's direct or indirect competition against its Price To Sales to detect undervalued stocks with similar characteristics or determine the stocks which would be a good addition to a portfolio. Peer analysis of Direct Digital could also be used in its relative valuation, which is a method of valuing Direct Digital by comparing valuation metrics of similar companies.Direct Digital is rated # 4 in price to sales category among related companies.
Direct Digital ESG Sustainability
Some studies have found that companies with high sustainability scores are getting higher valuations than competitors with lower social-engagement activities. While most ESG disclosures are voluntary and do not directly affect the long term financial condition, Direct Digital's sustainability indicators can be used to identify proper investment strategies using environmental, social, and governance scores that are crucial to Direct Digital's managers, analysts, and investors.Environmental | Governance | Social |
Direct Fundamentals
| Return On Equity | 0.57 | |||
| Return On Asset | 0.0653 | |||
| Profit Margin | 0.01 % | |||
| Operating Margin | 0.0009 % | |||
| Current Valuation | 73.47 M | |||
| Shares Outstanding | 3.48 M | |||
| Shares Owned By Insiders | 12.84 % | |||
| Shares Owned By Institutions | 15.23 % | |||
| Number Of Shares Shorted | 118.15 K | |||
| Price To Earning | 16.53 X | |||
| Price To Book | 20.94 X | |||
| Price To Sales | 0.86 X | |||
| Revenue | 157.11 M | |||
| Gross Profit | 28 M | |||
| EBITDA | 9.02 M | |||
| Net Income | 1.99 M | |||
| Cash And Equivalents | 4.92 M | |||
| Cash Per Share | 1.55 X | |||
| Total Debt | 30.95 M | |||
| Debt To Equity | 4.47 % | |||
| Current Ratio | 1.14 X | |||
| Book Value Per Share | 0.16 X | |||
| Cash Flow From Operations | 2.82 M | |||
| Short Ratio | 1.19 X | |||
| Earnings Per Share | 0.13 X | |||
| Target Price | 19.67 | |||
| Beta | 8.23 | |||
| Market Capitalization | 47.63 M | |||
| Total Asset | 69.01 M | |||
| Retained Earnings | (3.48 M) | |||
| Working Capital | 4.91 M | |||
| Net Asset | 69.01 M |
About Direct Digital Fundamental Analysis
The Macroaxis Fundamental Analysis modules help investors analyze Direct Digital Holdings's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Direct Digital using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Direct Digital Holdings based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.
Please read more on our fundamental analysis page.
Pair Trading with Direct Digital
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Direct Digital position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Direct Digital will appreciate offsetting losses from the drop in the long position's value.Moving together with Direct Stock
| 0.74 | DLPN | Dolphin Entertainment | PairCorr |
Moving against Direct Stock
| 0.9 | WLYB | John Wiley Sons | PairCorr |
| 0.79 | GCI | Gannett Earnings Call This Week | PairCorr |
| 0.59 | SE | Sea | PairCorr |
| 0.52 | TV | Grupo Televisa SAB | PairCorr |
The ability to find closely correlated positions to Direct Digital could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Direct Digital when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Direct Digital - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Direct Digital Holdings to buy it.
The correlation of Direct Digital is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Direct Digital moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Direct Digital Holdings moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Direct Digital can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Check out Direct Digital Piotroski F Score and Direct Digital Altman Z Score analysis. Note that the Direct Digital Holdings information on this page should be used as a complementary analysis to other Direct Digital's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Portfolio Rebalancing module to analyze risk-adjusted returns against different time horizons to find asset-allocation targets.
Complementary Tools for Direct Stock analysis
When running Direct Digital's price analysis, check to measure Direct Digital's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Direct Digital is operating at the current time. Most of Direct Digital's value examination focuses on studying past and present price action to predict the probability of Direct Digital's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Direct Digital's price. Additionally, you may evaluate how the addition of Direct Digital to your portfolios can decrease your overall portfolio volatility.
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Is Direct Digital's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Direct Digital. If investors know Direct will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Direct Digital listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth 3.022 | Earnings Share 0.13 | Revenue Per Share 11.036 | Quarterly Revenue Growth 0.334 | Return On Assets 0.0653 |
The market value of Direct Digital Holdings is measured differently than its book value, which is the value of Direct that is recorded on the company's balance sheet. Investors also form their own opinion of Direct Digital's value that differs from its market value or its book value, called intrinsic value, which is Direct Digital's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Direct Digital's market value can be influenced by many factors that don't directly affect Direct Digital's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Direct Digital's value and its price as these two are different measures arrived at by different means. Investors typically determine if Direct Digital is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Direct Digital's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.