What Analysts Are Saying About Dynatrace Stock

Across the recent three months, 6 analysts have shared their insights on Dynatrace DT, expressing a variety of opinions spanning from bullish to bearish.

The table below offers a condensed view of their recent ratings, showcasing the changing sentiments over the past 30 days and comparing them to the preceding months.

Analysts provide deeper insights through their assessments of 12-month price targets, revealing an average target of $65.0, a high estimate of $70.00, and a low estimate of $60.00. Marking an increase of 12.85%, the current average surpasses the previous average price target of $57.60.

Decoding Analyst Ratings: A Detailed Look

The standing of Dynatrace among financial experts is revealed through an in-depth exploration of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Responding to changing market dynamics and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their response to recent developments related to Dynatrace. This offers insight into analysts' perspectives on the current state of the company.
• Rating: Delving into assessments, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings communicate expectations for the relative performance of Dynatrace compared to the broader market.
• Price Targets: Analysts provide insights into price targets, offering estimates for the future value of Dynatrace's stock. This comparison reveals trends in analysts' expectations over time.

Navigating through these analyst evaluations alongside other financial indicators can contribute to a holistic understanding of Dynatrace's market standing. Stay informed and make data-driven decisions with our Ratings Table.

Stay up to date on Dynatrace analyst ratings.

About Dynatrace

Dynatrace is a cloud-native company that focuses on analyzing machine data. Its product portfolio, delivered as software as a service, allows a client to monitor and analyze its entire IT infrastructure. Dynatrace's platform can ingest and analyze large amounts of machine-generated data in real time, allowing clients to use it for a variety of applications throughout their businesses.

A Deep Dive into Dynatrace's Financials

Market Capitalization Analysis: Positioned below industry benchmarks, the company's market capitalization faces constraints in size. This could be influenced by factors such as growth expectations or operational capacity.

Revenue Growth: Over the 3 months period, Dynatrace showcased positive performance, achieving a revenue growth rate of 25.91% as of 30 September, 2023. This reflects a substantial increase in the company's top-line earnings. As compared to competitors, the company surpassed expectations with a growth rate higher than the average among peers in the Information Technology sector.

Net Margin: Dynatrace's net margin lags behind industry averages, suggesting challenges in maintaining strong profitability. With a net margin of 10.18%, the company may face hurdles in effective cost management.

Return on Equity (ROE): Dynatrace's ROE falls below industry averages, indicating challenges in efficiently using equity capital. With an ROE of 2.04%, the company may face hurdles in generating optimal returns for shareholders.

Return on Assets (ROA): The company's ROA is below industry benchmarks, signaling potential difficulties in efficiently utilizing assets. With an ROA of 1.3%, the company may need to address challenges in generating satisfactory returns from its assets.

Debt Management: Dynatrace's debt-to-equity ratio is below the industry average. With a ratio of 0.04, the company relies less on debt financing, maintaining a healthier balance between debt and equity, which can be viewed positively by investors.

The Basics of Analyst Ratings

Within the domain of banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their work involves attending company conference calls and meetings, researching company financial statements, and communicating with insiders to publish "analyst ratings" for stocks. Analysts typically assess and rate each stock once per quarter.

Some analysts publish their predictions for metrics such as growth estimates, earnings, and revenue to provide additional guidance with their ratings. When using analyst ratings, it is important to keep in mind that stock and sector analysts are also human and are only offering their opinions to investors.

This article was generated by Benzinga's automated content engine and reviewed by an editor.