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Dynatrace (DT) Suffers a Larger Drop Than the General Market: Key Insights
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Dynatrace (DT - Free Report) closed at $45.40 in the latest trading session, marking a -1.86% move from the prior day. This move lagged the S&P 500's daily loss of 0.88%. Meanwhile, the Dow gained 0.56%, and the Nasdaq, a tech-heavy index, lost 2.05%.
The the stock of software intellegence company has fallen by 0.39% in the past month, leading the Computer and Technology sector's loss of 3.33% and the S&P 500's loss of 2.57%.
Investors will be eagerly watching for the performance of Dynatrace in its upcoming earnings disclosure. On that day, Dynatrace is projected to report earnings of $0.27 per share, which would represent a year-over-year decline of 12.9%. Meanwhile, our latest consensus estimate is calling for revenue of $375.2 million, up 19.31% from the prior-year quarter.
It's also important for investors to be aware of any recent modifications to analyst estimates for Dynatrace. Recent revisions tend to reflect the latest near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.45% lower. Dynatrace is currently sporting a Zacks Rank of #3 (Hold).
From a valuation perspective, Dynatrace is currently exchanging hands at a Forward P/E ratio of 35.13. For comparison, its industry has an average Forward P/E of 23.43, which means Dynatrace is trading at a premium to the group.
It's also important to note that DT currently trades at a PEG ratio of 2.21. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Computers - IT Services was holding an average PEG ratio of 2.18 at yesterday's closing price.
The Computers - IT Services industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 63, putting it in the top 25% of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
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Dynatrace (DT) Suffers a Larger Drop Than the General Market: Key Insights
Dynatrace (DT - Free Report) closed at $45.40 in the latest trading session, marking a -1.86% move from the prior day. This move lagged the S&P 500's daily loss of 0.88%. Meanwhile, the Dow gained 0.56%, and the Nasdaq, a tech-heavy index, lost 2.05%.
The the stock of software intellegence company has fallen by 0.39% in the past month, leading the Computer and Technology sector's loss of 3.33% and the S&P 500's loss of 2.57%.
Investors will be eagerly watching for the performance of Dynatrace in its upcoming earnings disclosure. On that day, Dynatrace is projected to report earnings of $0.27 per share, which would represent a year-over-year decline of 12.9%. Meanwhile, our latest consensus estimate is calling for revenue of $375.2 million, up 19.31% from the prior-year quarter.
It's also important for investors to be aware of any recent modifications to analyst estimates for Dynatrace. Recent revisions tend to reflect the latest near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.45% lower. Dynatrace is currently sporting a Zacks Rank of #3 (Hold).
From a valuation perspective, Dynatrace is currently exchanging hands at a Forward P/E ratio of 35.13. For comparison, its industry has an average Forward P/E of 23.43, which means Dynatrace is trading at a premium to the group.
It's also important to note that DT currently trades at a PEG ratio of 2.21. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Computers - IT Services was holding an average PEG ratio of 2.18 at yesterday's closing price.
The Computers - IT Services industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 63, putting it in the top 25% of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.