NYSE:DT—Positioned as a High-Growth Stock, Ready for a Potential Breakout.

In this article we will dive into DYNATRACE INC (NYSE:DT) as a possible candidate for growth investing. Investors should always do their own research, but we noticed DYNATRACE INC showing up in our strong growth, ready to breakout screen, which makes it worth to investigate a bit more.

Growth Analysis for NYSE:DT

ChartMill employs its own Growth Rating system for all stocks. This score, ranging from 0 to 10, is derived by evaluating different growth factors, such as EPS and revenue growth, taking into account both past performance and future projections. NYSE:DT has earned a 8 for growth:

• DT shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 20.00%, which is quite good.
• Measured over the past years, DT shows a very strong growth in Earnings Per Share. The EPS has been growing by 23.96% on average per year.
• DT shows a strong growth in Revenue. In the last year, the Revenue has grown by 22.27%.
• DT shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 27.12% yearly.
• DT is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 17.23% yearly.
• The Revenue is expected to grow by 16.89% on average over the next years. This is quite good.

Understanding NYSE:DT's Health Score

To gauge a stock's financial health, ChartMill utilizes a Health Rating on a scale of 0 to 10. This comprehensive evaluation encompasses liquidity and solvency, both in absolute terms and in comparison to industry peers. NYSE:DT has earned a 7 out of 10:

• An Altman-Z score of 8.48 indicates that DT is not in any danger for bankruptcy at the moment.
• With an excellent Altman-Z score value of 8.48, DT belongs to the best of the industry, outperforming 80.43% of the companies in the same industry.
• DT has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.

What does the Profitability looks like for NYSE:DT

Discover ChartMill's exclusive Profitability Rating, a proprietary metric that assesses stocks on a scale of 0 to 10. It takes into consideration various profitability ratios and margins, both in absolute terms and relative to industry peers. Notably, NYSE:DT has achieved a 6:

• DT's Return On Assets of 4.76% is fine compared to the rest of the industry. DT outperforms 76.16% of its industry peers.
• DT's Return On Equity of 7.50% is fine compared to the rest of the industry. DT outperforms 75.80% of its industry peers.
• DT has a better Return On Invested Capital (4.89%) than 76.16% of its industry peers.
• The last Return On Invested Capital (4.89%) for DT is above the 3 year average (4.30%), which is a sign of increasing profitability.
• Looking at the Profit Margin, with a value of 10.36%, DT is in the better half of the industry, outperforming 78.29% of the companies in the same industry.
• DT has a Operating Margin of 9.13%. This is in the better half of the industry: DT outperforms 77.94% of its industry peers.
• Looking at the Gross Margin, with a value of 81.37%, DT belongs to the top of the industry, outperforming 83.99% of the companies in the same industry.
• DT's Gross Margin has improved in the last couple of years.

How does the Setup look for NYSE:DT

Next to the Technical Rating, the Setup Rating of a stock determines to which extend the stock is consolidating. This score also ranges from 0 to 10 and is updated daily. The setup score evaluates various short term technical indicators. For NYSE:DT this score is currently 8:

Besides having an excellent technical rating, DT also presents a decent setup pattern. Prices have been consolidating lately and the volatility has been reduced. There is a support zone below the current price at 51.37, a Stop Loss order could be placed below this zone. Very recently a Pocket Pivot signal was observed. This is another positive sign.

Every day, new Strong Growth stocks can be found on ChartMill in our Strong Growth screener.

Our latest full fundamental report of DT contains the most current fundamental analsysis.

Check the latest full technical report of DT for a complete technical analysis.

Keep in mind

This article should in no way be interpreted as advice. The article is based on the observed metrics at the time of writing, but you should always make your own analysis and trade or invest at your own responsibility.