AlphaQuest LLC Increases Position in Dynatrace, Inc. $DT

Key Points

• AlphaQuest LLC sharply increased its Dynatrace stake in the fourth quarter, boosting holdings by 5,622.3% to 88,352 shares valued at about $3.83 million.
• Institutional ownership remains very heavy, with hedge funds and other institutional investors now holding 94.28% of Dynatrace shares, and several firms recently adding to their positions.
• Dynatrace reported solid quarterly results, beating EPS and revenue estimates with $0.41 EPS and $531.72 million in revenue, while also maintaining a $1 billion share buyback authorization.

AlphaQuest LLC grew its holdings in shares of Dynatrace, Inc. (NYSE:DT - Free Report) by 5,622.3% during the fourth quarter, according to the company in its most recent disclosure with the SEC. The fund owned 88,352 shares of the company's stock after buying an additional 86,808 shares during the quarter. AlphaQuest LLC's holdings in Dynatrace were worth $3,829,000 at the end of the most recent reporting period.

Several other hedge funds and other institutional investors have also recently modified their holdings of the business. Wellington Management Group LLP lifted its position in shares of Dynatrace by 719.3% during the third quarter. Wellington Management Group LLP now owns 7,340,127 shares of the company's stock worth $355,629,000 after purchasing an additional 6,444,262 shares during the last quarter. Scge Management L.P. bought a new position in shares of Dynatrace in the second quarter worth about $155,858,000. Pictet Asset Management Holding SA grew its holdings in shares of Dynatrace by 16.5% in the fourth quarter. Pictet Asset Management Holding SA now owns 14,648,533 shares of the company's stock worth $634,985,000 after purchasing an additional 2,076,990 shares during the last quarter. Northwestern Mutual Wealth Management Co. increased its stake in Dynatrace by 123,910.9% in the 4th quarter. Northwestern Mutual Wealth Management Co. now owns 1,881,245 shares of the company's stock worth $81,533,000 after buying an additional 1,879,728 shares during the period. Finally, Freestone Grove Partners LP increased its stake in Dynatrace by 2,618.6% in the 3rd quarter. Freestone Grove Partners LP now owns 1,429,738 shares of the company's stock worth $69,271,000 after buying an additional 1,377,148 shares during the period. 94.28% of the stock is currently owned by hedge funds and other institutional investors.

Analysts Set New Price Targets

Several equities research analysts have issued reports on the stock. Canaccord Genuity Group lowered their price objective on shares of Dynatrace from $50.00 to $46.00 and set a "buy" rating for the company in a research report on Thursday, May 14th. Truist Financial set a $45.00 target price on shares of Dynatrace in a research report on Wednesday, April 15th. KeyCorp decreased their price target on shares of Dynatrace from $52.00 to $47.00 and set an "overweight" rating for the company in a research note on Thursday, May 14th. JPMorgan Chase & Co. lowered their price target on Dynatrace from $50.00 to $45.00 and set an "overweight" rating for the company in a report on Thursday, May 14th. Finally, TD Cowen reduced their price objective on Dynatrace from $60.00 to $50.00 and set a "buy" rating on the stock in a report on Wednesday, April 15th. Twenty-one equities research analysts have rated the stock with a Buy rating, six have assigned a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat.com, the stock currently has a consensus rating of "Moderate Buy" and a consensus target price of $46.50.

Dynatrace Stock Up 0.3%

Shares of DT stock opened at $41.33 on Tuesday. The firm has a market cap of $12.05 billion, a price-to-earnings ratio of 76.55, a PEG ratio of 2.76 and a beta of 0.70. Dynatrace, Inc. has a 52-week low of $31.64 and a 52-week high of $57.55. The company's 50 day moving average is $37.33 and its 200 day moving average is $39.91.

Dynatrace (NYSE:DT - Get Free Report) last announced its earnings results on Wednesday, May 13th. The company reported $0.41 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.39 by $0.02. The business had revenue of $531.72 million for the quarter, compared to analysts' expectations of $521.01 million. Dynatrace had a return on equity of 10.37% and a net margin of 8.06%.The business's revenue for the quarter was up 19.4% on a year-over-year basis. During the same quarter last year, the firm earned $0.33 EPS. Dynatrace has set its FY 2027 guidance at 1.930-1.950 EPS and its Q1 2027 guidance at 0.440-0.450 EPS. Analysts anticipate that Dynatrace, Inc. will post 1.08 EPS for the current fiscal year.

Dynatrace declared that its board has initiated a stock buyback program on Monday, February 9th that permits the company to repurchase $1.00 billion in outstanding shares. This repurchase authorization permits the company to repurchase up to 9.8% of its shares through open market purchases. Shares repurchase programs are usually a sign that the company's management believes its shares are undervalued.

Insider Activity at Dynatrace

In other news, EVP Stephen A. Mcmahon acquired 3,000 shares of the business's stock in a transaction dated Tuesday, March 3rd. The shares were purchased at an average price of $35.75 per share, with a total value of $107,250.00. Following the transaction, the executive vice president directly owned 3,454 shares in the company, valued at approximately $123,480.50. This represents a 660.79% increase in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Insiders own 0.57% of the company's stock.

Dynatrace Company Profile

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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