Digital Turbine cut to Underperform at BofA on lack of clear turnaround timeline

As previously reported, BofA analyst Omar Dessouky downgraded Digital Turbine (APPS) to Underperform from Neutral with a price target of $1, down from $3.50. Increased competition in performance advertising, slower than expected progress from growth initiatives and a lack of a visible catalyst led to the firm’s more cautious view, the analyst tells investors. The revised FY25 growth outlook would imply a third straight year of topline declines and the timeline to resume growth is “increasingly less clear,” the analyst tells investors.