Wells Fargo & Company Cuts Dynatrace (NYSE:DT) Price Target to $50.00

Dynatrace (NYSE:DT) had its price target cut by Wells Fargo & Company from $65.00 to $50.00 in a research note released on Tuesday morning,Benzinga reports. They currently have an overweight rating on the stock.

Several other brokerages also recently weighed in on DT. Canaccord Genuity Group set a $50.00 target price on Dynatrace in a research note on Tuesday. TD Cowen cut their price objective on shares of Dynatrace from $65.00 to $55.00 and set a “buy” rating on the stock in a research note on Wednesday, January 21st. Keefe, Bruyette & Woods upgraded shares of Dynatrace to a “buy” rating in a research report on Monday. UBS Group set a $51.00 price target on shares of Dynatrace in a research note on Thursday, November 6th. Finally, KeyCorp increased their price objective on shares of Dynatrace from $50.00 to $52.00 and gave the company an “overweight” rating in a report on Tuesday. Twenty analysts have rated the stock with a Buy rating and seven have issued a Hold rating to the company. Based on data from MarketBeat, the stock has an average rating of “Moderate Buy” and an average price target of $52.52.

Dynatrace Stock Down 1.6%

DT stock opened at $36.54 on Tuesday. The stock has a market cap of $10.90 billion, a PE ratio of 59.90, a price-to-earnings-growth ratio of 2.93 and a beta of 0.84. The firm’s 50-day simple moving average is $41.32 and its 200 day simple moving average is $45.93. Dynatrace has a fifty-two week low of $32.83 and a fifty-two week high of $62.74.

Dynatrace (NYSE:DT) last posted its earnings results on Monday, February 9th. The company reported $0.44 EPS for the quarter, topping the consensus estimate of $0.41 by $0.03. The firm had revenue of $515.47 million during the quarter, compared to analysts’ expectations of $506.31 million. Dynatrace had a net margin of 9.55% and a return on equity of 9.75%. Dynatrace’s quarterly revenue was up 18.2% on a year-over-year basis. During the same quarter in the prior year, the firm earned $0.37 EPS. Dynatrace has set its FY 2026 guidance at 1.670-1.690 EPS and its Q4 2026 guidance at 0.380-0.390 EPS. Equities analysts forecast that Dynatrace will post 0.68 EPS for the current fiscal year.

Dynatrace declared that its Board of Directors has initiated a stock buyback program on Monday, February 9th that allows the company to repurchase $1.00 billion in outstanding shares. This repurchase authorization allows the company to buy up to 9.8% of its shares through open market purchases. Shares repurchase programs are generally a sign that the company’s board of directors believes its stock is undervalued.

Insider Buying and Selling

In other Dynatrace news, EVP Dan Zugelder sold 7,505 shares of the company’s stock in a transaction on Wednesday, December 10th. The stock was sold at an average price of $45.27, for a total value of $339,751.35. Following the transaction, the executive vice president owned 8,925 shares of the company’s stock, valued at approximately $404,034.75. This represents a 45.68% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CAO Daniel S. Yates sold 2,000 shares of the stock in a transaction on Monday, November 17th. The shares were sold at an average price of $46.69, for a total value of $93,380.00. Following the sale, the chief accounting officer owned 23,380 shares of the company’s stock, valued at $1,091,612.20. This trade represents a 7.88% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 9,843 shares of company stock worth $448,124 over the last quarter. Insiders own 0.57% of the company’s stock.

Institutional Investors Weigh In On Dynatrace

A number of institutional investors and hedge funds have recently modified their holdings of the stock. Vanguard Group Inc. boosted its position in shares of Dynatrace by 2.4% in the 3rd quarter. Vanguard Group Inc. now owns 32,142,909 shares of the company’s stock valued at $1,557,324,000 after purchasing an additional 739,895 shares during the period. Pictet Asset Management Holding SA lifted its stake in Dynatrace by 16.5% during the fourth quarter. Pictet Asset Management Holding SA now owns 14,648,533 shares of the company’s stock valued at $634,985,000 after buying an additional 2,076,990 shares in the last quarter. State Street Corp boosted its holdings in shares of Dynatrace by 2.8% in the third quarter. State Street Corp now owns 10,562,363 shares of the company’s stock worth $511,746,000 after buying an additional 286,352 shares during the period. American Century Companies Inc. increased its position in shares of Dynatrace by 0.9% in the third quarter. American Century Companies Inc. now owns 7,919,446 shares of the company’s stock worth $383,697,000 after acquiring an additional 73,827 shares in the last quarter. Finally, Wellington Management Group LLP raised its holdings in shares of Dynatrace by 719.3% during the third quarter. Wellington Management Group LLP now owns 7,340,127 shares of the company’s stock valued at $355,629,000 after acquiring an additional 6,444,262 shares during the period. 94.28% of the stock is owned by institutional investors and hedge funds.

Dynatrace News Summary

Here are the key news stories impacting Dynatrace this week:

• Positive Sentiment: Q3 beat, raised guidance and double-digit ARR growth reinforce revenue durability and product stickiness; management also emphasized AI observability and platform expansion as future growth drivers. Dynatrace’s Earnings Win Makes One Thing Clear: This Software Is Essential
• Positive Sentiment: Board authorized a $1 billion share repurchase program (replacing a largely-completed $500M plan), which reduces share count and signals management confidence. Share Repurchase Program Announced by Dynatrace (NYSE:DT) Board of Directors
• Positive Sentiment: Cantor highlights stronger security sales following recent M&A activity, suggesting cross-sell and product-suite expansion are already contributing to revenue. Cantor Notes Strengthening Security Sales Post-M&A Activity For Dynatrace, Inc. (DT)
• Positive Sentiment: Several firms reiterated bullish views (DA Davidson, Guggenheim, KeyCorp) after the quarter, supporting upside case tied to enterprise consolidation and recurring revenue strength. DA Davidson reaffirms buy on Dynatrace (DT) after solid Q3
• Neutral Sentiment: Sector-value comparisons (e.g., vs. Genpact) highlight valuation tradeoffs for investors deciding between IT services/observability exposures; useful for positioning but not immediately market-moving. G vs. DT: Which Stock Is the Better Value Option?
• Negative Sentiment: Morgan Stanley cut its price target to $43, signaling valuation concerns and contributing to downward pressure. Morgan Stanley Lowers Dynatrace (NYSE:DT) Price Target to $43.00
• Negative Sentiment: BTIG trimmed its target to $53 and Wells Fargo pulled its target to $50—multiple firms citing sector-wide multiple compression rather than company-specific execution failures. BTIG Research Cuts Dynatrace (NYSE:DT) Price Target to $53.00
• Negative Sentiment: Scotiabank lowered expectations for the stock, adding to the cluster of downgrades/target cuts that are weighing on near-term sentiment. Scotiabank Has Lowered Expectations for Dynatrace (NYSE:DT) Stock Price

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.