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DT

Dynatrace NYSE:DT Stock Report

Last Price

US$44.08

Market Cap

US$12.6b

7D

14.6%

1Y

-26.1%

Updated

25 Jun, 2022

Data

Company Financials +
DT fundamental analysis
Snowflake Score
Valuation2/6
Future Growth4/6
Past Performance2/6
Financial Health5/6
Dividends0/6

DT Stock Overview

Dynatrace, Inc. provides a software intelligence platform for dynamic multi-cloud environments.

Dynatrace Competitors

 

 

 

 

 

 

 

 

 

 

 

 

Price History & Performance

Summary of all time highs, changes and price drops for Dynatrace
Historical stock prices
Current Share PriceUS$44.08
52 Week HighUS$80.13
52 Week LowUS$29.41
Beta1.6
1 Month Change17.23%
3 Month Change-6.98%
1 Year Change-26.14%
3 Year Changen/a
5 Year Changen/a
Change since IPO84.82%

Recent News & Updates

Jun 22

Dynatrace May Be Setting Up For Another Run Higher

Quietly, amidst the rubble, the better quality software names are picking themselves up and dusting themselves off. We believe the top-quality enterprise software names to offer compelling upside right now. Patience may be needed and stop-losses are surely to be considered. But for now? We believe Dynatrace can run, and we rate it at Buy accordingly.

Jun 08
Is It Too Late To Consider Buying Dynatrace, Inc. (NYSE:DT)?

Is It Too Late To Consider Buying Dynatrace, Inc. (NYSE:DT)?

Let's talk about the popular Dynatrace, Inc. ( NYSE:DT ). The company's shares received a lot of attention from a...

Shareholder Returns

DTUS SoftwareUS Market
7D14.6%9.9%6.6%
1Y-26.1%-18.1%-18.5%

Return vs Industry: DT underperformed the US Software industry which returned -18.1% over the past year.

Return vs Market: DT underperformed the US Market which returned -18.5% over the past year.

Price Volatility

Is DT's price volatile compared to industry and market?
DT volatility
DT Average Weekly Movement9.3%
Software Industry Average Movement11.1%
Market Average Movement8.0%
10% most volatile stocks in US Market16.6%
10% least volatile stocks in US Market3.1%

Stable Share Price: DT is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 9% a week.

Volatility Over Time: DT's weekly volatility (9%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
20053,600Rick McConnellhttps://www.dynatrace.com

Dynatrace, Inc. provides a software intelligence platform for dynamic multi-cloud environments. It operates Dynatrace, a software intelligence platform, which provides application and microservices monitoring, runtime application security, infrastructure monitoring, digital experience monitoring, business analytics, and cloud automation. Its platform allows its customers to modernize and automate IT operations, develop and release software, and enhance user experiences.

Dynatrace Fundamentals Summary

How do Dynatrace's earnings and revenue compare to its market cap?
DT fundamental statistics
Market CapUS$12.64b
Earnings (TTM)US$52.45m
Revenue (TTM)US$929.45m

241.1x

P/E Ratio

13.6x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
DT income statement (TTM)
RevenueUS$929.45m
Cost of RevenueUS$157.36m
Gross ProfitUS$772.08m
Other ExpensesUS$719.63m
EarningsUS$52.45m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)0.18
Gross Margin83.07%
Net Profit Margin5.64%
Debt/Equity Ratio21.0%

How did DT perform over the long term?

See historical performance and comparison
We’ve recently updated our valuation analysis.

Valuation

Is DT undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • PEG Ratio

Key Valuation Metric

Which metric is best to use when looking at relative valuation for DT?

Other financial metrics that can be useful for relative valuation.

DT key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue13.5x
Enterprise Value/EBITDA102.5x
PEG Ratio8x

Price to Sales Ratio vs Peers

How does DT's PS Ratio compare to its peers?

DT PS Ratio vs Peers
The above table shows the PS ratio for DT vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPSEstimated GrowthMarket Cap
Peer Average9.1x

Price-To-Sales vs Peers: DT is expensive based on its Price-To-Sales Ratio (13.6x) compared to the peer average (9.1x).


Price to Earnings Ratio vs Industry

How does DT's PE Ratio compare vs other companies in the U.S. Software Industry?

Price-To-Sales vs Industry: DT is expensive based on its Price-To-Sales Ratio (13.6x) compared to the US Software industry average (4.7x)


Price to Sales Ratio vs Fair Ratio

What is DT's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

DT PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio13.6x
Fair PS Ratio11.8x

Price-To-Sales vs Fair Ratio: DT is expensive based on its Price-To-Sales Ratio (13.6x) compared to the estimated Fair Price-To-Sales Ratio (11.8x).


Share Price vs Fair Value

What is the Fair Price of DT when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: DT ($44.08) is trading below our estimate of fair value ($64.85)

Significantly Below Fair Value: DT is trading below fair value by more than 20%.


Price to Earnings Growth Ratio

PEG Ratio: DT is poor value based on its PEG Ratio (8x)


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Future Growth

How is Dynatrace forecast to perform in the next 1 to 3 years based on estimates from 19 analysts?

Future Growth Score

4/6

Future Growth Score 4/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


30.2%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: DT's forecast earnings growth (30.2% per year) is above the savings rate (1.9%).

Earnings vs Market: DT's earnings (30.2% per year) are forecast to grow faster than the US market (14% per year).

High Growth Earnings: DT's earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: DT's revenue (16.8% per year) is forecast to grow faster than the US market (8.4% per year).

High Growth Revenue: DT's revenue (16.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: DT's Return on Equity is forecast to be low in 3 years time (14.8%).


Discover growth companies

Past Performance

How has Dynatrace performed over the past 5 years?

Past Performance Score

2/6

Past Performance Score 2/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


27.3%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: DT has high quality earnings.

Growing Profit Margin: DT's current net profit margins (5.6%) are lower than last year (10.8%).


Past Earnings Growth Analysis

Earnings Trend: DT has become profitable over the past 5 years, growing earnings by 27.3% per year.

Accelerating Growth: DT's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: DT had negative earnings growth (-30.7%) over the past year, making it difficult to compare to the Software industry average (27.1%).


Return on Equity

High ROE: DT's Return on Equity (4%) is considered low.


Discover strong past performing companies

Financial Health

How is Dynatrace's financial position?

Financial Health Score

5/6

Financial Health Score 5/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: DT's short term assets ($948.4M) exceed its short term liabilities ($865.6M).

Long Term Liabilities: DT's short term assets ($948.4M) exceed its long term liabilities ($371.3M).


Debt to Equity History and Analysis

Debt Level: DT has more cash than its total debt.

Reducing Debt: Insufficient data to determine if DT's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: DT's debt is well covered by operating cash flow (91.6%).

Interest Coverage: DT's interest payments on its debt are well covered by EBIT (8x coverage).


Balance Sheet


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Dividend

What is Dynatrace current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage

Dividend Yield vs Market

Notable Dividend: Unable to evaluate DT's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate DT's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if DT's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if DT's dividend payments have been increasing.


Earnings Payout to Shareholders

Earnings Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as DT has not reported any payouts.


Discover strong dividend paying companies

Management

How experienced are the management team and are they aligned to shareholders interests?

3.7yrs

Average management tenure


CEO

Rick McConnell (55 yo)

0.50

Tenure

Mr. Rick M. McConnell serves as CEO & Director of Dynatrace, Inc. since December 13, 2021. He served as President at Akamai Technologies, Inc since May 2016 until December 13, 2021 and had been General Man...


Leadership Team

Experienced Management: DT's management team is considered experienced (3.7 years average tenure).


Board Members

Experienced Board: DT's board of directors are not considered experienced ( 2.8 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: DT insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Dynatrace, Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: Dynatrace, Inc.
  • Ticker: DT
  • Exchange: NYSE
  • Founded: 2005
  • Industry: Application Software
  • Sector: Software
  • Implied Market Cap: US$12.644b
  • Shares outstanding: 286.84m
  • Website: https://www.dynatrace.com

Number of Employees


Location

  • Dynatrace, Inc.
  • 1601 Trapelo Road
  • Suite 116
  • Waltham
  • Massachusetts
  • 2451
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/06/25 00:00
End of Day Share Price2022/06/24 00:00
Earnings2022/03/31
Annual Earnings2022/03/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.