13 Analysts Assess Dynatrace: What You Need To Know

In the preceding three months, 13 analysts have released ratings for Dynatrace DT, presenting a wide array of perspectives from bullish to bearish.

The following table encapsulates their recent ratings, offering a glimpse into the evolving sentiments over the past 30 days and comparing them to the preceding months.

Insights from analysts' 12-month price targets are revealed, presenting an average target of $56.0, a high estimate of $68.00, and a low estimate of $45.00. A decline of 8.69% from the prior average price target is evident in the current average.

Diving into Analyst Ratings: An In-Depth Exploration

In examining recent analyst actions, we gain insights into how financial experts perceive Dynatrace. The following summary outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts respond to changes in market conditions and company performance, frequently updating their recommendations. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Dynatrace. This information offers a snapshot of how analysts perceive the current state of the company.
• Rating: Analysts assign qualitative assessments to stocks, ranging from 'Outperform' to 'Underperform'. These ratings convey the analysts' 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.

To gain a panoramic view of Dynatrace's market performance, explore these analyst evaluations alongside essential financial indicators. Stay informed and make judicious decisions using our Ratings Table.

Stay up to date on Dynatrace analyst ratings.

Delving into Dynatrace's Background

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.

Financial Milestones: Dynatrace's Journey

Market Capitalization Analysis: The company's market capitalization is below the industry average, suggesting that it is relatively smaller compared to peers. This could be due to various factors, including perceived growth potential or operational scale.

Revenue Growth: Dynatrace displayed positive results in 3 months. As of 31 March, 2024, the company achieved a solid revenue growth rate of approximately 21.11%. This indicates a notable 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 excels beyond industry benchmarks, reaching 9.96%. This signifies efficient cost management and strong financial health.

Return on Equity (ROE): Dynatrace's ROE is below industry standards, pointing towards difficulties in efficiently utilizing equity capital. With an ROE of 1.93%, the company may encounter challenges in delivering satisfactory 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 1.18%, 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 0.03, the company relies less on debt financing, maintaining a healthier balance between debt and equity, which can be viewed positively by investors.

The Significance of Analyst Ratings Explained

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.

In addition to their assessments, some analysts extend their insights by offering predictions for key metrics such as earnings, revenue, and growth estimates. This supplementary information provides further guidance for traders. It is crucial to recognize that, despite their specialization, analysts are human and can only provide forecasts based on their beliefs.

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