Digital Brands Group (DBGI)
NASDAQ:DBGI
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Digital Brands Group
(NASDAQ:DBGI)
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Rating:45Neutral
Price Target:
$0.96
▼(-94.37% Downside)
Action:Reiterated
Date:06/10/26
The score is primarily held down by very weak financial performance—shrinking revenue, collapsing margins, extreme losses, and deeply negative free cash flow—indicating high operational and funding risk. Technicals also remain unfavorable with the price below key longer-term moving averages and a negative MACD. Corporate events provide some offset via insider buying and growth initiatives, but financing-related actions underscore ongoing capital dependence.
Positive Factors
Strategic Partnership & Initial Orders
The expanded GCC partnership and initial purchase orders create durable, diversified distribution channels beyond DTC and wholesale. Access to GCC's networks, events and hospitality can supply recurring bulk orders and broader brand reach, supporting scalable revenue streams and reduced concentration risk over multiple seasons.
Negative Factors
Collapsed Gross Margins and Large Net Losses
Dramatic margin compression and outsized net losses reflect weak unit economics and/or heavy non-operating charges. Such structural margin deterioration undermines ability to scale profitably, limits reinvestment, and raises risk that projected revenue gains won't translate into sustainable profitability without fundamental cost or pricing changes.
Read all positive and negative factors
Positive Factors
Negative Factors
Strategic Partnership & Initial Orders
The expanded GCC partnership and initial purchase orders create durable, diversified distribution channels beyond DTC and wholesale. Access to GCC's networks, events and hospitality can supply recurring bulk orders and broader brand reach, supporting scalable revenue streams and reduced concentration risk over multiple seasons.
Read all positive factors
Digital Brands Group (DBGI) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$28.73M
Dividend YieldN/A
Average Volume (3M)460.55K
Price to Earnings (P/E)―
Beta (1Y)0.44
Revenue Growth-30.71%
EPS Growth97.08%
CountryUS
Employees41
SectorConsumer Cyclical
Sector Strength84
IndustryApparel - Retail
Share Statistics
EPS (TTM)N/A
Shares Outstanding22,985,558
10 Day Avg. Volume126,535
30 Day Avg. Volume460,552
Financial Highlights & Ratios
PEG Ratio0.06
Price to Book (P/B)20.18
Price to Sales (P/S)23.98
P/FCF Ratio-11.15
Enterprise Value/Market Cap0.32
Enterprise Value/Revenue1.33
Enterprise Value/Gross Profit110.98
Enterprise Value/Ebitda-0.29
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)N/A
Revenue Forecast (FY)N/A
Digital Brands Group Business Overview & Revenue Model
Company Description
Digital Brands Group, Inc. (DBGI) functions as an apparel enterprise, distributing its diverse array of clothing labels both directly to consumers and via wholesale channels. Its brand portfolio includes DSTLD, which features denim garments, and A...
How the Company Makes Money
DBGI generates revenue primarily by selling branded apparel and related products. Its core revenue streams are (1) direct-to-consumer sales through its e-commerce sites, where it captures product revenue directly from end customers, and (2) wholes...
Digital Brands Group Financial Statement Overview
Summary
Income Statement
9
Very Negative
Balance Sheet
34
Negative
Cash Flow
6
Very Negative
| Breakdown | TTM | Dec 2025 | Mar 2025 | Mar 2024 | Mar 2023 | Mar 2022 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 6.83M | 7.38M | 11.56M | 14.92M | 10.33M | 7.58M |
| Gross Profit | 81.90K | 1.05M | 3.64M | 6.54M | 3.54M | 1.87M |
| EBITDA | -31.38M | -25.65M | -7.78M | 449.72K | -16.50M | -28.57M |
| Net Income | -37.55M | -28.25M | -13.11M | -10.25M | -38.04M | -32.36M |
Balance Sheet | ||||||
| Total Assets | 47.32M | 44.49M | 19.89M | 25.34M | 33.74M | 36.49M |
| Cash, Cash Equivalents and Short-Term Investments | 5.12M | 1.93M | 164.43K | 20.77K | 1.28M | 528.39K |
| Total Debt | 10.25M | 6.12M | 6.55M | 8.67M | 13.80M | 18.62M |
| Total Liabilities | 43.74M | 35.72M | 21.22M | 23.73M | 41.19M | 43.58M |
| Stockholders Equity | 3.58M | 8.77M | -1.33M | 1.60M | -7.45M | -7.09M |
Cash Flow | ||||||
| Free Cash Flow | -16.20M | -15.88M | -6.15M | -6.04M | -10.58M | -14.26M |
| Operating Cash Flow | -16.08M | -15.88M | -6.15M | -6.01M | -10.57M | -14.22M |
| Investing Cash Flow | -260.48K | 0.00 | 0.00 | 88.82K | -7.31M | -6.01M |
| Financing Cash Flow | 19.22M | 23.39M | 6.30M | 4.66M | 18.64M | 20.18M |
Digital Brands Group Technical Analysis
Neutral
17.13
Price Trends
1.29
Negative
3.11
Negative
6.18
Negative
Market Momentum
-0.11
Negative
56.05
Neutral
81.16
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DBGI, the sentiment is Neutral. The current price of 17.13 is above the 20-day moving average (MA) of 0.81, above the 50-day MA of 1.29, and above the 200-day MA of 6.18, indicating a neutral trend. The MACD of -0.11 indicates Negative momentum. The RSI at 56.05 is Neutral, neither overbought nor oversold. The STOCH value of 81.16 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for DBGI.
Digital Brands Group Risk Analysis
Digital Brands Group disclosed 40 risk factors in its most recent earnings report. Digital Brands Group reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Digital Brands Group Peers Comparison
UnderperformOutperform
Sector (61)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
62 Neutral | $157.93M | -47.96 | -21.26% | ― | 1.69% | 93.35% | |
61 Neutral | $18.38B | 12.79 | -2.54% | 3.03% | 1.52% | -15.83% | |
61 Neutral | $172.72M | -14.04 | -9.82% | ― | -8.42% | 79.65% | |
47 Neutral | $22.87M | -2,404.38 | -326.53% | ― | -8.96% | 83.08% | |
45 Neutral | $28.73M | -0.36 | -186.22% | ― | -30.71% | 97.08% | |
44 Neutral | $116.21M | 3.88 | -17.71% | ― | 16.39% | ― | |
41 Neutral | $33.23M | -0.41 | -173.54% | ― | -21.84% | 17.71% |
* Consumer Cyclical Sector Average
DBGI
Digital Brands Group
1.25
-10.80
-89.63%
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324.59%
DLTH
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4.53
2.53
126.50%
RENT
Rent the Runway
3.46
-1.92
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BIRD
Allbirds
3.77
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LVLU
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7.99
0.54
7.18%
Digital Brands Group Corporate Events
Business Operations and Strategy
Digital Brands CEO Buys Shares, Signaling Confidence Ahead
Positive
Jun 9, 2026
On June 3, 2026, Digital Brands Group disclosed that CEO John Hilburn “Hil” Davis IV purchased shares of the company’s common stock in open-market transactions that took place on June 1, 2026, the first insider open-market share ...
Business Operations and Strategy
Digital Brands Group Expands GCC Partnership to Drive Growth
Positive
Jun 5, 2026
On June 1, 2026, Digital Brands Group announced it had received initial purchase orders tied to its $125 million U.S. Program and expanded its partnership with Global Combat Collective, marking a concrete step in scaling this previously outlined i...
Business Operations and StrategyFinancial Disclosures
Digital Brands Group Issues 2026 Revenue and Cash Flow Guidance
Positive
May 18, 2026
On May 12, 2026, Digital Brands Group announced fiscal 2026 guidance, projecting revenue between $55 million and $65 million and free cash flow of $2.5 million to $3.5 million. The company also issued guidance for the period from July 1, 2026 thro...
Private Placements and FinancingRegulatory Filings and Compliance
Digital Brands Group Establishes ATM Equity Offering Agreement
Neutral
Apr 21, 2026
On April 15, 2026, Digital Brands Group, Inc. entered into an at-the-market issuance sales agreement with Aegis Capital Corp. that allows the company to issue and sell up to $100 million of its common stock from time to time under an effective she...
Private Placements and FinancingRegulatory Filings and Compliance
Digital Brands Group Amends Warrant Agreements to Raise Capital
Positive
Apr 20, 2026
On February 16, 2026, Digital Brands Group, Inc. entered into letter agreements with four existing warrant holders under which they agreed to immediately exercise 2,365,968 existing common share purchase warrants at $0.66 per share and to exercise...
Business Operations and StrategyPrivate Placements and Financing
Digital Brands Group Launches NIL Consulting and Equity Deal
Positive
Mar 18, 2026
On March 12, 2026, Digital Brands Group, Inc. entered into a three-year consulting agreement with Athlete Capital Sports LLC to guide the company’s participation in Pennsylvania State University’s NIL program for student-athletes, runn...
Business Operations and Strategy
Digital Brands Group Appoints New Securities Transfer Agent
Neutral
Mar 12, 2026
On March 5, 2026, Digital Brands Group, Inc. terminated VStock Transfer, LLC as its transfer agent and appointed ClearTrust LLC to serve as its new transfer agent and registrar for the company’s securities. As part of the change, all shareho...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.