DGIIDIGI INTERNATIONAL INC

Computer Communications Equipment

Revenue: $430M; 1.5% YoY
Operating margin: 13.1%; 15% YoY
EBITDA: $90M; 11% YoY
Market cap: $2.8B
Employees: 913; $471K revenue each
Net debt / EBITDA: 0.9×; $80M net debt
AI in 10-K: 2.7; mentions per 10K words

Takeover score 3 of 13

Fixable underperformance 1 of 7

TSR below peersNo
—
3+ of last 5 years
High CEO pay despite TSRNo
—
Median CEO pay ≥ $15M while TSR trails
Earnings not backed by cashNo
265% of net income
Cash flow under 80% of net income
Dilutive SBCNo
4% of revenue
Over 10% of revenue
Payouts exceed cash flowNo
6% of cash flow
Buybacks + dividends over cash flow
Goodwill-heavyYes
43% of assets
Over 40% of assets
Shareholder dissentNo
96% lowest support
Any vote under 80% support

Buyer economics 1 of 4

Low revenue per employeeNo
$471K · 58th pct
Bottom quartile of its SIC industry
Quiet on AINo
2.7 per 10K words · 66th pct
Bottom quartile of AI mentions in 10-Ks
Net cashNo
0.9× EBITDA net debt
More cash than debt, positive EBITDA
Buyout-sizedYes
$2.8B market cap
Market cap $500M–$5B

Catalysts 1 of 2

Active 13DNo
0 filings
Active-intent 13D in 18 months
Net insider sellingYes
−$11M net
Net sales over $10M in 12 months

Financials

Metric	FY2021	FY2022	FY2023	FY2024	FY2025	YoY	Trend
Revenue	$309M	$388M	$445M	$424M	$430M	1.5%
Operating income	$11M	$38M	$50M	$48M	$56M	17%
Net income	$10M	$19M	$25M	$23M	$41M	81%
Operating cash flow	$58M	$38M	$37M	$83M	$108M	30%
Capex	$2M	$2M	$4M	$2M	$3M	18%
Stock-based comp	$8M	$9M	$13M	$13M	$15M	17%
Buybacks	$2M	$7M	$4M	$4M	$7M	93%

Deal filings

None.

13D filers

None on file.

Insider trading

Open-market buys, 12 mo: $0 · 0
Open-market sells, 12 mo: $11M · 14
Net: −$11M

Pay vs performance

No pay-versus-performance disclosure yet.