DYNATRACE INC (DT) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:DT - US2681501092 - Common Stock
39.88 USD
+0.5 (+1.27%)
39.993 USD
+0.11 (+0.28%)
Taking everything into account, DT scores 7 out of 10 in our fundamental rating. DT was compared to 277 industry peers in the Software industry. DT scores excellent points on both the profitability and health parts. This is a solid base for a good stock. DT is not priced too expensively while it is growing strongly. Keep and eye on this one! These ratings could make DT a good candidate for growth and quality investing.
1. Profitability
1.1 Basic Checks
- DT had positive earnings in the past year.
- In the past year DT had a positive cash flow from operations.
- Each year in the past 5 years DT has been profitable.
- DT had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- With an excellent Return On Assets value of 12.40%, DT belongs to the best of the industry, outperforming 89.86% of the companies in the same industry.
- DT's Return On Equity of 18.22% is amongst the best of the industry. DT outperforms 86.59% of its industry peers.
- DT has a better Return On Invested Capital (6.10%) than 75.00% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for DT is significantly below the industry average of 10.78%.
- The 3 year average ROIC (4.74%) for DT is below the current ROIC(6.10%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.4% | ||
| ROE | 18.22% | ||
| ROIC | 6.1% |
ROA(3y)6.71%
ROA(5y)5.11%
ROE(3y)10.95%
ROE(5y)8.74%
ROIC(3y)4.74%
ROIC(5y)4.51%
1.3 Margins
- DT's Profit Margin of 27.33% is amongst the best of the industry. DT outperforms 88.04% of its industry peers.
- In the last couple of years the Profit Margin of DT has grown nicely.
- With a decent Operating Margin value of 12.19%, DT is doing good in the industry, outperforming 77.90% of the companies in the same industry.
- In the last couple of years the Operating Margin of DT has grown nicely.
- The Gross Margin of DT (81.50%) is better than 86.23% of its industry peers.
- DT's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.19% | ||
| PM (TTM) | 27.33% | ||
| GM | 81.5% |
OM growth 3Y6.52%
OM growth 5YN/A
PM growth 3Y71.46%
PM growth 5YN/A
GM growth 3Y-0.11%
GM growth 5Y1.22%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), DT is destroying value.
- The number of shares outstanding for DT has been increased compared to 1 year ago.
- The number of shares outstanding for DT has been increased compared to 5 years ago.
- DT has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
- An Altman-Z score of 6.44 indicates that DT is not in any danger for bankruptcy at the moment.
- DT has a Altman-Z score of 6.44. This is in the better half of the industry: DT outperforms 78.99% of its industry peers.
- There is no outstanding debt for DT. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 6.44 |
ROIC/WACC0.55
WACC11.06%
2.3 Liquidity
- DT has a Current Ratio of 1.59. This is a normal value and indicates that DT is financially healthy and should not expect problems in meeting its short term obligations.
- The Current ratio of DT (1.59) is comparable to the rest of the industry.
- A Quick Ratio of 1.59 indicates that DT should not have too much problems paying its short term obligations.
- DT's Quick ratio of 1.59 is in line compared to the rest of the industry. DT outperforms 49.64% of its industry peers.
- The current and quick ratio evaluation for DT is rather negative, while it does have excellent solvency and profitability. These ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.59 | ||
| Quick Ratio | 1.59 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an nice 18.18% over the past year.
- DT shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 35.19% yearly.
- The Revenue has grown by 18.50% in the past year. This is quite good.
- DT shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 25.49% yearly.
EPS 1Y (TTM)18.18%
EPS 3Y26.6%
EPS 5Y35.19%
EPS Q2Q%18.92%
Revenue 1Y (TTM)18.5%
Revenue growth 3Y22.27%
Revenue growth 5Y25.49%
Sales Q2Q%18.11%
3.2 Future
- The Earnings Per Share is expected to grow by 17.43% on average over the next years. This is quite good.
- The Revenue is expected to grow by 14.93% on average over the next years. This is quite good.
EPS Next Y20.32%
EPS Next 2Y16.63%
EPS Next 3Y16.52%
EPS Next 5Y17.43%
Revenue Next Year17.94%
Revenue Next 2Y16.35%
Revenue Next 3Y15.64%
Revenue Next 5Y14.93%
3.3 Evolution
- The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
- Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
- The Price/Earnings ratio is 25.56, which means the current valuation is very expensive for DT.
- Based on the Price/Earnings ratio, DT is valued a bit cheaper than 68.12% of the companies in the same industry.
- DT's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 27.47.
- DT is valuated rather expensively with a Price/Forward Earnings ratio of 20.94.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of DT indicates a somewhat cheap valuation: DT is cheaper than 71.74% of the companies listed in the same industry.
- The average S&P500 Price/Forward Earnings ratio is at 24.26. DT is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.56 | ||
| Fwd PE | 20.94 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, DT is valued a bit cheaper than 63.77% of the companies in the same industry.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of DT indicates a somewhat cheap valuation: DT is cheaper than 73.55% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 25.42 | ||
| EV/EBITDA | 40.57 |
4.3 Compensation for Growth
- DT's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
- The excellent profitability rating of DT may justify a higher PE ratio.
- A more expensive valuation may be justified as DT's earnings are expected to grow with 16.52% in the coming years.
PEG (NY)1.26
PEG (5Y)0.73
EPS Next 2Y16.63%
EPS Next 3Y16.52%
5. Dividend
5.1 Amount
- DT does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
39.88
+0.5 (+1.27%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)11-05 2025-11-05/bmo
Earnings (Next)01-28 2026-01-28/bmo
Inst Owners102.72%
Inst Owner Change0.79%
Ins Owners0.48%
Ins Owner Change2.45%
Market Cap12.02B
Revenue(TTM)1.85B
Net Income(TTM)506.25M
Analysts82.33
Price Target61.04 (53.06%)
Short Float %2.44%
Short Ratio2.12
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)6.57%
Min EPS beat(2)4.45%
Max EPS beat(2)8.69%
EPS beat(4)4
Avg EPS beat(4)7.08%
Min EPS beat(4)4.45%
Max EPS beat(4)8.79%
EPS beat(8)8
Avg EPS beat(8)8.43%
EPS beat(12)12
Avg EPS beat(12)12.49%
EPS beat(16)15
Avg EPS beat(16)11.46%
Revenue beat(2)0
Avg Revenue beat(2)-0.95%
Min Revenue beat(2)-1.1%
Max Revenue beat(2)-0.79%
Revenue beat(4)0
Avg Revenue beat(4)-0.92%
Min Revenue beat(4)-1.19%
Max Revenue beat(4)-0.59%
Revenue beat(8)0
Avg Revenue beat(8)-0.91%
Revenue beat(12)2
Avg Revenue beat(12)-0.64%
Revenue beat(16)2
Avg Revenue beat(16)-0.62%
PT rev (1m)-0.44%
PT rev (3m)-2.39%
EPS NQ rev (1m)0.08%
EPS NQ rev (3m)2.14%
EPS NY rev (1m)0.09%
EPS NY rev (3m)1.02%
Revenue NQ rev (1m)0.03%
Revenue NQ rev (3m)1.3%
Revenue NY rev (1m)0.05%
Revenue NY rev (3m)0.54%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.56 | ||
| Fwd PE | 20.94 | ||
| P/S | 6.49 | ||
| P/FCF | 25.42 | ||
| P/OCF | 23.73 | ||
| P/B | 4.33 | ||
| P/tB | 8.52 | ||
| EV/EBITDA | 40.57 |
EPS(TTM)1.56
EY3.91%
EPS(NY)1.9
Fwd EY4.78%
FCF(TTM)1.57
FCFY3.93%
OCF(TTM)1.68
OCFY4.21%
SpS6.14
BVpS9.22
TBVpS4.68
PEG (NY)1.26
PEG (5Y)0.73
Graham Number17.99
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.4% | ||
| ROE | 18.22% | ||
| ROCE | 7.72% | ||
| ROIC | 6.1% | ||
| ROICexc | 11.09% | ||
| ROICexgc | 74.17% | ||
| OM | 12.19% | ||
| PM (TTM) | 27.33% | ||
| GM | 81.5% | ||
| FCFM | 25.53% |
ROA(3y)6.71%
ROA(5y)5.11%
ROE(3y)10.95%
ROE(5y)8.74%
ROIC(3y)4.74%
ROIC(5y)4.51%
ROICexc(3y)7.59%
ROICexc(5y)6.75%
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)6%
ROCE(5y)5.71%
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3Y17.65%
ROICexc growth 5YN/A
OM growth 3Y6.52%
OM growth 5YN/A
PM growth 3Y71.46%
PM growth 5YN/A
GM growth 3Y-0.11%
GM growth 5Y1.22%
F-Score8
Asset Turnover0.45
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 104.7% | ||
| Cap/Sales | 1.82% | ||
| Interest Coverage | 300.58 | ||
| Cash Conversion | 196.4% | ||
| Profit Quality | 93.42% | ||
| Current Ratio | 1.59 | ||
| Quick Ratio | 1.59 | ||
| Altman-Z | 6.44 |
F-Score8
WACC11.06%
ROIC/WACC0.55
Cap/Depr(3y)52.33%
Cap/Depr(5y)42.26%
Cap/Sales(3y)1.92%
Cap/Sales(5y)1.94%
Profit Quality(3y)207.25%
Profit Quality(5y)267.69%
High Growth Momentum
Growth
EPS 1Y (TTM)18.18%
EPS 3Y26.6%
EPS 5Y35.19%
EPS Q2Q%18.92%
EPS Next Y20.32%
EPS Next 2Y16.63%
EPS Next 3Y16.52%
EPS Next 5Y17.43%
Revenue 1Y (TTM)18.5%
Revenue growth 3Y22.27%
Revenue growth 5Y25.49%
Sales Q2Q%18.11%
Revenue Next Year17.94%
Revenue Next 2Y16.35%
Revenue Next 3Y15.64%
Revenue Next 5Y14.93%
EBIT growth 1Y52.12%
EBIT growth 3Y30.24%
EBIT growth 5YN/A
EBIT Next Year24.9%
EBIT Next 3Y19.53%
EBIT Next 5YN/A
FCF growth 1Y43.36%
FCF growth 3Y22.68%
FCF growth 5YN/A
OCF growth 1Y43.47%
OCF growth 3Y22.34%
OCF growth 5YN/A
DYNATRACE INC / DT FAQ
What is the ChartMill fundamental rating of DYNATRACE INC (DT) stock?
ChartMill assigns a fundamental rating of 7 / 10 to DT.
What is the valuation status for DT stock?
ChartMill assigns a valuation rating of 5 / 10 to DYNATRACE INC (DT). This can be considered as Fairly Valued.
How profitable is DYNATRACE INC (DT) stock?
DYNATRACE INC (DT) has a profitability rating of 8 / 10.
How financially healthy is DYNATRACE INC?
The financial health rating of DYNATRACE INC (DT) is 7 / 10.
Can you provide the expected EPS growth for DT stock?
The Earnings per Share (EPS) of DYNATRACE INC (DT) is expected to grow by 20.32% in the next year.