Dynatrace (NYSE:DT) Shares Cross Below 200 Day Moving Average After Analyst Downgrade

Shares of Dynatrace, Inc. (NYSE:DT) crossed below its 200-day moving average during trading on Thursday after UBS Group lowered their price target on the stock from $80.00 to $75.00. The stock has a 200-day moving average of $44.68 and traded as low as $43.63. UBS Group currently has a buy rating on the stock. Dynatrace shares last traded at $43.7550, with a volume of 8,974,508 shares traded.

DT has been the topic of a number of other research reports. Wedbush decreased their target price on Dynatrace from $54.00 to $50.00 and set a “neutral” rating on the stock in a research report on Wednesday. Royal Bank Of Canada dropped their target price on shares of Dynatrace from $73.00 to $68.00 and set an “outperform” rating for the company in a report on Wednesday. Barclays reduced their price target on shares of Dynatrace from $71.00 to $61.00 and set an “overweight” rating on the stock in a research note on Wednesday. Oppenheimer lifted their price target on shares of Dynatrace from $60.00 to $71.00 and gave the company an “outperform” rating in a report on Thursday, September 24th. Finally, BTIG Research decreased their price target on shares of Dynatrace from $73.00 to $63.00 and set a “buy” rating on the stock in a report on Tuesday. Twenty-four analysts have rated the stock with a Buy rating and eight have given a Hold rating to the stock. According to data from MarketBeat, the company currently has an average rating of “Moderate Buy” and an average target price of $62.00.

Insider Activity at Dynatrace

In related news, EVP Bernd Greifeneder sold 50,000 shares of the firm’s stock in a transaction on Friday, September 18th. The stock was sold at an average price of $57.21, for a total transaction of $2,860,500.00. Following the sale, the executive vice president owned 904,846 shares of the company’s stock, valued at $51,766,239.66. This trade 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. Insiders own 0.69% of the company’s stock.

Key Stories Impacting Dynatrace

Here are the key news stories impacting Dynatrace this week:

• Positive Sentiment: The board authorized a $1 billion share repurchase program, allowing buybacks of up to 6.3% of outstanding shares. Repurchases can signal management sees value in the stock and may support per-share results. Dynatrace buyback announcement
• Positive Sentiment: Dynatrace beat quarterly estimates, reporting EPS of $0.54 versus $0.49 expected and revenue of about $580 million versus roughly $568 million expected. Dynatrace earnings beat and outlook
• Neutral Sentiment: Analysts lowered price targets, but several maintained positive ratings: RBC cut its target to $68 and Citi to $70, while retaining “outperform” and “buy” ratings, respectively. RBC price target change Citi price target change
• Negative Sentiment: The earnings beat was overshadowed by a reduced profit outlook, with acquisition-related impacts weighing on expected profitability and cash flow. Commentary also cited delayed enterprise deals and slower momentum, raising concern about near-term growth; one analyst described the next quarter as a key test. Delayed enterprise deals weigh on outlook Dynatrace Q2 review
• Negative Sentiment: Multiple firms cut their price targets, including Wedbush to $50 and BMO to $60. While many retained favorable ratings, the breadth of revisions reflects lower near-term expectations and adds pressure to sentiment. Wedbush target cut BMO target cut

Hedge Funds Weigh In On Dynatrace

A number of institutional investors and hedge funds have recently bought and sold shares of DT. Apollon Wealth Management LLC boosted its stake in shares of Dynatrace by 2.9% during the third quarter. Apollon Wealth Management LLC now owns 6,277 shares of the company’s stock valued at $362,000 after purchasing an additional 174 shares in the last quarter. Cooper Financial Group increased its stake in shares of Dynatrace by 1.4% in the third quarter. Cooper Financial Group now owns 13,354 shares of the company’s stock valued at $771,000 after buying an additional 179 shares during the period. North Dakota State Investment Board raised its holdings in Dynatrace by 2.9% in the 3rd quarter. North Dakota State Investment Board now owns 8,985 shares of the company’s stock valued at $519,000 after buying an additional 252 shares during the last quarter. Elevation Wealth Partners LLC raised its holdings in Dynatrace by 37.8% in the 3rd quarter. Elevation Wealth Partners LLC now owns 929 shares of the company’s stock valued at $54,000 after buying an additional 255 shares during the last quarter. Finally, Versant Capital Management Inc raised its holdings in Dynatrace by 2.8% in the 3rd quarter. Versant Capital Management Inc now owns 11,694 shares of the company’s stock valued at $675,000 after buying an additional 315 shares during the last quarter. Institutional investors and hedge funds own 94.28% of the company’s stock.

Dynatrace Trading Down 6.5%

The firm’s 50-day moving average is $57.45 and its 200 day moving average is $44.68. The company has a current ratio of 2.09, a quick ratio of 1.21 and a debt-to-equity ratio of 0.62. The firm has a market capitalization of $12.56 billion, a price-to-earnings ratio of 81.03, a P/E/G ratio of 2.87 and a beta of 0.76.

Dynatrace (NYSE:DT) last posted its earnings results on Tuesday, November 3rd. The company reported $0.54 earnings per share for the quarter, topping analysts’ consensus estimates of $0.49 by $0.05. Dynatrace had a net margin of 7.42% and a return on equity of 12.73%. The firm had revenue of $579.92 million for the quarter, compared to analyst estimates of $568.03 million. During the same period in the previous year, the firm posted $0.44 EPS. The company’s revenue for the quarter was up 17.4% compared to the same quarter last year. On average, equities analysts predict that Dynatrace, Inc. will post 1.11 earnings per share for the current fiscal year.

Dynatrace declared that its Board of Directors has approved a share repurchase program on Tuesday, November 3rd that allows the company to buy back $1 billion in outstanding shares. This buyback authorization allows the company to buy up to 6.3% of its shares through open market purchases. Stock buyback programs are generally a sign that the company’s board of directors believes its stock is undervalued.

Dynatrace Company Profile

Dynatrace, Inc provides an observability and application security platform designed to help organizations monitor, analyze and optimize complex digital environments. Its software uses artificial intelligence and automation to provide visibility across applications, infrastructure, cloud services, logs, user experiences and business operations.

The company’s products support application performance monitoring, infrastructure monitoring, digital experience monitoring, log and analytics management, cloud automation and application security.