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How to Buy Digi International Inc. (DGII) Shares - Investment in Digi International Inc. (DGII) Stock

30 August 2025
6 min to read
How to buy Digi International Inc. (DGII) shares – Investment in Digi International Inc. (DGII) stock

Thinking about tapping into the explosive Internet of Things revolution? Digi International (DGII) represents a unique opportunity to invest in the backbone of connected technology. This Minnesota-based company has been quietly building the infrastructure that powers everything from smart cities to industrial automation. With IoT projected to become a $1.5 trillion market by 2030, understanding how to buy Digi International Inc. (DGII) shares could be your gateway to this technological transformation.

📈 Current Market Position and Entry Point Analysis

As of August 30, 2025, Digi International Inc. (DGII) shares trade at $32.15 on the NASDAQ exchange. This price represents an interesting entry point considering the company’s recent performance and strategic developments.

Critical Date Alert: Mark your calendar for November 12, 2025 – that’s when Digi International releases its next quarterly earnings report. Historical patterns show these events significantly impact DGII’s stock price movement.

Earnings Impact Analysis: Learning from Recent History

Looking at the company’s most recent earnings release on August 6, 2025 provides valuable insights for timing your investment in Digi International Inc. (DGII) stock:

Date Event Pre-News Price Post-News Change Key Takeaway
Aug 6, 2025 Q3 Earnings Beat $31.80 +2.1% (1 week) EPS of $0.53 beat estimates by 3.92%
May 2025 Q2 Results $29.50 +8.2% (2 weeks) Strong ARR growth of 12% YoY
Feb 2025 Q1 Earnings $27.80 +5.4% (1 week) Debt reduction of $25M impressed markets
Nov 2024 Q4 2024 $26.20 +3.8% (5 days) Guidance exceeded expectations
Aug 2024 Q3 2024 $25.90 -1.2% (miss) Margin pressures concerned investors
May 2024 Product Launch $24.50 +6.1% (1 week) New IoT platform generated excitement

Pattern Insight: Digi International typically experiences 3-8% price movements around earnings, with positive surprises creating sustained upward momentum. The August 2025 results particularly demonstrated how beating both revenue and earnings estimates can drive investor confidence.

📊 Six-Month Performance Journey (March-August 2025)

Digi International shares have delivered impressive returns over the past six months, gaining 23.09% during this period according to market data from MarketBeat. Here’s how the journey unfolded:

Month Price Range Key Catalyst
March 2025 $26.20-$27.80 Post-Q2 earnings optimism
April 2025 $28.50-$29.20 IoT market expansion news
May 2025 $29.80-$31.40 Strong Q2 results announcement
June 2025 $30.20-$32.80 Industry recognition awards
July 2025 $31.50-$33.20 Acquisition rumors surface
August 2025 $32.15-$34.75 Jolt Software acquisition finalized

The consistent upward trajectory reflects several positive fundamentals: double-digit Annual Recurring Revenue growth, expanding gross margins reaching 60.6%, and strategic debt reduction totaling $55 million over two quarters.

🔮 Price Forecast: 2025-2030 Outlook

Based on comprehensive analyst coverage and the company’s strategic positioning, here’s what investors might expect when considering how to buy Digi International Inc. (DGII) shares:

2025 Year-End Target: $37-$40 range (15-24% upside from current levels)
Analysts from StockAnalysis.com project an average price of $37.06 for 2025, with high estimates reaching $44.62. The recent Jolt Software acquisition and raised guidance support this optimistic outlook.

2026 Projection: $42-$48
Accelerating ARR growth and integration synergies from recent acquisitions should drive continued expansion. The company’s target of $200 million ARR by 2028 suggests compound annual growth rates that support higher valuations.

2028 Outlook: $55-$65
By 2028, Digi International should achieve its strategic goals including no net debt position and dominant market share in industrial IoT connectivity solutions.

2030 Vision: $75-$90+
The IoT market’s projected growth to $1.5 trillion by 2030 positions early leaders like Digi International for substantial multiple expansion and market capitalization growth.

Current Verdict: BUY – The combination of reasonable valuation (forward P/E of 16.23), strong fundamentals, and strategic positioning in a high-growth market makes DGII an attractive investment at current levels.

⚠️ Risk Assessment: What Could Go Wrong?

While the how to buy Digi International Inc. (DGII) shares story appears compelling, every investment carries risks:

  • Competitive Pressures: The IoT space is becoming increasingly crowded with both tech giants and specialized startups entering the market. Companies like Samsara are capturing investor attention with hypergrowth SaaS models.
  • Macroeconomic Sensitivity: Industrial customers may delay IoT investments during economic uncertainty, impacting Digi’s project-based revenue streams.
  • Execution Risk: Integrating the Jolt Software acquisition while maintaining operational efficiency requires careful management and could temporarily impact margins.
  • Technology Disruption: Rapid technological changes in connectivity standards (5G/6G, satellite IoT) could require significant R&D investments to maintain competitiveness.

🟢 Positive Signals: Why Now Might Be the Time

Despite risks, several compelling factors support investment in Digi International Inc. (DGII) stock:

  • Strategic Acquisition: The $145.5 million Jolt Software purchase (official announcement) adds $20 million in ARR and provides immediate EPS accretion.
  • Financial Discipline: Paying down $55 million in debt over two quarters demonstrates strong cash flow generation and balance sheet improvement.
  • Industry Recognition: Digi X-ON winning the 2025 Industrial IoT Product of the Year Award validates their technology leadership (award details).
  • Growing Recurrence: ARR reached $123 million with 30% year-over-year growth, providing revenue visibility and stability.

🛡️ Beginner Trader Action Plan Today

Based on current analysis, here’s what makes sense for someone learning how to buy Digi International Inc. (DGII) shares:

  1. Start Small: Begin with a position representing 2-3% of your portfolio – enough to matter if right, not devastating if wrong
  2. Dollar-Cost Average: Consider building your position over several weeks rather than one lump sum purchase
  3. Set Price Alerts: Monitor for potential dips below $31, which could provide better entry points
  4. Earnings Strategy: Plan to add to your position if the November earnings show continued execution

Humorous veteran wisdom: “Trading DGII is like IoT connectivity – sometimes you get static, but when the signal clears, the data flow is beautiful. Just don’t try to reboot your position during earnings volatility!”

✅ Step-by-Step: How to Buy Digi International Inc. (DGII) Shares

Step Action Why It Matters
1 Choose Your Platform Select a brokerage that offers NASDAQ trading with reasonable fees
2 Fund Your Account Transfer funds – many platforms allow instant trading with bank transfers
3 Search “DGII” Use the ticker symbol, not just the company name
4 Select Order Type Use limit orders to control your entry price rather than market orders
5 Review and Confirm Double-check order details including quantity and price before submitting
6 Monitor Your Position Set up price alerts and track company news for ongoing management

💡 Why Pocket Option Appeals to New DGII Investors

For those exploring how to buy Digi International Inc. (DGII) shares, Pocket Option offers several advantages that align well with building positions in growth stocks like DGII:

  • Minimal Barrier to Entry: With a $5 minimum deposit, you can start building your DGII position without significant capital commitment, perfect for testing strategies or gradual accumulation.
  • Rapid Account Setup: The 1-minute KYC process using any single document means you can move from registration to trading DGII shares faster than traditional brokers.
  • Flexible Withdrawal Options: Over 100 withdrawal methods provide liquidity flexibility when you decide to take profits from your DGII investment.

The platform’s user-friendly interface combined with these practical features makes Pocket Option particularly suitable for investors who want to build positions in promising IoT stocks like Digi International through systematic, disciplined approaches.

🌍 Digi International in 2025: IoT Connectivity Leader

Digi International has evolved from a hardware-focused company into a comprehensive IoT solutions provider serving multiple industries including industrial automation, smart cities, healthcare, and transportation. The company’s official website showcases their complete ecosystem of cellular routers, embedded modules, and management platforms.

The business operates through two main segments: IoT Products & Services (generating $80 million quarterly revenue) and IoT Solutions, with the former achieving impressive 60.6% gross margins in recent quarters. Their Digi Remote Manager platform supports device networks of any size, while the award-winning Digi X-ON platform demonstrates their innovation leadership.

2025 Interesting Fact: Digi International’s headquarters features a “connected building” implementation where every elevator dispenses different fragrances on each floor, with employees voting weekly on scent preferences through their internal IoT system – literally making connectivity part of their corporate culture!

FAQ

What makes DGII different from other IoT stocks?

Digi International focuses on mission-critical industrial applications rather than consumer IoT, providing more stable revenue streams and higher margins through their hardware-plus-software approach.

How often does DGII pay dividends?

Digi International does not currently pay dividends, preferring to reinvest profits into growth initiatives, acquisitions, and debt reduction to enhance shareholder value through capital appreciation.

What's the biggest risk for DGII investors?

The primary risk is competition from both larger technology companies and specialized IoT startups, though Digi's focus on industrial applications provides some defensive characteristics.

How does the Jolt acquisition affect DGII's value?

The $145.5 million acquisition adds immediate ARR, provides tax benefits through NOL carryforwards, and is expected to be immediately accretive to earnings while expanding their market reach.

Is this a good time to buy DGII shares?

Current levels around $32 represent reasonable valuation given growth prospects, though dollar-cost averaging over several weeks might provide better average entry prices given market volatility.

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