Dynatrace (NYSE:DT) Reaches New 1-Year Low - Time to Sell?

Key Points

• Dynatrace hit a new 52-week low of about $31.96 in mid-day trading (down ~3.4%), trading below both its 50‑day and 200‑day moving averages.
• Wall Street remains broadly positive with a consensus Moderate Buy (19 Buy vs. 6 Hold) and an average price target of $53.48, well above the current share price.
• The company posted an earnings beat (Q EPS $0.44 vs. $0.41) with revenue up 18.2% YoY, provided FY2026 EPS guidance of $1.67–$1.69, and authorized a $1.0 billion stock buyback (up to 9.8% of shares).

Dynatrace, Inc. (NYSE:DT - Get Free Report)'s share price hit a new 52-week low during mid-day trading on Friday . The company traded as low as $31.96 and last traded at $31.9470, with a volume of 878547 shares traded. The stock had previously closed at $33.82.

Wall Street Analysts Forecast Growth

A number of equities research analysts have issued reports on DT shares. UBS Group set a $64.00 price target on shares of Dynatrace in a report on Thursday, March 12th. Raymond James Financial reissued a "market perform" rating on shares of Dynatrace in a report on Monday, February 9th. Rosenblatt Securities cut their price target on shares of Dynatrace from $67.00 to $60.00 and set a "buy" rating on the stock in a report on Friday, January 30th. TD Cowen cut their price target on shares of Dynatrace from $65.00 to $55.00 and set a "buy" rating on the stock in a report on Wednesday, January 21st. Finally, KeyCorp raised their price target on shares of Dynatrace from $50.00 to $52.00 and gave the stock an "overweight" rating in a report on Tuesday, February 10th. Nineteen analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the stock. Based on data from MarketBeat, the stock has a consensus rating of "Moderate Buy" and an average price target of $53.48.

Dynatrace Stock Down 3.4%

The firm has a market capitalization of $9.74 billion, a PE ratio of 53.50, a PEG ratio of 2.43 and a beta of 0.79. The firm's fifty day simple moving average is $36.93 and its 200-day simple moving average is $42.51.

Dynatrace (NYSE:DT - Get Free Report) last announced its quarterly earnings results on Monday, February 9th. The company reported $0.44 EPS for the quarter, topping analysts' consensus estimates of $0.41 by $0.03. The firm had revenue of $515.47 million during the quarter, compared to analyst estimates of $506.31 million. Dynatrace had a net margin of 9.55% and a return on equity of 9.75%. The business's revenue for the quarter was up 18.2% on a year-over-year basis. During the same period in the previous year, the business posted $0.37 earnings per share. Dynatrace has set its FY 2026 guidance at 1.670-1.690 EPS and its Q4 2026 guidance at 0.380-0.390 EPS. As a group, analysts predict that Dynatrace, Inc. will post 0.68 earnings per share for the current year.

Dynatrace announced that its Board of Directors has initiated a stock repurchase plan on Monday, February 9th that allows the company to buyback $1.00 billion in shares. This buyback authorization allows the company to purchase up to 9.8% of its stock through open market purchases. Stock buyback plans are usually a sign that the company's management believes its stock is undervalued.

Insider Transactions at Dynatrace

In other news, EVP Stephen A. Mcmahon purchased 3,000 shares of the company's stock in a transaction on Tuesday, March 3rd. The stock was acquired at an average cost of $35.75 per share, for a total transaction of $107,250.00. Following the completion of the transaction, the executive vice president directly owned 3,454 shares in the company, valued at $123,480.50. This trade represents a 660.79% increase in their position. The acquisition was disclosed in a legal filing with the SEC, which is available through the SEC website. Company insiders own 0.57% of the company's stock.

Hedge Funds Weigh In On Dynatrace

Several hedge funds have recently modified their holdings of the stock. V Square Quantitative Management LLC bought a new stake in Dynatrace in the 4th quarter worth approximately $26,000. Cornerstone Planning Group LLC raised its stake in Dynatrace by 561.4% during the third quarter. Cornerstone Planning Group LLC now owns 582 shares of the company's stock valued at $28,000 after purchasing an additional 494 shares in the last quarter. RHL Group LLC purchased a new stake in Dynatrace during the fourth quarter valued at $30,000. Larson Financial Group LLC raised its stake in Dynatrace by 168.8% during the fourth quarter. Larson Financial Group LLC now owns 809 shares of the company's stock valued at $35,000 after purchasing an additional 508 shares in the last quarter. Finally, Hazlett Burt & Watson Inc. purchased a new stake in Dynatrace during the third quarter valued at $37,000. Hedge funds and other institutional investors own 94.28% of the company's stock.

About Dynatrace

Dynatrace is a global software intelligence company specializing in application performance management (APM), cloud infrastructure monitoring, and digital experience management. Its flagship offering, the Dynatrace Software Intelligence Platform, leverages artificial intelligence to provide real-time observability across distributed environments, including on-premises data centers, private clouds, public clouds and hybrid deployments. Organizations rely on Dynatrace to detect anomalies, troubleshoot performance issues and optimize end-user experiences through automated root-cause analysis powered by the company's engine, Davis.

The Dynatrace platform comprises modules for full-stack application monitoring, digital experience monitoring, infrastructure monitoring and business analytics.

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