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Digimarc Corporation (DMRC)



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Upturn Advisory Summary
08/28/2025: DMRC (1-star) is currently NOT-A-BUY. Pass it for now.
1 Year Target Price $20
1 Year Target Price $20
0 | Strong Buy |
1 | Buy |
1 | Hold |
0 | Sell |
0 | Strong Sell |
Analysis of Past Performance
Type Stock | Historic Profit -4.7% | Avg. Invested days 36 | Today’s Advisory PASS |
Upturn Star Rating ![]() ![]() | Upturn Advisory Performance ![]() | Stock Returns Performance ![]() |
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Key Highlights
Company Size Small-Cap Stock | Market Capitalization 184.94M USD | Price to earnings Ratio - | 1Y Target Price 20 |
Price to earnings Ratio - | 1Y Target Price 20 | ||
Volume (30-day avg) 2 | Beta 1.46 | 52 Weeks Range 7.83 - 48.32 | Updated Date 08/28/2025 |
52 Weeks Range 7.83 - 48.32 | Updated Date 08/28/2025 | ||
Dividends yield (FY) - | Basic EPS (TTM) -1.83 |
Analyzing Revenue: Products, Geography and Growth
Revenue by Products
Product revenue - Year on Year
Revenue by Geography
Geography revenue - Year on Year
Earnings Date
Report Date 2025-08-14 | When - | Estimate -0.32 | Actual -0.11 |
Profitability
Profit Margin -110.92% | Operating Margin (TTM) -105.19% |
Management Effectiveness
Return on Assets (TTM) -30.15% | Return on Equity (TTM) -63.65% |
Valuation
Trailing PE - | Forward PE - | Enterprise Value 172569830 | Price to Sales(TTM) 5.21 |
Enterprise Value 172569830 | Price to Sales(TTM) 5.21 | ||
Enterprise Value to Revenue 4.86 | Enterprise Value to EBITDA -11.51 | Shares Outstanding 21681400 | Shares Floating 13676822 |
Shares Outstanding 21681400 | Shares Floating 13676822 | ||
Percent Insiders 29.49 | Percent Institutions 64.03 |
Upturn AI SWOT
Digimarc Corporation

Company Overview
History and Background
Digimarc Corporation was founded in 1995 in Tualatin, Oregon. Originally focused on digital watermarking, it has evolved into a company providing product digitization solutions that enhance packaging, retail, and brand protection.
Core Business Areas
- Product Digitization Platform: Offers a comprehensive platform for product digitization, including the creation and management of Digimarc Barcodes, enabling enhanced packaging, supply chain traceability, and consumer engagement.
- Retail Solutions: Provides solutions for retail automation, including checkout efficiency improvements and inventory management using Digimarc Barcode and associated technologies.
- Brand Protection: Offers solutions to protect brands against counterfeiting and diversion through covert and overt authentication technologies integrated with digital watermarks.
Leadership and Structure
Riley McCormack serves as the CEO. The organizational structure is designed to support its three core business areas, with departments focusing on technology, sales, marketing, and operations.
Top Products and Market Share
Key Offerings
- Digimarc Barcode: This is an imperceptible barcode that can be repeated across the entire surface of packaging. It enhances barcode scanning efficiency at retail and improves supply chain visibility. Market share data is not publicly available, but competitors include GS1 (for standard barcodes) and other specialized marking solutions providers. Revenue from this product is not publicly available. Competitors include HP (for print solutions) and companies offering RFID tagging.
- Digimarc Verify: This is a mobile application that allows anyone with a smartphone to scan and verify the authenticity of products. Revenue data is not publicly available. Competitors include companies that provide product authentication solutions, such as Systech.
Market Dynamics
Industry Overview
The industry is experiencing growth driven by the increasing need for product authentication, supply chain traceability, and enhanced retail automation. Key trends include the adoption of digital watermarking, the rise of smart packaging, and the demand for solutions that combat counterfeiting.
Positioning
Digimarc is positioned as a leader in product digitization, offering a comprehensive platform that integrates digital watermarking, barcode technology, and cloud-based services. Its competitive advantage lies in its patented Digimarc Barcode technology and its ability to enhance packaging and retail operations.
Total Addressable Market (TAM)
The TAM for product digitization and brand protection is estimated to be in the billions of dollars. Digimarc is positioned to capture a significant portion of this market by providing comprehensive solutions for packaging enhancement, retail automation, and brand security.
Upturn SWOT Analysis
Strengths
- Patented Digimarc Barcode technology
- Comprehensive product digitization platform
- Strong focus on innovation
- Established partnerships with retailers and brands
Weaknesses
- Relatively small market capitalization
- Dependence on adoption of Digimarc technology by retailers and manufacturers
- Limited brand awareness compared to larger competitors
- Inconsistent profitability historically
Opportunities
- Expanding adoption of Digimarc Barcode in retail and packaging
- Increasing demand for product authentication solutions
- Growth in e-commerce and online brand protection
- Strategic partnerships with technology providers
Threats
- Competition from alternative barcode technologies
- Emergence of new counterfeiting techniques
- Economic downturn impacting retail spending
- Changes in industry standards and regulations
Competitors and Market Share
Key Competitors
- GS1
- Systech
Competitive Landscape
Digimarc's advantage lies in its patented technology, but it faces competition from established players with larger customer bases and broader product portfolios. Its success depends on its ability to demonstrate the value of its solutions and secure partnerships with key industry stakeholders.
Major Acquisitions
Attributor
- Year: 2012
- Acquisition Price (USD millions): 12.5
- Strategic Rationale: Strengthen Digimarc's content protection solutions.
Growth Trajectory and Initiatives
Historical Growth: Digimarc's historical growth has been variable, reflecting the pace of adoption of its technology and the evolving market dynamics of retail and brand protection.
Future Projections: Analyst projections suggest potential for revenue growth driven by increased adoption of Digimarc Barcode and expansion into new markets. However, actual results may vary.
Recent Initiatives: Recent strategic initiatives include partnerships with retailers and packaging companies, investments in new technology development, and expansion of its brand protection solutions.
Summary
Digimarc is an innovative company with a unique technology in product digitization. While its patented Digimarc Barcode offers significant advantages, its success hinges on wider adoption by retailers and manufacturers. Financial performance has been inconsistent, requiring careful monitoring of its growth initiatives and market penetration. Investors should also keep an eye on the competitive landscape and potential threats from alternative technologies.
Peer Comparison
Sources and Disclaimers
Data Sources:
- Digimarc Corporation Investor Relations
- SEC Filings (10-K, 10-Q)
- Industry Reports
- Analyst Reports
- Company Press Releases
Disclaimers:
This analysis is based on publicly available information and is intended for informational purposes only. It is not financial advice, and investors should conduct their own due diligence before making any investment decisions. Market share figures are estimates and may vary depending on the source.
AI Summarization is directionally correct and might not be accurate.
Summarized information shown could be a few years old and not current.
Fundamental Rating based on AI could be based on old data.
AI-generated summaries may have inaccuracies (hallucinations). Please verify the information before taking action.
About Digimarc Corporation
Exchange NASDAQ | Headquaters Beaverton, OR, United States | ||
IPO Launch date 1999-12-02 | CEO, President & Director Mr. Riley Young McCormack | ||
Sector Technology | Industry Software - Application | Full time employees 215 | Website https://www.digimarc.com |
Full time employees 215 | Website https://www.digimarc.com |
Digimarc Corporation, together with its subsidiaries, provides digital watermarking solutions in the United States and internationally. The company offers Digimarc Illuminate software as a service cloud-based platform that provides the tools for the application of advanced digital watermarks and dynamic quick response codes; software that enables various systems and devices to interact with data carriers; and a platform to capture insights about digital interactions and automating activities. It also provides Digimarc Automate, an automated product inspection solution for accuracy and efficiency in production, fulfillment, and distribution facilities; Digimarc Engage, consumer engagement solution activates products and multimedia to create and leverage an interactive communications channel; Digimarc Recycle sortation software; Digimarc Retail Experience for retail checkout systems; and Digimarc Validate supports authentication to help ensure online interactions can be trusted and that real products and digital assets are genuine. The company offers its solutions to retailers, consumer brands, their suppliers and related solution providers, as well as media, entertainment, and other customers; and central banks and other government customers through its sales personnel and business partners. Digimarc Corporation was incorporated in 2008 and is based in Beaverton, Oregon.

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