Dynatrace (NYSE:DT) Sets New 12-Month High - Should You Buy?

Key Points

• Dynatrace shares reached a new 52-week high of $61.58, supported by strong analyst sentiment: 23 analysts rate the stock Buy and seven rate it Hold, for an overall “Moderate Buy” consensus.
• The company exceeded quarterly expectations, reporting adjusted EPS of $0.48 versus $0.45 expected and revenue of $554.55 million versus $550.01 million. Revenue increased 16.3% year over year, while management provided fiscal 2027 EPS guidance of $1.97–$1.99.
• Institutional investors own 94.28% of Dynatrace and several major firms increased their stakes, though an executive sold 50,000 shares under a pre-arranged trading plan. At the recent price, the stock trades at a high trailing P/E ratio of 122.30.

Dynatrace, Inc. (NYSE:DT - Get Free Report) shares hit a new 52-week high during trading on Wednesday. The stock traded as high as $61.58 and last traded at $61.1520, with a volume of 5258323 shares trading hands. The stock had previously closed at $60.21.

Analyst Ratings Changes

A number of research analysts recently weighed in on the company. Royal Bank Of Canada upped their price target on Dynatrace from $50.00 to $59.00 and gave the stock an "outperform" rating in a research note on Thursday, August 6th. The Goldman Sachs Group raised their price objective on Dynatrace from $45.00 to $50.00 and gave the company a "buy" rating in a research note on Thursday, June 18th. DA Davidson boosted their price objective on Dynatrace from $60.00 to $65.00 and gave the company a "buy" rating in a report on Thursday, August 6th. KeyCorp upped their target price on Dynatrace from $53.00 to $61.00 and gave the stock an "overweight" rating in a research report on Thursday, August 6th. Finally, Citigroup increased their target price on Dynatrace from $62.00 to $65.00 and gave the stock a "buy" rating in a report on Tuesday, August 18th. Twenty-three investment analysts have rated the stock with a Buy rating and seven have given a Hold rating to the stock. According to MarketBeat, the stock has an average rating of "Moderate Buy" and an average price target of $56.89.

Dynatrace Stock Up 1.6%

The firm has a 50 day moving average price of $52.37 and a 200 day moving average price of $44.32. The stock has a market capitalization of $17.67 billion, a PE ratio of 122.30, a P/E/G ratio of 3.73 and a beta of 0.77.

Dynatrace (NYSE:DT - Get Free Report) last announced its earnings results on Wednesday, August 5th. The company reported $0.48 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.45 by $0.03. Dynatrace had a return on equity of 11.07% and a net margin of 7.22%.The company had revenue of $554.55 million for the quarter, compared to analysts' expectations of $550.01 million. During the same quarter in the previous year, the firm earned $0.42 earnings per share. Dynatrace's quarterly revenue was up 16.3% on a year-over-year basis. Dynatrace has set its Q2 2027 guidance at 0.480-0.490 EPS and its FY 2027 guidance at 1.970-1.990 EPS. On average, equities analysts forecast that Dynatrace, Inc. will post 1.1 earnings per share for the current fiscal year.

Insider Transactions at Dynatrace

In other news, EVP Bernd Greifeneder sold 50,000 shares of the company's 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 completion of the sale, the executive vice president owned 904,846 shares in the company, valued at $51,766,239.66. This represents a 5.24% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 0.69% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Large investors have recently made changes to their positions in the company. Pictet Asset Management Holding SA increased its stake in Dynatrace by 7.9% in the 1st quarter. Pictet Asset Management Holding SA now owns 15,809,223 shares of the company's stock valued at $584,649,000 after buying an additional 1,160,690 shares during the last quarter. Wellington Management Group LLP boosted its stake in shares of Dynatrace by 23.5% in the 2nd quarter. Wellington Management Group LLP now owns 11,528,792 shares of the company's stock worth $506,229,000 after buying an additional 2,191,497 shares during the last quarter. Bank of America Corp DE boosted its stake in shares of Dynatrace by 304.7% in the 1st quarter. Bank of America Corp DE now owns 9,357,612 shares of the company's stock worth $346,044,000 after buying an additional 7,045,591 shares during the last quarter. First Trust Advisors LP grew its holdings in shares of Dynatrace by 706.8% in the first quarter. First Trust Advisors LP now owns 6,801,507 shares of the company's stock valued at $251,520,000 after acquiring an additional 5,958,505 shares in the last quarter. Finally, Amundi grew its holdings in shares of Dynatrace by 461.5% in the first quarter. Amundi now owns 6,238,938 shares of the company's stock valued at $230,716,000 after acquiring an additional 5,127,910 shares in the last quarter. 94.28% of the stock is owned by institutional investors.

About Dynatrace

Dynatrace, Inc is a software company that provides an observability and application security platform for organizations operating complex cloud, hybrid, and enterprise technology environments. Its platform is designed to help businesses monitor applications, infrastructure, user experiences, logs, and digital services from a unified interface.

The company's products support application and infrastructure performance monitoring, digital experience monitoring, log management, cloud automation, application security, and artificial intelligence-assisted operations.

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