Investors who might be looking for stocks in the cloud services sector could consider having a look at the Digerati Technologies Inc (OTC: DTGI) stock.
The company, which is involved in providing cloud services solutions, announced its financial results yesterday and the stock surged as a reaction. After Digerati announced its financial results for the quarter ended on January 31 this year, the stock rallied strongly as well and shot up 22%.
In such a situation, it might be a good idea for investors to take a closer look. In the aforementioned quarter, the company managed to generate non-GAAP (generally accepted accounting principles) operating EBITDA of $0.447 million. Once adjusted, the EBITDA for the period came in at $0.247 million. On the other hand, the margins improved considerably to as high as 56.9%. Hence, the rally in the stock is perhaps understandable. However, it will be interesting to see if the Digerati stock can maintain its momentum through the rest of the week.