Wednesday, October 27, 2021
Digerati Technologies (DTGI)
Scores A Decent Quarter
Digerati Technologies, Inc. (OTCQB: DTGI) is a telecom and technology provider of diverse, carrier-grade, Only in the Cloud™ communication and network solutions including Unified Communication as a Service, cloud telephony, cloud WAN, cloud call center, cloud mobile, and delivery of digital oxygen on its fiber/mobile broadband network. Digerati has developed a robust integration platform to fuel mergers and acquisitions in a highly fragmented market as it delivers flexible, cost-effective services with enterprise-grade quality and reliability. A multi-year recipient of Deloitte’s Fast500 and Fast50 Awards for one of the fastest growing technology companies in North America, Digerati has become an expert at successfully merging and managing subsidiary operations since 2015. The Company’s impressive tech-stack serves 28,000 business users on its platform and its dynamic channel program includes over 300 channel partners that serve as a conduit for sales growth. Digerati has continuously increased customer adoption while serving diverse industries including Healthcare, Banking, Financial Services, Legal, Real Estate, and Construction. Digerati currently has a strong platform for growth throughout Texas and Florida, the 2nd and 4th largest state economies by GDP in the U.S. The Company’s clean and clear fundamentals, combined with its clearly defined growth plan, disciplined acquisition strategy and seasoned leadership team is expected to increase shareholder value as it enters the next phase of its corporate development plan. For more information, please visit www.digerati-inc.com.
Michael Kupinski, Director of Research, Noble Capital Markets, Inc.
Refer to the full report for the price target, fundamental analysis, and rating.
In line Q4. Total company revenues increased 141.7% to $3.787 million, in line with our $3.775 million estimate. Revenues benefited from the year earlier acquisitions of Nexogy and ActivePBX and the significant increase in customers from 728 to 2,655 at year end. Adj. EBITDA of $748,000 was above our $375,000 estimate. The Q4 result variances are highlighted in this report.
Current focus, reduce expenses. The company is taking measures to reduce cash expenses, which include stock compensation for members of management. In addition, the company is focused on increasing recurring revenue, predominately through the use of its value-added resellers and channel partners …
This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).
*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision.