Dynatrace (NYSE:DT) Price Target Cut to $63.00 by Analysts at BTIG Research

Key Points

• BTIG Research lowered Dynatrace’s price target to $63 from $73 but maintained a “buy” rating, implying roughly 29% upside from the stock’s $48.82 price. Analysts overall hold a “Moderate Buy” consensus with an average target of $63.62.
• Dynatrace reported quarterly results above expectations, with earnings of $0.54 per share versus $0.49 expected and revenue of approximately $579.9 million, up 17.4% year over year.
• Despite the earnings beat, the stock fell 11.4% amid concerns about mixed forward guidance. The company also announced a security and observability partnership with CrowdStrike, while an executive sold 50,000 shares under a pre-arranged trading plan.

Dynatrace (NYSE:DT - Get Free Report) had its target price decreased by BTIG Research from $73.00 to $63.00 in a research report issued on Tuesday, Benzinga reports. The brokerage presently has a "buy" rating on the stock. BTIG Research's price target indicates a potential upside of 29.03% from the company's current price.

A number of other research firms also recently commented on DT. DA Davidson increased their target price on shares of Dynatrace from $60.00 to $65.00 and gave the company a "buy" rating in a research report on Thursday, August 6th. Wedbush cut shares of Dynatrace from an "outperform" rating to a "neutral" rating and set a $54.00 price target for the company. in a research report on Thursday, September 10th. Jefferies Financial Group restated a "buy" rating and issued a $75.00 price objective on shares of Dynatrace in a research note on Sunday, October 11th. Yorkville Ives started coverage on shares of Dynatrace in a research note on Tuesday, October 6th. They issued an "in-line" rating and a $62.00 price objective for the company. Finally, TD Cowen raised their price objective on Dynatrace from $62.00 to $68.00 and gave the stock a "buy" rating in a report on Monday, October 26th. Twenty-four equities research analysts have rated the stock with a Buy rating and eight have given a Hold rating to the company's stock. Based on data from MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and an average target price of $63.62.

Dynatrace Stock Down 11.4%

DT traded down $6.31 on Tuesday, reaching $48.82. The company's stock had a trading volume of 9,159,982 shares, compared to its average volume of 6,601,487. The company has a market capitalization of $14.11 billion, a price-to-earnings ratio of 97.41, a P/E/G ratio of 3.85 and a beta of 0.77. Dynatrace has a fifty-two week low of $31.64 and a fifty-two week high of $66.30. The stock has a 50 day moving average of $57.71 and a two-hundred day moving average of $44.59.

Dynatrace (NYSE:DT - Get Free Report) last released its quarterly earnings data on Tuesday, November 3rd. The company reported $0.54 earnings per share for the quarter, topping analysts' consensus estimates of $0.49 by $0.05. The company had revenue of $579.92 million for the quarter, compared to analysts' expectations of $568.03 million. Dynatrace had a net margin of 7.22% and a return on equity of 11.07%. The firm's revenue for the quarter was up 17.4% on a year-over-year basis. During the same quarter last year, the company earned $0.44 earnings per share. As a group, analysts anticipate that Dynatrace will post 1.11 earnings per share for the current fiscal year.

Insider Activity at Dynatrace

In other news, EVP Bernd Greifeneder sold 50,000 shares of Dynatrace stock in a transaction on Friday, September 18th. The shares were sold at an average price of $57.21, for a total value of $2,860,500.00. Following the transaction, the executive vice president directly owned 904,846 shares of the company's stock, valued at $51,766,239.66. The trade was a 5.24% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 0.69% of the stock is owned by insiders.

Institutional Trading of Dynatrace

A number of large investors have recently bought and sold shares of DT. Apollon Wealth Management LLC grew its position in Dynatrace by 2.9% in the 3rd quarter. Apollon Wealth Management LLC now owns 6,277 shares of the company's stock valued at $362,000 after buying an additional 174 shares during the last quarter. Cooper Financial Group increased its stake in Dynatrace by 1.4% in the 3rd quarter. Cooper Financial Group now owns 13,354 shares of the company's stock valued at $771,000 after buying an additional 179 shares during the period. North Dakota State Investment Board increased its stake in Dynatrace by 2.9% in the 3rd quarter. North Dakota State Investment Board now owns 8,985 shares of the company's stock valued at $519,000 after buying an additional 252 shares during the period. Elevation Wealth Partners LLC raised its position in Dynatrace by 37.8% during the 3rd quarter. Elevation Wealth Partners LLC now owns 929 shares of the company's stock worth $54,000 after buying an additional 255 shares during the last quarter. Finally, Versant Capital Management Inc raised its position in Dynatrace by 2.8% during the 3rd quarter. Versant Capital Management Inc now owns 11,694 shares of the company's stock worth $675,000 after buying an additional 315 shares during the last quarter. Institutional investors and hedge funds own 94.28% of the company's stock.

Key Dynatrace News

Here are the key news stories impacting Dynatrace this week:

• Positive Sentiment: Dynatrace reported fiscal second-quarter earnings of $0.54 per share, above the $0.49 analyst consensus, while revenue reached approximately $579.9 million, exceeding estimates of $568.0 million and rising 17.4% year over year. Dynatrace Reports Second Quarter Fiscal Year 2027 Financial Results
• Positive Sentiment: The company announced a strategic partnership with CrowdStrike to combine security and observability capabilities, potentially strengthening Dynatrace’s enterprise offering and expanding cross-selling opportunities. CrowdStrike and Dynatrace announce security and observability partnership
• Positive Sentiment: A brokerage raised its price target for DT to $65, indicating continued confidence in the company’s longer-term prospects. Dynatrace Price Target Raised to $65.00
• Neutral Sentiment: Unusually high call-option activity before earnings showed bullish positioning among some traders, but options activity does not necessarily reflect fundamental changes. Traders purchased 4,386 call options, about 28% above typical daily volume.
• Negative Sentiment: Despite the earnings and revenue beats, management’s forward guidance was viewed as mixed. Investors appear concerned that the outlook may imply slower growth or less upside than expected, prompting a sharp selloff after the results. Dynatrace crashes as it offers mixed guidance after Q2 results

About Dynatrace

Dynatrace, Inc provides an observability and application security platform designed to help organizations monitor, analyze and optimize complex digital environments. Its software uses artificial intelligence and automation to provide visibility across applications, infrastructure, cloud services, logs, user experiences and business operations.

The company's products support application performance monitoring, infrastructure monitoring, digital experience monitoring, log and analytics management, cloud automation and application security.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.