D/E 0.06 — less debt than most Technology peers (≈25th pctile)
P/E84.2xC
P/E 84.2 — expensive vs Technology peers (≈90th pctile)
PEG0.94B+
PEG 0.94 — near fair value, classic Lynch benchmark (1.0)
Forward price target — the 1-year figure is the analyst consensus where the stock is covered; the 5- and 10-year figures compound our earnings estimate from there. The DCF below is a separate cross-check on intrinsic value (what it's worth today), not another target.
Quality-growth score · 73.1
Quality0.66
Growth0.98
Value0.60
Why this score
Buying back stock
Entry · Margin of safety
52-week rangeMid-range
18% off the 12-month high
vs DCF fair value0% aboveest. fair value ~$45
Quality signals · context only
Gross profitability37% · B+gross profit ÷ total assets (Novy-Marx)
ROIC7.4% · C+return on invested capital — not score-weighted
Why now
Software - Application · market cap $13.2b. 18% off the 52-week high of $55.49. Revenue growing +19%, comfortably above the S&P median. PEG 0.94 — paying under fair value for the growth rate. 33 sell-side analysts rate this a Buy with a mean 1-yr target of $45.48 (implying +0% upside).
Moat
Free cash flow runs well ahead of reported net income — non-cash charges (depreciation, intangible amortization) are holding down GAAP earnings while cash generation stays strong. Software economics — recurring revenue, embedded customer workflows, and high gross margin all compound the moat once a base account is won. Switching costs are the lever.
Risk
Trailing P/E 84.2x prices in sustained high growth — any quarter that disappoints triggers sharp re-rating. ROE 6% is below the long-run sustainable threshold of ~10% — capital efficiency would need to improve for the equity base to compound at the market rate. Software — competitive moat is durable until it isn't; watch net revenue retention, gross margin trends, and any new market entrant with a fundamentally lower price point.
Horizon
1-3 yr $45.48 (33-analyst consensus) — fundamentals + valuation re-rating. 5 yr $66.59 at ~8% CAGR — compounding case rests on the competitive position widening. 10 yr $98.79 if current growth sustains into durable earnings power.
Not investment advice. The Bull Rankings publishes a quantitative ranking model and accompanying analysis for general informational purposes only. Nothing on this page is a recommendation to buy, sell, or hold any security; nothing is personalized to your circumstances, risk tolerance, or tax situation. Investing carries the risk of loss — invest at your own risk and consider consulting a licensed financial professional before acting on anything you read here. See terms and methodology for full disclosures.
Score history · DT
Trend
-0.4 over 14 daily scores
From 73.5 (Jun 22) → 73.1 (now)
One point per daily model run. The range autoscales, so a flat-looking line can still hide 1–2 point moves — read the From → To values for the actual range.
Position sizing · DT
$
%
%
Shares to buy
44
Position size
$2,000
4.0% of portfolio
Stop price
$34.09
25% below $45.45
$ at risk if stopped
$499.95
budget $500.00 · 1% of portfolio
Math only — share count is floor(portfolio × risk% ÷ (price × stop%)). Doesn't account for commissions, slippage, gap risk, or position-correlation across your book. Inputs persist locally; never sent to the server. Not investment advice.
Dynatrace, Inc. (DT): score, valuation & FAQ
Dynatrace, Inc. (DT) is a Software - Application company that scores 73.1 out of 100 on the Bull Rankings quality-growth model — a solid, above-average reading. The score blends three pillars — quality (durable returns, healthy margins, low leverage), growth (revenue and earnings), and value (valuation versus sector peers) — into one number, refreshed daily; it is a screen, not a buy recommendation.
Its strongest graded signals are D/E (A-), Rev (B+) and PEG (B+). On valuation, DT sits close to our DCF fair-value estimate (within a few percent).
Is DT a good stock to buy?
Bull Rankings scores DT 73.1 out of 100 on its quality-growth model, which is a solid, above-average reading. That is driven by D/E (A-), Rev (B+) and PEG (B+). A score is a quantitative screen of Dynatrace, Inc.'s fundamentals, not personalised financial advice — weigh it against your own time horizon and risk tolerance, and read the risk factors below before acting.
Why does DT score 73.1 on Bull Rankings?
The quality-growth score blends three pillars — quality (returns on capital, margins, leverage, earnings quality), growth (revenue and earnings expansion), and value (valuation versus sector peers). DT earns its highest marks on D/E (A-), Rev (B+) and PEG (B+). Each pillar is graded against sector-aware thresholds, then combined into the single 0–100 score.
Is DT overvalued or undervalued?
Based on $45.45, DT sits close to our DCF fair-value estimate (within a few percent). It trades at a 84.2x× P/E (graded C). Discounted-cash-flow estimates are sensitive to growth and discount-rate assumptions, so treat this as a cross-check, not a price target.
What are the main risks of investing in DT?
Trailing P/E 84.2x prices in sustained high growth — any quarter that disappoints triggers sharp re-rating. ROE 6% is below the long-run sustainable threshold of ~10% — capital efficiency would need to improve for the equity base to compound at the market rate. Software — competitive moat is durable until it isn't; watch net revenue retention, gross margin trends, and any new market entrant with a fundamentally lower price point.
Bull Rankings is an automated fundamentals screen for research and education. It is not investment advice, and nothing here is a recommendation to buy or sell any security. Do your own research and consider consulting a licensed financial adviser.