Dynatrace (NYSE:DT) Releases Q2 2027 Earnings Guidance

Dynatrace (NYSE:DT) issued an update on its second quarter 2027 earnings guidance on Wednesday. The company provided earnings per share (EPS) guidance of 0.480-0.490 for the period, compared to the consensus EPS estimate of 0.440. The company issued revenue guidance of $565.0 million-$570.0 million, compared to the consensus revenue estimate of $570.1 million. Dynatrace also updated its FY 2027 guidance to 1.970-1.990 EPS.

Wall Street Analyst Weigh In

A number of equities research analysts recently commented on the company. BTIG Research lifted their target price on Dynatrace from $47.00 to $62.00 and gave the stock a “buy” rating in a report on Wednesday. KeyCorp lifted their price objective on shares of Dynatrace from $47.00 to $53.00 and gave the company an “overweight” rating in a research note on Thursday, July 16th. Rosenblatt Securities reaffirmed a “buy” rating and issued a $52.00 price objective on shares of Dynatrace in a report on Tuesday. Guggenheim lowered shares of Dynatrace from a “buy” rating to a “neutral” rating in a research note on Wednesday, May 13th. Finally, Barclays raised their target price on shares of Dynatrace from $44.00 to $48.00 and gave the stock an “overweight” rating in a report on Tuesday, July 21st. One investment analyst has rated the stock with a Strong Buy rating, twenty-two have issued a Buy rating and seven have assigned a Hold rating to the company. According to MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus target price of $50.38.

Dynatrace Trading Up 12.3%

DT stock traded up $5.63 during mid-day trading on Wednesday, reaching $51.34. The company’s stock had a trading volume of 9,575,727 shares, compared to its average volume of 6,276,150. The stock has a market cap of $14.90 billion, a PE ratio of 95.08, a P/E/G ratio of 2.87 and a beta of 0.72. Dynatrace has a fifty-two week low of $31.64 and a fifty-two week high of $53.29. The company’s 50 day moving average is $42.97 and its two-hundred day moving average is $39.37.

Dynatrace (NYSE:DT) last posted its quarterly earnings results on Wednesday, August 5th. The company reported $0.48 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.44 by $0.04. Dynatrace had a return on equity of 10.37% and a net margin of 8.06%.The business had revenue of $554.55 million during the quarter, compared to analyst estimates of $549.46 million. During the same period in the prior year, the business earned $0.42 earnings per share. The business’s revenue 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. On average, analysts forecast that Dynatrace will post 1.11 earnings per share for the current fiscal year.

Key Dynatrace News

Here are the key news stories impacting Dynatrace this week:

• Positive Sentiment: Dynatrace reported fiscal Q1 earnings of $0.48 per share, above the $0.44-$0.45 analyst consensus and up from $0.42 a year earlier. Revenue reached $554.55 million, exceeding estimates of approximately $549.5 million and increasing 16.3% year over year. Dynatrace Q1 Earnings and Revenues Top Estimates
• Positive Sentiment: Management highlighted 41% organic net new annual recurring revenue growth, suggesting stronger customer demand and momentum from enterprise cloud adoption and AI-related spending. Key operating metrics also reportedly topped expectations. Dynatrace Reports First Quarter Fiscal Year 2027 Financial Results
• Positive Sentiment: Fiscal 2027 adjusted EPS guidance was raised or set at $1.97-$1.99, well above the roughly $1.78 consensus. Second-quarter EPS guidance of $0.48-$0.49 also exceeded the $0.44 estimate, supporting expectations for continued earnings growth.
• Neutral Sentiment: Full-year revenue guidance of approximately $2.3 billion was broadly in line with analyst expectations, limiting the upside from the earnings outlook. Dynatrace Earnings and Revenue Report
• Negative Sentiment: Second-quarter revenue guidance of $565 million-$570 million was slightly below the $570.1 million consensus, and reports noted a modest reduction to fiscal 2027 revenue expectations. This could temper the valuation benefit from the strong EPS outlook.
• Neutral Sentiment: Analyst sentiment remains generally constructive but valuation expectations vary: Rosenblatt reaffirmed a Buy rating with a $52 price target, while Cantor Fitzgerald raised its target to $47. Cantor Fitzgerald Raises Dynatrace Price Target

Institutional Investors Weigh In On Dynatrace

Several hedge funds and other institutional investors have recently bought and sold shares of DT. Cim LLC boosted its holdings in Dynatrace by 1.0% in the 3rd quarter. Cim LLC now owns 22,184 shares of the company’s stock valued at $1,075,000 after purchasing an additional 228 shares during the last quarter. Orion Porfolio Solutions LLC boosted its stake in Dynatrace by 1.4% during the third quarter. Orion Porfolio Solutions LLC now owns 16,983 shares of the company’s stock worth $823,000 after buying an additional 231 shares during the period. Northwestern Mutual Wealth Management Co. increased 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 valued at $85,000 after acquiring an additional 272 shares during the last quarter. Principal Securities Inc. boosted its position in shares of Dynatrace by 1.3% during the 4th quarter. Principal Securities Inc. now owns 24,879 shares of the company’s stock worth $1,078,000 after purchasing an additional 316 shares during the period. Finally, Jones Financial Companies Lllp boosted its position in shares of Dynatrace by 19.2% during the 1st quarter. Jones Financial Companies Lllp now owns 2,161 shares of the company’s stock worth $102,000 after purchasing an additional 348 shares during the period. 94.28% of the stock is currently owned by institutional investors and hedge funds.

About Dynatrace

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.