DYNATRACE INC (DT) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:DT - US2681501092 - Common Stock
43.57 USD
+0.13 (+0.3%)
43.57 USD
0 (0%)
DT gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 281 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 growing strongly while it is still valued neutral. This is a good combination! With these ratings, DT could be worth investigating further 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.
In the past 5 years DT has always been profitable.
In the past 5 years DT always reported a positive cash flow from operatings.
1.2 Ratios
With an excellent Return On Assets value of 12.40%, DT belongs to the best of the industry, outperforming 89.68% of the companies in the same industry.
DT has a better Return On Equity (18.22%) than 86.48% of its industry peers.
With a decent Return On Invested Capital value of 6.10%, DT is doing good in the industry, outperforming 75.09% of the companies in the same industry.
DT had an Average Return On Invested Capital over the past 3 years of 4.74%. This is significantly below the industry average of 12.04%.
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 89.32% of its industry peers.
In the last couple of years the Profit Margin of DT has grown nicely.
DT has a better Operating Margin (12.19%) than 77.58% of its industry peers.
In the last couple of years the Operating Margin of DT has grown nicely.
The Gross Margin of DT (81.50%) is better than 86.83% of its industry peers.
In the last couple of years the Gross Margin of DT has remained more or less at the same level.
| 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
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so DT is destroying value.
Compared to 1 year ago, DT has more shares outstanding
The number of shares outstanding for DT has been increased compared to 5 years ago.
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.
2.2 Solvency
DT has an Altman-Z score of 7.00. This indicates that DT is financially healthy and has little risk of bankruptcy at the moment.
With an excellent Altman-Z score value of 7.00, 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.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 7 |
ROIC/WACC0.56
WACC10.98%
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.
With a Current ratio value of 1.59, DT perfoms like the industry average, outperforming 49.47% of the companies in the same industry.
DT has a Quick 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.
DT has a Quick ratio (1.59) which is in line with 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.
The Earnings Per Share has been growing by 35.19% on average over the past years. This is a very strong growth
DT shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 18.50%.
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
DT is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 17.62% yearly.
The Revenue is expected to grow by 15.30% on average over the next years. This is quite good.
EPS Next Y18.29%
EPS Next 2Y15.7%
EPS Next 3Y16.07%
EPS Next 5Y17.62%
Revenue Next Year17.31%
Revenue Next 2Y15.93%
Revenue Next 3Y15.46%
Revenue Next 5Y15.3%
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 27.93, which means the current valuation is very expensive for DT.
Compared to the rest of the industry, the Price/Earnings ratio of DT indicates a somewhat cheap valuation: DT is cheaper than 65.48% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 25.45, DT is valued at the same level.
With a Price/Forward Earnings ratio of 23.25, DT is valued on the expensive side.
Based on the Price/Forward Earnings ratio, DT is valued a bit cheaper than 67.62% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 34.46, DT is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.93 | ||
| Fwd PE | 23.25 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, DT is valued a bit cheaper than the industry average as 64.41% of the companies are valued more expensively.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of DT indicates a somewhat cheap valuation: DT is cheaper than 71.89% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 27.78 | ||
| EV/EBITDA | 45.32 |
4.3 Compensation for Growth
The 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.
DT's earnings are expected to grow with 16.07% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.53
PEG (5Y)0.79
EPS Next 2Y15.7%
EPS Next 3Y16.07%
5. Dividend
5.1 Amount
DT does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
43.57
+0.13 (+0.3%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners101.14%
Inst Owner Change-0.5%
Ins Owners0.49%
Ins Owner Change10.83%
Market Cap13.14B
Revenue(TTM)1.85B
Net Income(TTM)506.25M
Analysts82.73
Price Target62.76 (44.04%)
Short Float %2.2%
Short Ratio1.97
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
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)0.12%
PT rev (3m)0.15%
EPS NQ rev (1m)1.78%
EPS NQ rev (3m)0.44%
EPS NY rev (1m)-0.69%
EPS NY rev (3m)1.29%
Revenue NQ rev (1m)0.98%
Revenue NQ rev (3m)1%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.09%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.93 | ||
| Fwd PE | 23.25 | ||
| P/S | 7.09 | ||
| P/FCF | 27.78 | ||
| P/OCF | 25.92 | ||
| P/B | 4.73 | ||
| P/tB | 9.31 | ||
| EV/EBITDA | 45.32 |
EPS(TTM)1.56
EY3.58%
EPS(NY)1.87
Fwd EY4.3%
FCF(TTM)1.57
FCFY3.6%
OCF(TTM)1.68
OCFY3.86%
SpS6.14
BVpS9.22
TBVpS4.68
PEG (NY)1.53
PEG (5Y)0.79
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 | 7 |
F-Score8
WACC10.98%
ROIC/WACC0.56
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 Y18.29%
EPS Next 2Y15.7%
EPS Next 3Y16.07%
EPS Next 5Y17.62%
Revenue 1Y (TTM)18.5%
Revenue growth 3Y22.27%
Revenue growth 5Y25.49%
Sales Q2Q%18.11%
Revenue Next Year17.31%
Revenue Next 2Y15.93%
Revenue Next 3Y15.46%
Revenue Next 5Y15.3%
EBIT growth 1Y52.12%
EBIT growth 3Y30.24%
EBIT growth 5YN/A
EBIT Next Year22.81%
EBIT Next 3Y19.97%
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 of DYNATRACE INC (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.
Can you provide the financial health for DT stock?
The financial health rating of DYNATRACE INC (DT) is 8 / 10.
What is the earnings growth outlook for DYNATRACE INC?
The Earnings per Share (EPS) of DYNATRACE INC (DT) is expected to grow by 18.29% in the next year.