Dynatrace (NYSE:DT) Lowered to Neutral Rating by Guggenheim

Guggenheim downgraded shares of Dynatrace (NYSE:DT) from a buy rating to a neutral rating in a research report report published on Wednesday, MarketBeat.com reports.

Other equities research analysts also recently issued research reports about the stock. BTIG Research reissued a “buy” rating and set a $53.00 price objective on shares of Dynatrace in a research report on Thursday, February 19th. KeyCorp boosted their price objective on shares of Dynatrace from $50.00 to $52.00 and gave the company an “overweight” rating in a research report on Tuesday, February 10th. Morgan Stanley cut their price objective on shares of Dynatrace from $57.00 to $43.00 and set an “equal weight” rating for the company in a research report on Tuesday, February 10th. Citigroup cut their price objective on shares of Dynatrace from $64.00 to $60.00 and set a “buy” rating for the company in a research report on Friday, January 16th. Finally, Weiss Ratings raised shares of Dynatrace from a “sell (d+)” rating to a “hold (c-)” rating in a research report on Friday, May 1st. One investment analyst has rated the stock with a Strong Buy rating, seventeen have given a Buy rating and seven have assigned a Hold rating to the company. According to MarketBeat, Dynatrace has a consensus rating of “Moderate Buy” and a consensus price target of $51.08.

Dynatrace Trading Down 11.4%

NYSE:DT opened at $34.73 on Wednesday. Dynatrace has a 12 month low of $31.64 and a 12 month high of $57.55. The company has a market cap of $10.36 billion, a PE ratio of 56.93, a price-to-earnings-growth ratio of 2.39 and a beta of 0.70. The company has a 50 day simple moving average of $37.10 and a two-hundred day simple moving average of $40.49.

Dynatrace (NYSE:DT) last posted its earnings results on Wednesday, May 13th. The company reported $0.41 EPS for the quarter, topping analysts’ consensus estimates of $0.39 by $0.02. Dynatrace had a net margin of 9.55% and a return on equity of 9.75%. The business had revenue of $531.72 million during the quarter, compared to the consensus estimate of $521.01 million. During the same quarter in the previous year, the firm posted $0.33 EPS. The firm’s revenue was up 19.4% on a year-over-year basis. Dynatrace has set its FY 2027 guidance at 1.930-1.950 EPS and its Q1 2027 guidance at 0.440-0.450 EPS. Research analysts forecast that Dynatrace will post 0.88 earnings per share for the current year.

Dynatrace declared that its board has authorized a share repurchase plan on Monday, February 9th that permits the company to buyback $1.00 billion in outstanding shares. This buyback authorization permits the company to buy up to 9.8% of its stock through open market purchases. Stock buyback plans are often an indication that the company’s board believes its shares are undervalued.

Insider Buying and Selling at Dynatrace

In other news, EVP Stephen A. Mcmahon bought 3,000 shares of the stock in a transaction that occurred on Tuesday, March 3rd. The shares were bought at an average price of $35.75 per share, for a total transaction of $107,250.00. Following the purchase, the executive vice president owned 3,454 shares in the company, valued at $123,480.50. This represents a 660.79% increase in their ownership of the stock. The acquisition was disclosed in a document filed with the SEC, which is available through this link. Company insiders own 0.57% of the company’s stock.

Institutional Inflows and Outflows

A number of large investors have recently modified their holdings of the company. Vanguard Group Inc. lifted its stake in shares of Dynatrace by 2.4% during the 3rd quarter. Vanguard Group Inc. now owns 32,142,909 shares of the company’s stock valued at $1,557,324,000 after buying an additional 739,895 shares in the last quarter. Pictet Asset Management Holding SA lifted its stake in shares of Dynatrace by 7.9% during 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 in the last quarter. State Street Corp lifted its stake in shares of Dynatrace by 1.0% during the 4th quarter. State Street Corp now owns 10,664,357 shares of the company’s stock valued at $462,193,000 after buying an additional 101,994 shares in the last quarter. Wellington Management Group LLP lifted its stake in shares of Dynatrace by 9.0% during the 4th quarter. Wellington Management Group LLP now owns 7,999,919 shares of the company’s stock valued at $346,716,000 after buying an additional 659,792 shares in the last quarter. Finally, American Century Companies Inc. lifted its stake in shares of Dynatrace by 0.9% during the 3rd quarter. American Century Companies Inc. now owns 7,919,446 shares of the company’s stock valued at $383,697,000 after buying an additional 73,827 shares in the last quarter. Hedge funds and other institutional investors own 94.28% of the company’s stock.

Key Dynatrace News

Here are the key news stories impacting Dynatrace this week:

• Positive Sentiment: Dynatrace beat fiscal Q4 expectations, reporting EPS of $0.41 to $0.42 versus the $0.39 consensus and revenue of $531.7 million versus $521.0 million expected, with revenue up 19.4% year over year. Dynatrace Reports Fourth Quarter and Full Year Fiscal 2026 Financial Results
• Positive Sentiment: The company also issued stronger-than-expected FY2027 and Q1 2027 guidance, suggesting continued growth in earnings and revenue ahead. Dynatrace Reports Fourth Quarter and Full Year Fiscal 2026 Financial Results
• Neutral Sentiment: Dynatrace said it finished FY26 with more than $2 billion in ARR and 16% constant-currency ARR growth for the fourth straight quarter, reinforcing its position as a growing AI-powered observability platform. Dynatrace Reports Fourth Quarter and Full Year Fiscal 2026 Financial Results
• Negative Sentiment: Despite the beat-and-raise quarter, the stock is under pressure after Guggenheim downgraded DT to neutral, which may have dampened investor enthusiasm. Downgrade report
• Negative Sentiment: BTIG trimmed its price target from $53 to $47, signaling some caution even while maintaining a buy rating. BTIG price target cut

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.