Digi International Reports Record Revenue and Recurring Growth

Digi International Inc. reported record revenue and a 50% increase in annualized recurring revenue, fueling a significant rise in its stock price. The Internet of Things technology provider is shifting toward a recurring revenue-oriented business model, which management expects will drive future earnings growth and margin expansion.

As of August 5, 2026, the company closed at $72.75 per share with a market capitalization of $2.74 billion. This performance represents a 126.64% gain over the previous 52 weeks.

Conestoga Capital Advisors, LLC identified the company as a notable contributor in its second-quarter 2026 investor letter, highlighting the impact of the company's financial growth and strategic transition.