Beyond The Numbers: 16 Analysts Discuss Dynatrace Stock

In the preceding three months, 16 analysts have released ratings for Dynatrace DT, presenting a wide array of perspectives from bullish to bearish.

Summarizing their recent assessments, the table below illustrates the evolving sentiments in the past 30 days and compares them to the preceding months.

Analysts have set 12-month price targets for Dynatrace, revealing an average target of $64.38, a high estimate of $70.00, and a low estimate of $52.00. This upward trend is apparent, with the current average reflecting a 4.01% increase from the previous average price target of $61.90.

Analyzing Analyst Ratings: A Detailed Breakdown

The standing of Dynatrace among financial experts becomes clear with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts adapt their recommendations to changing market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their response to recent developments related to Dynatrace. This information provides a snapshot of how analysts perceive the current state of the company.
• Rating: Gaining insights, analysts provide qualitative assessments, ranging from 'Outperform' to 'Underperform'. These ratings reflect expectations for the relative performance of Dynatrace compared to the broader market.
• Price Targets: Delving into movements, analysts provide estimates for the future value of Dynatrace's stock. This analysis reveals shifts 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.

Unveiling the Story Behind 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.

Dynatrace's Economic Impact: An Analysis

Market Capitalization: Boasting an elevated market capitalization, the company surpasses industry averages. This signals substantial size and strong market recognition.

Positive Revenue Trend: Examining Dynatrace's financials over 3 months reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 22.74% as of 31 December, 2023, showcasing a substantial increase in top-line earnings. When compared to others in the Information Technology sector, the company excelled with a growth rate higher than the average among peers.

Net Margin: Dynatrace's financial strength is reflected in its exceptional net margin, which exceeds industry averages. With a remarkable net margin of 11.69%, the company showcases strong profitability and effective cost management.

Return on Equity (ROE): Dynatrace's ROE lags behind industry averages, suggesting challenges in maximizing returns on equity capital. With an ROE of 2.3%, the company may face hurdles in achieving optimal financial performance.

Return on Assets (ROA): The company's ROA is a standout performer, exceeding industry averages. With an impressive ROA of 1.48%, the company showcases effective utilization of assets.

Debt Management: Dynatrace's debt-to-equity ratio is below the industry average at 0.04, reflecting a lower dependency on debt financing and a more conservative financial approach.

The Significance of Analyst Ratings Explained

Experts in banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their comprehensive research involves attending company conference calls and meetings, analyzing financial statements, and engaging with insiders to generate what are known as analyst ratings for stocks. Typically, analysts assess and rate each stock once per quarter.

Analysts may supplement their ratings with predictions for metrics like growth estimates, earnings, and revenue, offering investors a more comprehensive outlook. However, investors should be mindful that analysts, like any human, can have subjective perspectives influencing their forecasts.

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