Why Digital Brands Group (DBGI) Stock Is Popping Off
Portfolio Pulse from Henry Khederian
Digital Brands Group Inc (NASDAQ:DBGI) shares surged by 287% to $11.09 following the company's reaffirmation of its fiscal year 2024 forecast, which includes revenue between $27 million and $30 million, internal free cash flow of $6 million to $7 million, and EBITDA of $1.5 million to $2.0 million. The company also announced no equity offerings for 2024 and a $1 million reduction in operating costs. CEO Hil Davis emphasized the exploration of strategic alternatives to maximize shareholder value.
February 13, 2024 | 3:43 pm
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Digital Brands Group Inc's stock price surged following the reaffirmation of its fiscal year 2024 forecast, with expected revenue between $27 million and $30 million, and EBITDA of $1.5 million to $2.0 million. The company also announced a reduction in operating costs by $1 million and no equity offerings for 2024.
The significant surge in DBGI's stock price can be attributed to the positive financial forecast for fiscal year 2024, which exceeded market expectations. The announcement of no equity offerings for 2024 and a reduction in operating costs by $1 million further bolster investor confidence in the company's financial health and operational efficiency. These factors are likely to have a positive short-term impact on the stock price.
CONFIDENCE 90
IMPORTANCE 90
RELEVANCE 100