The Descartes Systems Group (NASDAQ:DSGX) Sets New 12-Month Low on Analyst Downgrade

Shares of The Descartes Systems Group Inc. (NASDAQ:DSGX) (TSE:DSG) hit a new 52-week low during mid-day trading on Wednesday after Scotiabank lowered their price target on the stock from $115.00 to $95.00. Scotiabank currently has an outperform rating on the stock. The Descartes Systems Group traded as low as $64.42 and last traded at $64.4490, with a volume of 59180 shares traded. The stock had previously closed at $66.36.

Several other brokerages have also commented on DSGX. Weiss Ratings reaffirmed a “hold (c)” rating on shares of The Descartes Systems Group in a report on Monday, December 29th. Zacks Research upgraded shares of The Descartes Systems Group from a “hold” rating to a “strong-buy” rating in a research report on Friday, January 16th. BMO Capital Markets decreased their price target on shares of The Descartes Systems Group from $113.00 to $95.00 and set a “market perform” rating on the stock in a research report on Thursday, December 4th. Morgan Stanley upgraded shares of The Descartes Systems Group from an “equal weight” rating to an “overweight” rating in a research note on Thursday, January 15th. Finally, CIBC reduced their price objective on The Descartes Systems Group from $127.00 to $126.00 and set an “outperform” rating for the company in a research note on Wednesday, October 29th. Two investment analysts have rated the stock with a Strong Buy rating, eight have given a Buy rating and two have given a Hold rating to the company’s stock. According to MarketBeat.com, the company currently has a consensus rating of “Buy” and a consensus price target of $114.20.

Hedge Funds Weigh In On The Descartes Systems Group

Large investors have recently made changes to their positions in the business. Stephens Investment Management Group LLC boosted its stake in shares of The Descartes Systems Group by 4.5% in the fourth quarter. Stephens Investment Management Group LLC now owns 207,652 shares of the technology company’s stock worth $18,203,000 after acquiring an additional 8,935 shares during the period. Stephens Inc. AR lifted its holdings in The Descartes Systems Group by 37.0% in the 4th quarter. Stephens Inc. AR now owns 12,536 shares of the technology company’s stock worth $1,099,000 after purchasing an additional 3,384 shares in the last quarter. Northwestern Mutual Wealth Management Co. lifted its holdings in The Descartes Systems Group by 18,207.6% in the 4th quarter. Northwestern Mutual Wealth Management Co. now owns 172,091 shares of the technology company’s stock worth $15,085,000 after purchasing an additional 171,151 shares in the last quarter. Meridian Wealth Management LLC boosted its stake in The Descartes Systems Group by 29.1% in the 4th quarter. Meridian Wealth Management LLC now owns 4,307 shares of the technology company’s stock worth $378,000 after purchasing an additional 970 shares during the period. Finally, Sequoia Financial Advisors LLC purchased a new stake in The Descartes Systems Group during the 4th quarter valued at approximately $303,000. 77.73% of the stock is currently owned by hedge funds and other institutional investors.

The Descartes Systems Group Price Performance

The stock has a market cap of $5.84 billion, a P/E ratio of 38.36 and a beta of 0.75. The firm’s 50-day moving average price is $85.27 and its 200-day moving average price is $92.50.

The Descartes Systems Group (NASDAQ:DSGX) (TSE:DSG) last issued its earnings results on Wednesday, December 3rd. The technology company reported $0.50 earnings per share for the quarter, topping analysts’ consensus estimates of $0.46 by $0.04. The firm had revenue of $186.78 million during the quarter, compared to analyst estimates of $184.24 million. The Descartes Systems Group had a net margin of 22.10% and a return on equity of 10.57%. The Descartes Systems Group’s revenue for the quarter was up 11.2% on a year-over-year basis. During the same quarter in the prior year, the business earned $0.42 earnings per share. Sell-side analysts expect that The Descartes Systems Group Inc. will post 1.64 earnings per share for the current year.

About The Descartes Systems Group

The Descartes Systems Group Inc (NASDAQ: DSGX) is a global provider of cloud-based logistics and supply chain management solutions. The company’s software-as-a-service platform connects and optimizes the flow of goods, information and payments across the global supply chain, helping businesses coordinate transportation, customs clearance, routing, scheduling and fleet management. Descartes’ modular applications serve shippers, carriers, third-party logistics providers and regulatory authorities by enabling real-time visibility, compliance and execution across complex trade networks.

Headquartered in Waterloo, Ontario, Descartes was founded in 1981 and has grown through a combination of organic development and strategic acquisitions.