Barclays Has Lowered Expectations for The Descartes Systems Group (NASDAQ:DSGX) Stock Price

Key Points

• Barclays cut its price target for The Descartes Systems Group to $89 from $90 but kept an "overweight" rating, with the target implying roughly a 20.6% upside from the current stock price.
• Descartes beat quarterly expectations — $0.52 EPS vs. $0.50 est. and $192.37M revenue vs. $188.09M est. (revenue +15.1% YoY) — and analysts hold a consensus Buy rating with an average target of $112.60.

The Descartes Systems Group (NASDAQ:DSGX - Get Free Report) TSE: DSG had its price target decreased by equities research analysts at Barclays from $90.00 to $89.00 in a report released on Thursday,Benzinga reports. The brokerage presently has an "overweight" rating on the technology company's stock. Barclays's price objective indicates a potential upside of 20.58% from the stock's current price.

Several other equities research analysts have also commented on the stock. Scotiabank decreased their price objective on shares of The Descartes Systems Group from $115.00 to $95.00 and set an "outperform" rating on the stock in a research report on Wednesday, February 4th. BMO Capital Markets dropped their target price on shares of The Descartes Systems Group from $113.00 to $95.00 and set a "market perform" rating for the company in a report on Thursday, December 4th. TD Securities upgraded shares of The Descartes Systems Group to a "strong-buy" rating in a research report on Friday, December 5th. Raymond James Financial upgraded shares of The Descartes Systems Group from a "market perform" rating to an "outperform" rating and set a $118.00 price target on the stock in a research report on Thursday, December 4th. Finally, Weiss Ratings reissued a "hold (c)" rating on shares of The Descartes Systems Group in a research note on Monday, December 29th. Two research analysts have rated the stock with a Strong Buy rating, eight have assigned a Buy rating and two have given a Hold rating to the company. According to MarketBeat.com, the stock presently has a consensus rating of "Buy" and an average target price of $112.60.

The Descartes Systems Group Stock Up 6.8%

NASDAQ DSGX traded up $4.71 during mid-day trading on Thursday, hitting $73.81. The stock had a trading volume of 303,083 shares, compared to its average volume of 745,486. The company has a 50 day simple moving average of $74.84 and a 200 day simple moving average of $86.47. The company has a market cap of $6.35 billion, a price-to-earnings ratio of 41.57 and a beta of 0.77. The Descartes Systems Group has a 52-week low of $62.56 and a 52-week high of $117.35.

The Descartes Systems Group (NASDAQ:DSGX - Get Free Report) TSE: DSG last posted its earnings results on Wednesday, March 11th. The technology company reported $0.52 EPS for the quarter, topping analysts' consensus estimates of $0.50 by $0.02. The company had revenue of $192.37 million for the quarter, compared to the consensus estimate of $188.09 million. The Descartes Systems Group had a return on equity of 10.57% and a net margin of 22.10%.The Descartes Systems Group's quarterly revenue was up 15.1% compared to the same quarter last year. During the same period in the previous year, the business earned $0.43 earnings per share. As a group, equities analysts anticipate that The Descartes Systems Group will post 1.64 earnings per share for the current fiscal year.

Institutional Investors Weigh In On The Descartes Systems Group

A number of hedge funds and other institutional investors have recently modified their holdings of the company. Quarry LP purchased a new position in shares of The Descartes Systems Group during the third quarter valued at approximately $27,000. Mather Group LLC. acquired a new stake in The Descartes Systems Group during the third quarter worth approximately $28,000. Danske Bank A S purchased a new stake in The Descartes Systems Group in the 3rd quarter worth approximately $34,000. Measured Wealth Private Client Group LLC acquired a new position in The Descartes Systems Group in the 3rd quarter valued at $40,000. Finally, Caitong International Asset Management Co. Ltd lifted its stake in shares of The Descartes Systems Group by 267.3% during the 3rd quarter. Caitong International Asset Management Co. Ltd now owns 551 shares of the technology company's stock worth $52,000 after purchasing an additional 401 shares during the period. 77.73% of the stock is currently owned by hedge funds and other institutional investors.

The Descartes Systems Group Company Profile

The Descartes Systems Group Inc NASDAQ: DSGX is a global provider of cloud-based logistics and supply chain management solutions. The company's software-as-a-service platform connects and optimizes the flow of goods, information and payments across the global supply chain, helping businesses coordinate transportation, customs clearance, routing, scheduling and fleet management. Descartes' modular applications serve shippers, carriers, third-party logistics providers and regulatory authorities by enabling real-time visibility, compliance and execution across complex trade networks.

Headquartered in Waterloo, Ontario, Descartes was founded in 1981 and has grown through a combination of organic development and strategic acquisitions.

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