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DGII vs DXC

DGII
Digi International Inc.
NEUTRAL
Price
$52.22
Market Cap
$1.96B
Sector
Technology
AI Confidence
85%
DXC
DXC Technology Company
NEUTRAL
Price
$11.88
Market Cap
$2.02B
Sector
Technology
AI Confidence
85%

Valuation

P/E Ratio
DGII
46.62
DXC
5.17
Forward P/E
DGII
19.88
DXC
3.61
P/B Ratio
DGII
3.02
DXC
0.64
P/S Ratio
DGII
4.38
DXC
0.16
EV/EBITDA
DGII
21.36
DXC
2.55

Profitability

Gross Margin
DGII
63.94%
DXC
24.25%
Operating Margin
DGII
13.33%
DXC
7.26%
Profit Margin
DGII
9.45%
DXC
3.33%
ROE
DGII
6.84%
DXC
12.93%
ROA
DGII
4.46%
DXC
4.19%

Growth

Revenue Growth
DGII
17.9%
DXC
-1.0%
Earnings Growth
DGII
14.8%
DXC
96.8%

Financial Health

Debt/Equity
DGII
0.23
DXC
1.27
Current Ratio
DGII
1.24
DXC
1.35
Quick Ratio
DGII
0.84
DXC
1.19

Dividends

Dividend Yield
DGII
--
DXC
--
Payout Ratio
DGII
0.0%
DXC
0.0%

AI Verdict

DGII NEUTRAL

DGII shows neutral fundamentals based on deterministic rules. Financial strength is stable (F-Score 4/9). Mixed signals with both opportunities and risks present.

Strengths
Strong revenue growth of 17.9%
Low debt with D/E ratio of 0.23
Risks
High valuation with P/E of 46.6
Premium vs Graham Number ($20.86)
DXC NEUTRAL

DXC presents a classic 'value trap' profile, characterized by a stable Piotroski F-Score of 4/9 and a massive valuation disconnect where the current price ($11.88) sits far below the Graham Number ($30.94) and Intrinsic Value ($67.85). While the company shows impressive earnings growth (96.8% YoY) and consistent quarterly beats, this is offset by stagnant to declining revenue growth (-1.00%) and a devastating long-term price trend (-62.5% over 5 years). The extreme low P/E (5.17) and P/B (0.64) suggest deep value, but the 0/100 technical trend and bearish insider sentiment indicate a lack of market confidence in a turnaround.

Strengths
Extreme valuation discount (P/E 5.17, P/B 0.64)
Consistent earnings surprise track record (3/4 recent beats)
Strong PEG ratio (0.49) suggesting earnings growth is undervalued
Risks
Negative organic revenue growth (-1.00% YoY)
High Debt/Equity (1.27) compared to sector average (0.70)
Severe long-term capital erosion (5Y Change -62.5%)

Compare Another Pair

DGII vs DXC: Head-to-Head Comparison

This page compares Digi International Inc. (DGII) and DXC Technology Company (DXC) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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