Track market-moving stories before they get noisy

Valuation Assessment of Dynatrace Inc DTOn September 08, 2026, Dynatrace Inc (DT) shares fell 3.1% to a current price of $50.29, navigating a 52-week range between $31.64 and $54.84. This recent decline comes amid a year-to-date increase of 16.0% and a modest annual performance of 0.7%.

GF Value™ verdict: Currently priced at $50.29, DT is estimated to be 27.8% undervalued compared to its GF Value™ of $69.62. GF Score™: With a score of 91/100, DT is categorized as a strong investment opportunity based on various fundamental metrics. Notable signal: Insider activity shows a net selling of $5.5M over the past 12 months, indicating cautious sentiment among company insiders.Is DT Overvalued or Undervalued?Currently, Dynatrace Inc DT is trading at $50.29, which is significantly lower than its GF Value™ estimate of $69.62. This presents a margin of safety of 27.8%, suggesting that the stock may offer a compelling buying opportunity for those looking to capitalize on undervalued assets. The GF Valuation label indicates that DT is "Modestly Undervalued," which aligns with the notion that there may be upside potential if the market corrects itself to reflect intrinsic values more accurately. GF Value™ is GuruFocus' proprietary assessment that calculates a stock's intrinsic value based on historical trading multiples, past growth trends, and future performance projections. As such, DT's current valuation suggests a favorable position for potential growth.

How Does DT's Valuation Compare to Its History?Metric Current Historical P/E (TTM) 100.6x 95.3x Forward P/E 25.7x N/ADynatrace's current P/E ratio of 100.6x is notably higher than its 5-year median P/E of 95.3x, indicating that the stock is trading at a premium compared to its historical valuation levels. However, the forward P/E of 25.7x suggests that the company may be expected to grow, which could justify a higher valuation in the future. This P/E analysis generally agrees with the GF Value™ verdict, as the elevated current P/E ratio may imply that the stock is at risk of being overvalued in the short term, despite the long-term potential suggested by the GF Value™ assessment.

What Does DT's GF Score™ Tell Us?The GF Score™ is a composite score that evaluates a stock based on several key financial metrics, including financial strength, profitability, growth, valuation, and momentum. With a GF Score™ of 91/100, Dynatrace stands out as a strong candidate in the software industry, particularly due to its high growth rank of 10/10. However, its weakest area is the Piotroski F-Score of 4, indicating some financial vulnerabilities.

Metric Rating GF Score™ 91/100 Financial Strength 7/10 Profitability 7/10 Growth 10/10 Valuation 8/10 Momentum 8/10The combination of a strong GF Score™ and high growth rank suggests that Dynatrace is well-positioned for future success. However, the financial strength and profitability ratings indicate that there may be areas for improvement, particularly in maintaining robust fundamentals amid a fluctuating market. Overall, the scores reflect a balanced view of Dynatrace's current standing and potential for growth.

What Are Gurus and Insiders Doing with DT?Currently, eight gurus hold positions in Dynatrace Inc, with four adding to their stakes and five trimming their holdings in recent quarters. This mixed signal from the guru community suggests a cautious but engaged interest in the stock. In terms of insider activity, over the past 12 months, insiders have bought $0.1M worth of shares while selling $5.6M, resulting in a net selling of $5.5M. This trend of net selling raises questions about insider confidence in the company's short-term prospects, potentially indicating that insiders are capitalizing on their holdings rather than signaling strong future performance.

What This Means for InvestorsIn summary, Dynatrace Inc DT is currently undervalued according to the GF Value™ assessment, which suggests that the stock has a significant upside potential. However, the recent insider selling and elevated P/E ratio compared to historical levels warrant caution. Investors should keep these factors in mind when evaluating their positions in the stock. For further details on Dynatrace's performance and metrics, visit the Dynatrace Inc (DT) stock page.

Frequently Asked QuestionsWhat is DT's GF Score™?

DT's GF Score™ is 91/100, indicating a strong investment opportunity based on various fundamental metrics.

Is DT overvalued or undervalued?

DT is currently undervalued with a GF Value™ of $69.62 compared to its price of $50.29, suggesting a 27.8% upside potential.

What is DT's P/E ratio?

DT's P/E (TTM) is 100.6x, which is higher than its 5-year median P/E of 95.3x, indicating the stock is trading at a premium compared to its historical valuation.

This stock alert was generated using automated technology and GuruFocus financial data to provide readers with timely and accurate market reporting. This content was reviewed by GuruFocus editorial team prior to publication. Please send any questions or comments about this story to [email protected].

Disclosures I/We may personally own shares in some of the companies mentioned above. However, those positions are not material to either the company or to my/our portfolios.

Information in Investor’s Business Daily is for informational and educational purposes only and should not be construed as an offer, recommendation, solicitation, or rating to buy or sell securities. The information has been obtained from sources we believe to be reliable, but we make no guarantee as to its accuracy, timeliness, or suitability, including with respect to information that appears in closed captioning. Historical investment performances are no indication or guarantee of future success or performance. Authors/presenters may own the stocks they discuss. We make no representations or warranties regarding the advisability of investing in any particular securities or utilizing any specific investment strategies. Information is subject to change without notice. For information on use of our services, please see our Terms of Use.

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$52.76

+3.72%

Software company Dynatrace, Inc. (DT) up 22% in 2026 thanks to institutional inflows.

In this article:DT

+3.72%

DT offers an AI-enabled technology platform that monitors enterprise cloud environments across geographical regions to optimize application performance and security. The company’s first-quarter 2027 report showed $2.14 billion in annual recurring revenue (a 17% year-over-year gain), total revenue of $554.5 million (a 15% jump), non-GAAP net income of $0.48 per share (exceeding guidance of $0.03 per share), and offered second-quarter revenue and full-year non-GAAP operating margin guidance of up to $570 million and 29.75%, respectively.

It’s no wonder DT shares are up 22% this year – and they could rise more. MoneyFlows data shows how Big Money investors are once again betting heavily on the forward picture of the stock.

Institutions Back for Dynatrace Institutional volumes reveal plenty. So far in 2026, DT has enjoyed strong investor demand, which we believe to be institutional support.

Each green bar signals unusually large volumes in DT shares. They reflect our proprietary inflow signal, pushing the stock higher:

Institutional inflows are again boosting DT shares, with inflows beginning in June helping send shares up 22% so far in 2026. Source: www.moneyflows.com Plenty of technology names are under accumulation right now. But there’s a powerful fundamental story happening with Dynatrace.

Dynatrace Fundamental Analysis Institutional support and a healthy fundamental backdrop make this company worth investigating. As you can see, DT has had strong sales and earnings growth:

3-year sales growth rate (+20.3%) 3-year EPS growth rate (+60.6%) Source: FactSet

Also, EPS is estimated to ramp higher this year by +14.6%.

Now it makes sense why the stock has been generating Big Money interest again. DT has a track record of strong financial performance.

Marrying great fundamentals with our proprietary software has found some big winning stocks over the long term.

Dynatrace has been a top-rated stock at MoneyFlows. That means the stock has unusual buy pressure and growing fundamentals. We have a ranking process that showcases stocks like this on a weekly basis.

It’s made the rare Outlier 20 report twice this year and 29 times since 2015. The blue bars below show when DT was a top pick in 2026…institutions remain buyers:

Two outlier inflows kept DT shares gaining – there have been 29 total outlier signals since 2015. Source: www.moneyflows.com Tracking unusual volumes reveals the power of money flows.

This is a trait that most outlier stocks exhibit…the best of the best. Big Money demand drives stocks upward.

Dynatrace Price Prediction The DT revival isn’t new at all. Big Money buying in the shares is signaling to take notice. Given the historical gains in share price and strong fundamentals, this stock could be worth a spot in a diversified portfolio.

Disclosure: the author holds no position in DT at the time of publication.

If you are a Registered Investment Advisor (RIA) or a serious investor, take your investing to the next level. MoneyFlows created 11 Frontiers indexes to help serious investors capture AI-driven themes and learn the leading stocks in each Frontier. Get started here.

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Lucas is a well-versed equity investor and educator. He currently is co-founder of research and analytics firm, MAPsignals.com, which focuses on finding outlier stocks by following the Big Money.

Latest news and analysis

BOSTON--(BUSINESS WIRE)--Dynatrace (NYSE: DT), the leading AI-powered observability platform, today released findings from The State of SRE and Platform Engineering 2026, a study examining how enterprises are orchestrating observability, automation, and AI to scale site reliability engineering (SRE) and platform engineering in large enterprises. The global survey of 919 IT leaders concludes that rapid AI adoption and the unique ways AI workloads operate is redefining the scope and structure of.

Dynatrace (NYSE:DT) said it plans to acquire AI observability company Arize for total consideration of $915 million, consisting of approximately $815 million in cash and replacement equity awards for Arize employees who join Dynatrace.

The transaction is expected to close by the end of September or in early October, subject to customary closing conditions and regulatory approvals. Dynatrace said it has sufficient cash on hand and access to its existing credit facility to fund the acquisition, and said its plans for share repurchases are unchanged.

Chief Executive Officer Rick McConnell described Arize as a category leader in AI observability and said the deal is intended to expand Dynatrace’s position in a market the company expects to exceed $10 billion by 2030. AI observability encompasses evaluation of AI-powered applications before and after release, as well as monitoring how large language models, agents and orchestration layers perform in production. Broader AI observability portfolio McConnell said enterprises need to assess whether AI systems are functioning, whether their outputs are accurate and trustworthy, and whether agentic systems are delivering their intended outcomes. He said AI systems can fail differently than traditional software, including through plausible but incorrect, biased or factually wrong outputs that may not generate conventional infrastructure alerts.

Arize adds capabilities in AI and agent evaluation, experimentation and agentic workflow optimization across development and production, according to Dynatrace. Those capabilities are intended to complement Dynatrace’s existing offerings in application and infrastructure observability, model performance, AI usage and cost, and business impact.

“This is not a point solution,” McConnell said. “It is a portfolio expansion that positions Dynatrace to better capture a greater share of AI spending in this rapidly emerging category.”

Dynatrace said it had already been investing internally in AI observability for roughly 18 months. McConnell said the acquisition would accelerate its roadmap by adding areas where Arize has developed deeper capabilities, including LLM experimentation, evaluations and observability for issues such as model drift and hallucinations.

Developer reach and open-source strategy A central element of the deal is Arize’s reach among AI developers through its open-source Phoenix platform. McConnell said Phoenix has millions of monthly downloads and is used for LLM evaluations. Arize also has an open-source standard called OpenInference, Dynatrace said.

Dynatrace expects the acquisition to extend its reach into developer-led buying motions and AI-native workloads. McConnell said the company views developers as increasingly influential in observability decisions as organizations move observability earlier in the software development cycle.

Arize currently has roughly 200 customers, with approximately 20% to 30% overlap with Dynatrace customers, Chief Financial Officer Jim Benson said. The companies already have shared customers across industries including automotive, communications, e-commerce and financial services, according to Dynatrace.

Dynatrace intends initially to let Arize operate with substantial independence rather than immediately fully integrating its technology. McConnell said the near-term priority is to preserve Arize’s growth and product-development velocity while integrating go-to-market efforts. Arize co-founder Jason is expected to join Dynatrace’s leadership team and lead Arize as a business unit, while Arize’s sales organization will have a dotted-line relationship to Dynatrace Chief Revenue Officer Dan Zugelder.

Dynatrace said it expects to eventually integrate Arize into its Dynatrace Platform Subscription, or DPS, offering, though Benson said that will not occur on day one. He added that Arize’s revenue-recognition model is similar to Dynatrace’s: annual contracts, ratable revenue recognition and advance billing.

Expected financial impact Benson said Arize is a small but rapidly growing business. Dynatrace expects the acquisition to be immediately accretive to annual recurring revenue growth and to contribute approximately 200 basis points to Dynatrace’s ARR growth rate in fiscal 2027, or roughly $40 million.

Dynatrace previously guided for fiscal 2027 ARR growth of 15.5% to 16.5%, Benson said. The company plans to provide additional information on Arize’s growth profile following the transaction close and during its second-quarter earnings call in early November.

On profitability, Dynatrace expects Arize to dilute non-GAAP operating margin by about 175 basis points in fiscal 2027. However, Benson said anticipated synergies should drive incremental operating-margin expansion from fiscal 2027 levels in fiscal 2028 and beyond.

The company does not expect a material impact on its second-quarter guidance because of the anticipated close timing. Dynatrace executives said the acquisition is designed to create cross-sell and upsell opportunities in both customer bases while adding access to AI-native companies and the broader developer community.

About Dynatrace (NYSE:DT) 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.

Datadog Soars, Dynatrace Slumps: Gap Widens in AI Agent StocksDynatrace NYSE: DT said it plans to acquire AI observability company Arize for total consideration of $915 million, consisting of approximately $815 million in cash and replacement equity awards for Arize employees who join Dynatrace.

The transaction is expected to close by the end of September or in early October, subject to customary closing conditions and regulatory approvals. Dynatrace said it has sufficient cash on hand and access to its existing credit facility to fund the acquisition, and said its plans for share repurchases are unchanged.

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3 Stocks Flashing Rare Buy Signals After the Market's Wildest MonthChief Executive Officer Rick McConnell described Arize as a category leader in AI observability and said the deal is intended to expand Dynatrace's position in a market the company expects to exceed $10 billion by 2030. AI observability encompasses evaluation of AI-powered applications before and after release, as well as monitoring how large language models, agents and orchestration layers perform in production.

Broader AI observability portfolio McConnell said enterprises need to assess whether AI systems are functioning, whether their outputs are accurate and trustworthy, and whether agentic systems are delivering their intended outcomes. He said AI systems can fail differently than traditional software, including through plausible but incorrect, biased or factually wrong outputs that may not generate conventional infrastructure alerts.

DTE’s Stargate Deal Turns Power Into ProfitsArize adds capabilities in AI and agent evaluation, experimentation and agentic workflow optimization across development and production, according to Dynatrace. Those capabilities are intended to complement Dynatrace's existing offerings in application and infrastructure observability, model performance, AI usage and cost, and business impact.

“This is not a point solution,” McConnell said. “It is a portfolio expansion that positions Dynatrace to better capture a greater share of AI spending in this rapidly emerging category.”

Dynatrace said it had already been investing internally in AI observability for roughly 18 months. McConnell said the acquisition would accelerate its roadmap by adding areas where Arize has developed deeper capabilities, including LLM experimentation, evaluations and observability for issues such as model drift and hallucinations.

Developer reach and open-source strategy A central element of the deal is Arize's reach among AI developers through its open-source Phoenix platform. McConnell said Phoenix has millions of monthly downloads and is used for LLM evaluations. Arize also has an open-source standard called OpenInference, Dynatrace said.

Dynatrace expects the acquisition to extend its reach into developer-led buying motions and AI-native workloads. McConnell said the company views developers as increasingly influential in observability decisions as organizations move observability earlier in the software development cycle.

Arize currently has roughly 200 customers, with approximately 20% to 30% overlap with Dynatrace customers, Chief Financial Officer Jim Benson said. The companies already have shared customers across industries including automotive, communications, e-commerce and financial services, according to Dynatrace.

Dynatrace intends initially to let Arize operate with substantial independence rather than immediately fully integrating its technology. McConnell said the near-term priority is to preserve Arize's growth and product-development velocity while integrating go-to-market efforts. Arize co-founder Jason is expected to join Dynatrace's leadership team and lead Arize as a business unit, while Arize's sales organization will have a dotted-line relationship to Dynatrace Chief Revenue Officer Dan Zugelder.

Dynatrace said it expects to eventually integrate Arize into its Dynatrace Platform Subscription, or DPS, offering, though Benson said that will not occur on day one. He added that Arize's revenue-recognition model is similar to Dynatrace's: annual contracts, ratable revenue recognition and advance billing.

Expected financial impact Benson said Arize is a small but rapidly growing business. Dynatrace expects the acquisition to be immediately accretive to annual recurring revenue growth and to contribute approximately 200 basis points to Dynatrace's ARR growth rate in fiscal 2027, or roughly $40 million.

Dynatrace previously guided for fiscal 2027 ARR growth of 15.5% to 16.5%, Benson said. The company plans to provide additional information on Arize's growth profile following the transaction close and during its second-quarter earnings call in early November.

On profitability, Dynatrace expects Arize to dilute non-GAAP operating margin by about 175 basis points in fiscal 2027. However, Benson said anticipated synergies should drive incremental operating-margin expansion from fiscal 2027 levels in fiscal 2028 and beyond.

The company does not expect a material impact on its second-quarter guidance because of the anticipated close timing. Dynatrace executives said the acquisition is designed to create cross-sell and upsell opportunities in both customer bases while adding access to AI-native companies and the broader developer community.

About Dynatrace (NYSE:DT)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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected].

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Should You Invest $1,000 in Dynatrace Right Now?Before you consider Dynatrace, you'll want to hear this.

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While Dynatrace currently has a Moderate Buy rating among analysts, top-rated analysts believe these five stocks are better buys.

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BOSTON--(BUSINESS WIRE)--Dynatrace, Inc. (“Dynatrace”) (NYSE: DT), the leading AI-powered observability platform, today announced that its indirect wholly-owned subsidiary, Dynatrace LLC (the “Issuer”), priced its offering of $1.25 billion aggregate principal amount of its 0.00% Exchangeable Senior Notes due 2031 (the “notes”) in a private placement (the “offering”) to persons reasonably believed to be qualified institutional buyers pursuant to Rule 144A under the Securities Act of 1933, as ame.

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The popular research service can help you become a smarter, more self-assured investor, giving you access to daily updates of the Zacks Rank and Zacks Industry Rank, the Zacks #1 Rank List, Equity Research reports, and Premium stock screens.

It also includes access to the Zacks Style Scores.

What are the Zacks Style Scores? The Zacks Style Scores, developed alongside the Zacks Rank, are complementary indicators that rate stocks based on three widely-followed investing methodologies; they also help investors pick stocks with the best chances of beating the market over the next 30 days.

Based on their value, growth, and momentum characteristics, each stock is assigned a rating of A, B, C, D, or F. The better the score, the better chance the stock will outperform; an A is better than a B, a B is better than a C, and so on.

The Style Scores are broken down into four categories:

Value ScoreValue investors love finding good stocks at good prices, especially before the broader market catches on to a stock's true value. Utilizing ratios like P/E, PEG, Price/Sales, Price/Cash Flow, and many other multiples, the Value Style Score identifies the most attractive and most discounted stocks.

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VGM ScoreWhat if you like to use all three types of investing? The VGM Score is a combination of all Style Scores, making it one of the most comprehensive indicators to use with the Zacks Rank. It rates each stock on their combined weighted styles, which helps narrow down the companies with the most attractive value, best growth forecast, and most promising momentum.

How Style Scores Work with the Zacks Rank The Zacks Rank, which is a proprietary stock-rating model, employs earnings estimate revisions, or changes to a company's earnings expectations, to make building a winning portfolio easier.

Investors can count on the Zacks Rank's success, with #1 (Strong Buy) stocks producing an unmatched +23.94% average annual return since 1988, more than double the S&P 500's performance. But the model rates a large number of stocks, and there are over 200 companies with a Strong Buy rank, plus another 600 with a #2 (Buy) rank, on any given day.

With more than 800 top-rated stocks to choose from, it can certainly feel overwhelming to pick the ones that are right for you and your investing journey.

That's where the Style Scores come in.

To have the best chance of big returns, you'll want to always consider stocks with a Zacks Rank #1 or #2 that also have Style Scores of A or B, which will give you the highest probability of success. If you're looking at stocks with a #3 (Hold) rank, it's important they have Scores of A or B as well to ensure as much upside potential as possible.

As mentioned above, the Scores are designed to work with the Zacks Rank, so any change to a company's earnings outlook should be a deciding factor when picking which stocks to buy.

A stock with a #4 (Sell) or #5 (Strong Sell) rating, for instance, even one with Scores of A and B, will still have a declining earnings forecast, and a greater chance its share price will fall too.

Thus, the more stocks you own with a #1 or #2 Rank and Scores of A or B, the better.

Stock to Watch: Dynatrace (DT - Free Report) Dynatrace provides an AI-powered observability and application security platform that unifies data, context, and automation to help enterprises monitor, secure, and optimize modern software environments. The platform integrates with hyperscalers (AWS, Azure, Google Cloud) and supports hybrid/on-premises systems, including mainframes. Customers primarily use SaaS, with an optional self-managed Dynatrace Managed for data sovereignty. 

DT is a #3 (Hold) on the Zacks Rank, with a VGM Score of B.

Momentum investors should take note of this Computer and Technology stock. DT has a Momentum Style Score of A, and shares are up 10.7% over the past four weeks.

Nine analysts revised their earnings estimate higher in the last 60 days for fiscal 2027, while the Zacks Consensus Estimate has increased $0.03 to $1.98 per share. DT also boasts an average earnings surprise of +6.6%.

With a solid Zacks Rank and top-tier Momentum and VGM Style Scores, DT should be on investors' short list.

Dynatrace, Inc. (DT) M&A Call Transcript

BOSTON & SAN FRANCISCO--(BUSINESS WIRE)--Dynatrace (NYSE: DT), the leading AI-powered observability platform, has signed a definitive agreement to acquire Arize in a cash and stock transaction valued at $915 million. Together, Dynatrace and Arize will enable customers to evaluate, operate, and continuously improve AI applications from development through production at scale. AI Observability spans the full lifecycle of an AI application, from experimentation and evaluation before release, to tr.

Investors interested in Computers - IT Services stocks are likely familiar with TD SYNNEX (SNX) and Dynatrace (DT). But which of these two stocks is more attractive to value investors?

Datadog Soars, Dynatrace Slumps: Gap Widens in AI Agent StocksDynatrace NYSE: DT CEO Rick McConnell said the observability market is entering a new phase as artificial intelligence workloads increase the need for monitoring, analysis and automation across enterprise technology environments.

Speaking at the KeyBank Technology Leadership Forum, McConnell said AI is not affecting all software categories equally, but he views observability as an “AI winner” because AI workloads require more oversight rather than less. Traditional observability has focused on business resilience, including whether software is running and meeting expected requirements. AI observability adds questions around whether an AI system’s outputs are accurate and based on the right information, he said.

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AI Raises the Importance of End-to-End Observability 3 Stocks Flashing Rare Buy Signals After the Market's Wildest MonthMcConnell said application performance management, or APM, is particularly relevant for AI observability because tracing is important for use cases such as large-language-model evaluation and experimentation. However, he said organizations also need a broader, integrated platform that combines traces, metrics, logs, real-user data and security-related information.

“The way to have confidence in your answers is by having the collection of all these domains using all data types,” McConnell said. He argued that enterprises can no longer effectively rely on separate vendors for APM, infrastructure monitoring, user monitoring, security and log management.

DTE’s Stargate Deal Turns Power Into ProfitsAccording to McConnell, integrated data can support increasingly automated operations. He described a process in which the Dynatrace platform identifies an incident, analyzes the cause, determines a triage plan and uses agents to execute actions. Organizations may choose to retain human review before agents act, he said.

McConnell added that the eventual goal is autonomous operations, particularly as AI agents are increasingly used to write code and enterprises manage a growing number of applications and infrastructure components.

Company Cites ARR, Log and Customer Acquisition Momentum McConnell characterized Dynatrace’s first-quarter performance as strong across the business. He said the company reported 41% organic net-new annual recurring revenue, or ARR, growth, exceeding the high end of its guidance across metrics.

While he cautioned that the company does not expect to deliver more than 40% net-new ARR growth every quarter, McConnell said the quarter supported Dynatrace’s outlook for ARR reacceleration. He described fiscal 2026 as a year focused on stabilizing ARR growth and fiscal 2027 as a year aimed at reaccelerating it.

McConnell identified three themes behind the quarter’s results:

Growing demand associated with AI workloads and AI-generated code. Rapid growth in log-management consumption. A record increase in new-logo ARR, which rose more than 160% year over year. On logs, McConnell said Dynatrace had previously targeted $100 million in log consumption during fiscal 2026. The company reached that level a few quarters ago and has since surpassed $200 million in log consumption, meaning consumption doubled within two quarters.

He said customers are often considering Dynatrace for existing, rather than new, logging workloads. Cost is a major driver, according to McConnell, who said enterprises have raised concerns over rapidly rising log costs. He also cited Dynatrace’s Bindplane acquisition, which he said enables inbound log filtering and can reduce the volume of logs that must be ingested and stored.

Platform Subscription Model Supports Broader Adoption McConnell said Dynatrace’s Platform Subscription, or DPS, has helped customers adopt the platform more broadly. Under the model, customers make an overall spending commitment and draw down that commitment based on their changing use of Dynatrace capabilities, rather than purchasing separate product-specific stock-keeping units.

DPS now represents 75% of Dynatrace ARR and is used by more than two-thirds of customers, McConnell said. He said the model can be particularly useful for customers whose usage varies by season, such as e-commerce companies that may need more observability during November and December.

As three-year DPS agreements come up for renewal, the company expects customer contract commitments to increasingly reflect consumption growth. McConnell said platform consumption continues to grow by more than 20%, compared with the company’s indicated 17% ARR growth inclusive of the Bindplane acquisition. He said the renewal cycle could support improved net revenue retention, particularly in the second half of the year.

Early AI Adoption Producing Higher Consumption McConnell said AI deployment remains in the “early innings,” but Dynatrace is already observing AI workloads for more than 1,000 customers. The company has deployed Dynatrace agents for actions such as automatic remediation and triage at more than 800 customers, he said.

Customers using Dynatrace for AI-related workloads are consuming the platform at a rate roughly 1.5 times that of non-AI cohorts, McConnell said, partly because AI systems generate substantial telemetry data.

He said Dynatrace sees several potential AI-related monetization avenues, including increased platform consumption, AI-observability capabilities and charges associated with agent actions. However, McConnell said the company has not incorporated those incremental monetization layers into its guidance because it is still unclear how quickly they will develop.

McConnell estimated that AI observability represents a $10 billion incremental category within an approximately $80 billion overall observability market, adding that the AI-observability segment is growing at an estimated 40% to 50% rate.

About Dynatrace (NYSE:DT)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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected].

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Should You Invest $1,000 in Dynatrace Right Now?Before you consider Dynatrace, you'll want to hear this.

MarketBeat keeps track of Wall Street's top-rated and best performing research analysts and the stocks they recommend to their clients on a daily basis. MarketBeat has identified the five stocks that top analysts are quietly whispering to their clients to buy now before the broader market catches on... and Dynatrace wasn't on the list.

While Dynatrace currently has a Moderate Buy rating among analysts, top-rated analysts believe these five stocks are better buys.

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Datadog Soars, Dynatrace Slumps: Gap Widens in AI Agent StocksDynatrace NYSE: DT said its first-quarter fiscal 2027 results exceeded the high end of its guidance, supported by record new-logo growth, expanding platform consumption and continued demand for observability tools as enterprises deploy more artificial intelligence workloads.

Total annual recurring revenue, or ARR, reached $2.14 billion, up 17% year over year in constant currency. Net new ARR was $85 million, an increase of 66% from the prior-year quarter. Excluding the $13 million contribution from the BindPlane acquisition, organic net new ARR was $73 million, representing 41% growth.

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3 Stocks Flashing Rare Buy Signals After the Market's Wildest MonthChief Executive Officer Rick McConnell said the quarter reinforced management’s confidence that Dynatrace can accelerate ARR growth during fiscal 2027. The company cited enterprise demand for end-to-end observability, improving go-to-market execution and increasing complexity in customer technology environments as contributors to the performance.

Revenue, profitability and customer additions Total revenue was $555 million, while subscription revenue was $530 million. Both measures increased 15% year over year in constant currency and were 100 basis points above the high end of Dynatrace’s guidance, according to Chief Financial Officer Jim Benson.

DTE’s Stargate Deal Turns Power Into ProfitsNon-GAAP operating margin was 29%, also exceeding the company’s guidance by 100 basis points. Non-GAAP net income totaled $140 million, or $0.48 per diluted share, which was $0.03 above the high end of the company’s outlook.

Dynatrace generated $309 million in adjusted free cash flow during the first quarter. The company updated its free-cash-flow definition to exclude restructuring, acquisition-related and other non-recurring cash expenses. On a trailing 12-month basis, adjusted free cash flow was $579 million, or 28% of revenue, including a 500-basis-point effect from cash taxes.

The company added 122 new logos during the quarter. Average land size was nearly $285,000, helping drive more than 160% growth in new-logo ARR. Benson said the results reflected a go-to-market strategy that increasingly targets strategic and enterprise accounts, as well as demand from customers seeking to consolidate fragmented monitoring tools onto a single platform.

Average ARR per customer rose to more than $500,000. Gross retention remained in the mid-90% range, while trailing-12-month net retention was 110%.

Logs and AI usage emerge as growth drivers Log management remained Dynatrace’s fastest-growing product category, growing more than 100% and reaching nearly $200 million in annualized consumption. The company had surpassed $100 million in annualized log consumption two quarters earlier.

Benson said BindPlane, which supports OpenTelemetry data collection, was performing ahead of plan and would help accelerate the logs business. BindPlane contributed $13 million of ARR in the first quarter and is included in Dynatrace’s reported log-consumption figure.

Management also emphasized AI as a driver of platform usage and potential monetization. McConnell said AI workloads generate significantly more telemetry, including logs, traces and metrics, than prior workloads. Dynatrace sees three AI-related revenue opportunities: increased consumption from AI workloads, demand for AI observability capabilities, and usage of Dynatrace’s own AI functions and agents through its Dynatrace Platform Subscription, or DPS, model.

More than 1,000 customers now use Dynatrace to observe AI and large-language-model workloads in production, up from about 850 in the preceding quarter. More than 800 customers are using Dynatrace agentic capabilities for autonomous operations, up from about 500 in the prior quarter. Consumption growth among customers in those AI cohorts is 1.5 times that of customers outside the cohort, McConnell said.

Dynatrace estimated that the AI observability market will exceed $10 billion by 2030 and grow at more than 50% annually. McConnell said the opportunity is expected to develop over time rather than rapidly displace the company’s core end-to-end observability business.

The company also highlighted Bluebox, a new offering intended for AI-first development teams. McConnell said Bluebox provides coding agents with context from live systems before software changes are released and can identify root causes and return evidence-backed fixes after deployment, while keeping developers in control.

Outlook maintained for ARR growth; revenue and EPS guidance raised Dynatrace maintained its full-year constant-currency ARR growth outlook of 15.5% to 16.5%. Benson said the company expects foreign exchange to reduce reported ARR by $14 million and revenue by $4 million, reflecting an incremental currency headwind of $23 million to ARR and $19 million to revenue compared with prior assumptions.

For fiscal 2027, Dynatrace raised its constant-currency total revenue and subscription revenue growth outlook by 25 basis points at the midpoint. It now expects both measures to grow 14.5% to 15% year over year.

Full-year non-GAAP operating margin is expected to reach up to 29.75%. Non-GAAP earnings per diluted share are projected at $1.97 to $1.99, up $0.04 at the midpoint. Adjusted free-cash-flow margin guidance was maintained at 26.5%. Second-quarter revenue and subscription revenue growth are expected to be 15% to 16%. Second-quarter non-GAAP operating margin is projected at 29.5% to 30%, with non-GAAP EPS of $0.48 to $0.49. Benson said the company expects its DPS renewals to be weighted toward the second half of the fiscal year, with roughly 70% of annual resets occurring during that period. If consumption trends continue, he said management expects improved expansion activity and a possible net-retention-rate inflection in the back half.

Dynatrace repurchased 7.1 million shares for $275 million during the quarter, compared with $224 million in the prior quarter. Benson said the stepped-up repurchase activity reflected management’s confidence in the company’s operating momentum, long-term growth prospects and cash-flow outlook.

CFO retirement planned McConnell also said Benson plans to retire by the end of fiscal 2027. Dynatrace plans to conduct a search for a successor, and McConnell said he expects a smooth transition.

“We are pleased with our strong start to fiscal 2027 and remain confident that we are on the right track to accelerate ARR growth,” Benson said.

About Dynatrace (NYSE:DT)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.

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Posted by Defense World Staff on Aug 6th, 2026

Cetera Investment Advisers lowered its position in shares of Dynatrace, Inc. (NYSE:DT – Free Report) by 12.1% in the first quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The fund owned 91,616 shares of the company’s stock after selling 12,662 shares during the period. Cetera Investment Advisers’ holdings in Dynatrace were worth $3,388,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

Other institutional investors have also recently made changes to their positions in the company. Pictet Asset Management Holding SA grew its holdings in shares of Dynatrace by 7.9% in the first quarter. Pictet Asset Management Holding SA now owns 15,809,223 shares of the company’s stock valued at $584,649,000 after purchasing an additional 1,160,690 shares in the last quarter. State Street Corp lifted its holdings in Dynatrace by 1.0% during the 4th quarter. State Street Corp now owns 10,664,357 shares of the company’s stock worth $462,193,000 after buying an additional 101,994 shares in the last quarter. Wellington Management Group LLP lifted its holdings in Dynatrace by 9.0% during the 4th quarter. Wellington Management Group LLP now owns 7,999,919 shares of the company’s stock worth $346,716,000 after buying an additional 659,792 shares in the last quarter. First Trust Advisors LP boosted its position in Dynatrace by 706.8% in the 1st quarter. First Trust Advisors LP now owns 6,801,507 shares of the company’s stock valued at $251,520,000 after buying an additional 5,958,505 shares during the period. Finally, Geode Capital Management LLC boosted its position in Dynatrace by 2.3% in the 4th quarter. Geode Capital Management LLC now owns 6,098,443 shares of the company’s stock valued at $263,631,000 after buying an additional 137,225 shares during the period. Hedge funds and other institutional investors own 94.28% of the company’s stock.

Key Stories Impacting Dynatrace Here are the key news stories impacting Dynatrace this week:

Positive Sentiment: Dynatrace reported adjusted EPS of $0.48, exceeding the $0.44 consensus estimate and rising from $0.42 a year earlier. Revenue reached $554.55 million, topping expectations of $549.46 million and increasing 16.3% year over year. Dynatrace earnings results Positive Sentiment: Management cited 41% organic net new annual recurring revenue growth, signaling strong customer demand and improving momentum in its observability platform. Dynatrace fiscal first-quarter results Positive Sentiment: Fiscal 2027 EPS guidance of $1.97-$1.99 is well above the approximately $1.78 analyst consensus, while second-quarter EPS guidance of $0.48-$0.49 also exceeds the $0.44 consensus. Positive Sentiment: BTIG Research raised its price target from $47 to $62 and upgraded the stock to “buy,” adding to the bullish analyst reaction following the earnings release. BTIG price-target increase Neutral Sentiment: Fiscal 2027 revenue guidance of approximately $2.3 billion is broadly in line with Wall Street expectations, limiting the upside from the otherwise strong EPS outlook. Negative Sentiment: Second-quarter revenue guidance of $565 million-$570 million is slightly below the $570.1 million consensus, and reports indicated that Dynatrace modestly lowered its full-year revenue outlook. Dynatrace earnings and guidance report Wall Street Analyst Weigh In A number of research firms have issued reports on DT. BMO Capital Markets increased their price target on Dynatrace from $43.00 to $50.00 and gave the company an “outperform” rating in a research report on Tuesday, June 16th. Zacks Research raised Dynatrace from a “hold” rating to a “strong-buy” rating in a research report on Monday, July 13th. Cantor Fitzgerald upped their target price on shares of Dynatrace from $37.00 to $47.00 and gave the stock a “neutral” rating in a research note on Monday. TD Cowen raised their target price on shares of Dynatrace from $45.00 to $50.00 and gave the company a “buy” rating in a report on Wednesday, July 22nd. Finally, BTIG Research lifted their price target on shares of Dynatrace from $47.00 to $62.00 and gave the stock a “buy” rating in a research note on Wednesday. One investment analyst has rated the stock with a Strong Buy rating, twenty-two have assigned a Buy rating and seven have given a Hold rating to the stock. According to MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $50.38.

Read Our Latest Report on Dynatrace

Dynatrace Stock Up 11.5% DT opened at $50.97 on Thursday. Dynatrace, Inc. has a 52 week low of $31.64 and a 52 week high of $53.29. The business has a 50 day moving average price of $43.21 and a two-hundred day moving average price of $39.45. The company has a market cap of $14.79 billion, a PE ratio of 94.39, a P/E/G ratio of 2.94 and a beta of 0.72.

Dynatrace (NYSE:DT – Get Free Report) last announced its quarterly earnings data on Wednesday, August 5th. The company reported $0.48 earnings per share for the quarter, beating analysts’ consensus estimates of $0.45 by $0.03. Dynatrace had a return on equity of 10.37% and a net margin of 8.06%.The company had revenue of $554.55 million for the quarter, compared to analyst estimates of $550.18 million. During the same quarter in the previous year, the company earned $0.42 EPS. The firm’s revenue for the quarter was up 16.3% compared to the same quarter last year. Dynatrace has set its Q2 2027 guidance at 0.480-0.490 EPS and its FY 2027 guidance at 1.970-1.990 EPS. As a group, sell-side analysts expect that Dynatrace, Inc. will post 1.11 EPS for the current fiscal year.

Dynatrace Profile (Free Report)

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.

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Dynatrace, Inc. delivered strong Q1 '27 results, with revenues up 16.2% to $554.5M and ARR growth of 17%, outperforming estimates. DT's profitability remains robust, with a 56% free cash flow margin and a debt-free balance sheet, despite higher cloud hosting costs impacting margins. Guidance for FY27 was revised downward for ARR and revenue, but non-GAAP operating margin guidance was slightly raised, driving a 12% share price surge.

Dynatrace (DT - Free Report) came out with quarterly earnings of $0.48 per share, beating the Zacks Consensus Estimate of $0.45 per share. This compares to earnings of $0.42 per share a year ago. These figures are adjusted for non-recurring items.

This quarterly report represents an earnings surprise of +6.67%. A quarter ago, it was expected that this software intellegence company would post earnings of $0.39 per share when it actually produced earnings of $0.41, delivering a surprise of +5.13%.

Over the last four quarters, the company has surpassed consensus EPS estimates four times.

Dynatrace, which belongs to the Zacks Computers - IT Services industry, posted revenues of $554.55 million for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 0.96%. This compares to year-ago revenues of $477.35 million. The company has topped consensus revenue estimates four times over the last four quarters.

The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.

Dynatrace shares have added about 5.5% since the beginning of the year versus the S&P 500's gain of 13%.

What's Next for Dynatrace?While Dynatrace has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?

There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.

Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.

Ahead of this earnings release, the estimate revisions trend for Dynatrace was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.

It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.48 on $569.58 million in revenues for the coming quarter and $1.95 on $2.33 billion in revenues for the current fiscal year.

Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Computers - IT Services is currently in the bottom 38% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.

Cerence (CRNC - Free Report) , another stock in the same industry, has yet to report results for the quarter ended June 2026. The results are expected to be released on August 6.

This automotive artificial intelligence developer is expected to post quarterly earnings of $0.13 per share in its upcoming report, which represents a year-over-year change of +44.4%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days.

Cerence's revenues are expected to be $68.26 million, up 9.7% from the year-ago quarter.

BOSTON--(BUSINESS WIRE)--Dynatrace (NYSE: DT), the leading AI-powered observability platform, today announced financial results for the first quarter of fiscal 2027 ended June 30, 2026. "Dynatrace delivered an exceptional quarter, led by 41% organic net new ARR growth,"1 said Rick McConnell, Chief Executive Officer of Dynatrace. "Demand continues to strengthen as enterprises expand cloud-native workloads and accelerate their AI initiatives. As software becomes increasingly AI-driven, customers.

Posted by Defense World Staff on Aug 3rd, 2026

California State Teachers Retirement System lowered its stake in Dynatrace, Inc. (NYSE:DT – Free Report) by 3.3% during the 1st quarter, according to its most recent disclosure with the Securities & Exchange Commission. The firm owned 355,263 shares of the company’s stock after selling 11,983 shares during the quarter. California State Teachers Retirement System owned about 0.12% of Dynatrace worth $13,138,000 as of its most recent filing with the Securities & Exchange Commission.

Other large investors have also recently made changes to their positions in the company. Cim LLC lifted its position in shares of Dynatrace by 1.0% in the third quarter. Cim LLC now owns 22,184 shares of the company’s stock valued at $1,075,000 after acquiring an additional 228 shares in the last quarter. Orion Porfolio Solutions LLC boosted its stake in shares of Dynatrace by 1.4% in the third quarter. Orion Porfolio Solutions LLC now owns 16,983 shares of the company’s stock worth $823,000 after acquiring an additional 231 shares during the period. Assetmark Inc. grew its position in shares of Dynatrace by 0.7% during the fourth quarter. Assetmark Inc. now owns 36,629 shares of the company’s stock worth $1,588,000 after purchasing an additional 248 shares in the last quarter. Northwestern Mutual Wealth Management Co. grew its position in shares of Dynatrace by 21.3% during the second quarter. Northwestern Mutual Wealth Management Co. now owns 1,548 shares of the company’s stock worth $85,000 after purchasing an additional 272 shares in the last quarter. Finally, Van Berkom & Associates Inc. raised its stake in Dynatrace by 1.4% during the 4th quarter. Van Berkom & Associates Inc. now owns 21,837 shares of the company’s stock valued at $946,000 after purchasing an additional 302 shares during the period. 94.28% of the stock is owned by hedge funds and other institutional investors.

Analyst Upgrades and Downgrades A number of research analysts recently commented on the company. Wedbush set a $48.00 price target on Dynatrace in a report on Friday, May 15th. Scotiabank cut their price objective on shares of Dynatrace from $47.00 to $44.00 and set a “sector outperform” rating for the company in a report on Thursday, May 14th. The Goldman Sachs Group lifted their price objective on shares of Dynatrace from $45.00 to $50.00 and gave the company a “buy” rating in a research report on Thursday, June 18th. Jefferies Financial Group reiterated a “hold” rating on shares of Dynatrace in a research report on Tuesday, July 21st. Finally, UBS Group raised shares of Dynatrace from a “neutral” rating to a “buy” rating and boosted their target price for the stock from $36.00 to $60.00 in a report on Monday, June 15th. One investment analyst has rated the stock with a Strong Buy rating, twenty-two have issued a Buy rating and seven have given a Hold rating to the company’s stock. According to MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $49.42.

Read Our Latest Stock Report on DT

Dynatrace Stock Performance NYSE:DT opened at $44.30 on Monday. The company’s 50-day simple moving average is $42.80 and its 200-day simple moving average is $39.31. Dynatrace, Inc. has a fifty-two week low of $31.64 and a fifty-two week high of $54.01. The stock has a market capitalization of $12.86 billion, a P/E ratio of 82.05, a P/E/G ratio of 2.85 and a beta of 0.73.

Dynatrace (NYSE:DT – Get Free Report) last announced its earnings results on Wednesday, May 13th. The company reported $0.41 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.39 by $0.02. Dynatrace had a return on equity of 10.37% and a net margin of 8.06%.The company had revenue of $531.72 million for the quarter, compared to analyst estimates of $521.01 million. During the same period in the prior year, the company posted $0.33 EPS. The firm’s quarterly revenue was up 19.4% compared to the same quarter last year. Dynatrace has set its FY 2027 guidance at 1.930-1.950 EPS and its Q1 2027 guidance at 0.440-0.450 EPS. On average, research analysts forecast that Dynatrace, Inc. will post 1.11 EPS for the current year.

About Dynatrace (Free Report)

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.

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BOSTON--(BUSINESS WIRE)--Dynatrace (NYSE: DT), the leading AI-powered observability platform, today announced the appointment of Chandu Thota to its Board of Directors effective July 27, 2026. Mr. Thota brings more than 20 years of experience building and scaling technology platforms at the intersection of AI, cloud infrastructure, and enterprise software at leading technology companies, including Google and Microsoft. “Chandu is a visionary technology leader with deep expertise in AI, machine.

On July 27, 2026, Dynatrace Inc (DT) shares rose 5.0% today, reflecting a current price of $43.72 within a 52-week range of $31.64 to $55.49. The stock has show

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Stock to Watch: Dynatrace (DT - Free Report) Dynatrace provides an AI-powered observability and application security platform that unifies data, context, and automation to help enterprises monitor, secure, and optimize modern software environments. The platform integrates with hyperscalers (AWS, Azure, Google Cloud) and supports hybrid/on-premises systems, including mainframes. Customers primarily use SaaS, with an optional self-managed Dynatrace Managed for data sovereignty. 

DT is a #3 (Hold) on the Zacks Rank, with a VGM Score of B.

Additionally, the company could be a top pick for growth investors. DT has a Growth Style Score of A, forecasting year-over-year earnings growth of 14.7% for the current fiscal year.

One analyst revised their earnings estimate upwards in the last 60 days for fiscal 2027. The Zacks Consensus Estimate has increased $0.00 to $1.95 per share. DT boasts an average earnings surprise of +7.6%.

With a solid Zacks Rank and top-tier Growth and VGM Style Scores, DT should be on investors' short list.

BOSTON--(BUSINESS WIRE)--Dynatrace (NYSE: DT), the leading AI-powered observability platform, announced major advancements to Dynatrace Intelligence that help automatically resolve incidents, prevent disruptions, and accelerate operations while maintaining the human oversight and governance enterprises require. Building on the introduction of Dynatrace Intelligence earlier this year, Dynatrace is adding new autonomous agents for incident triage and remediation, and no-code custom agent creation.

BOSTON--(BUSINESS WIRE)--Dynatrace (NYSE: DT), the leading AI-powered observability platform, today announced that it will report financial results for its first quarter of fiscal year 2027 ended June 30, 2026 before the U.S. financial markets open on August 5, 2026. In conjunction with this report, Dynatrace will host a conference call and live webcast to discuss the company's financial results and its business outlook. Conference Call Details The conference call will begin at 8:00 a.m. Easter.

Dynatrace (DT - Free Report) closed the most recent trading day at $42.85, moving -4.16% from the previous trading session. This move lagged the S&P 500's daily gain of 0.89%. Meanwhile, the Dow gained 0.74%, and the Nasdaq, a tech-heavy index, added 1.29%.

Shares of the software intellegence company witnessed a gain of 10.5% over the previous month, beating the performance of the Computer and Technology sector with its loss of 6.6%, and the S&P 500's loss of 0.63%.

The upcoming earnings release of Dynatrace will be of great interest to investors. The company is predicted to post an EPS of $0.45, indicating a 7.14% growth compared to the equivalent quarter last year. Simultaneously, our latest consensus estimate expects the revenue to be $549.3 million, showing a 15.07% escalation compared to the year-ago quarter.

Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $1.95 per share and revenue of $2.33 billion, indicating changes of +14.71% and +15.23%, respectively, compared to the previous year.

Investors should also take note of any recent adjustments to analyst estimates for Dynatrace. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.

Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.

The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, there's been a 0.22% fall in the Zacks Consensus EPS estimate. Dynatrace is currently a Zacks Rank #3 (Hold).

Investors should also note Dynatrace's current valuation metrics, including its Forward P/E ratio of 22.97. Its industry sports an average Forward P/E of 12.98, so one might conclude that Dynatrace is trading at a premium comparatively.

Investors should also note that DT has a PEG ratio of 1.65 right now. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Computers - IT Services stocks are, on average, holding a PEG ratio of 0.99 based on yesterday's closing prices.

The Computers - IT Services industry is part of the Computer and Technology sector. Currently, this industry holds a Zacks Industry Rank of 68, positioning it in the top 28% of all 250+ industries.

The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.

BOSTON--(BUSINESS WIRE)--Dynatrace (NYSE: DT), the leading AI-powered observability platform, today announced that Gartner has named it a Leader in the 2026 Magic Quadrant for Observability Platforms. Gartner evaluated 19 vendors for this year's Magic Quadrant, with Dynatrace being named a Leader for the 16th time. "Enterprises running mission-critical systems on AI-powered infrastructure need more than visibility; they need answers," said Steve Tack, EVP, Chief Product Officer at Dynatrace. "A.