Should You Invest in Dynatrace Inc (DT) Now?

Dynatrace Inc (NYSE: DT) has a higher price-to-earnings ratio of 96.52x compared to its average ratio, The 36-month beta value for DT is at 1.01. Analysts have varying views on the stock, with 19 analysts rating it as a “buy,” 10 rating it as “overweight,” 7 as “hold,” and 0 as “sell.”

The public float for DT is 294.61M, and currently, shorts hold a 2.36% of that float. The average trading volume for DT on November 19, 2024 was 2.74M shares.

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DT) stock’s latest price update

Dynatrace Inc (NYSE: DT) has seen a rise in its stock price by 0.13 in relation to its previous close of 52.35. However, the company has experienced a -1.98% decline in its stock price over the last five trading sessions. seekingalpha.com reported 2024-11-15 that I maintain a buy rating for Dynatrace due to strong demand and robust 2Q25 results, despite minor GTM strategy-related weaknesses. DT reported 18.9% y/y revenue growth, beating consensus estimates, with adj EBIT margin expanding to 31.3% and adj EPS of $0.37. DPS adoption is accelerating, contributing significantly to ARR, with DPS customers growing consumption at twice the rate of SKU-based customers.

DT’s Market Performance

Dynatrace Inc (DT) has experienced a -1.98% fall in stock performance for the past week, with a -4.45% drop in the past month, and a 5.07% rise in the past quarter. The volatility ratio for the week is 2.58%, and the volatility levels for the past 30 days are at 2.50% for DT. The simple moving average for the past 20 days is -2.88% for DT’s stock, with a 7.90% simple moving average for the past 200 days.

Analysts’ Opinion of DT

Many brokerage firms have already submitted their reports for DT stocks, with BMO Capital Markets repeating the rating for DT by listing it as a “Outperform.” The predicted price for DT in the upcoming period, according to BMO Capital Markets is $61 based on the research report published on November 08, 2024 of the current year 2024.

Wedbush, on the other hand, stated in their research note that they expect to see DT reach a price target of $67, previously predicting the price at $55. The rating they have provided for DT stocks is “Outperform” according to the report published on October 17th, 2024.

Exane BNP Paribas gave a rating of “Neutral” to DT, setting the target price at $52 in the report published on October 08th of the current year.

DT Trading at -1.62% from the 50-Day Moving Average

After a stumble in the market that brought DT to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -14.64% of loss for the given period.

Volatility was left at 2.50%, however, over the last 30 days, the volatility rate increased by 2.58%, as shares sank -3.60% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading +2.99% upper at present.

During the last 5 trading sessions, DT fell by -1.98%, which changed the moving average for the period of 200-days by -13.64% in comparison to the 20-day moving average, which settled at $53.97. In addition, Dynatrace Inc saw -4.15% in overturn over a single year, with a tendency to cut further losses.

Insider Trading

Reports are indicating that there were more than several insider trading activities at DT starting from MCCONNELL RICK M, who sale 30,000 shares at the price of $53.28 back on Nov 11 ’24. After this action, MCCONNELL RICK M now owns 620,587 shares of Dynatrace Inc, valued at $1,598,466 using the latest closing price.

LIFSHATZ STEPHEN J, the Director of Dynatrace Inc, sale 2,500 shares at $55.00 during a trade that took place back on Nov 05 ’24, which means that LIFSHATZ STEPHEN J is holding 38,971 shares at $137,500 based on the most recent closing price.

Stock Fundamentals for DT

Current profitability levels for the company are sitting at:

  • 0.09 for the present operating margin
  • 0.81 for the gross margin

The net margin for Dynatrace Inc stands at 0.1. The total capital return value is set at 0.06. Equity return is now at value 8.28, with 5.34 for asset returns.

Currently, EBITDA for the company is 183.34 million with net debt to EBITDA at -3.98. When we switch over and look at the enterprise to sales, we see a ratio of 9.48. The receivables turnover for the company is 5.15for trailing twelve months and the total asset turnover is 0.47. The liquidity ratio also appears to be rather interesting for investors as it stands at 1.31.

Conclusion

In conclusion, Dynatrace Inc (DT) has had a mixed performance lately. Opinion on the stock among analysts is mixed, with some giving it a “buy” rating and others a “hold”. It’s important to note that the stock is currently trading at a significant distance from its 50-day moving average and its 52-week high.

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