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

Dynatrace (NYSE:DT) had its price target reduced by investment analysts at Wells Fargo & Company from $65.00 to $50.00 in a research note issued on Tuesday,Benzinga reports. The brokerage presently has an “overweight” rating on the stock. Wells Fargo & Company‘s target price suggests a potential upside of 34.61% from the stock’s current price.

A number of other equities analysts have also recently commented on DT. BMO Capital Markets cut their price target on shares of Dynatrace from $56.00 to $45.00 and set an “outperform” rating for the company in a research note on Monday. Raymond James Financial reaffirmed a “market perform” rating on shares of Dynatrace in a report on Monday. Jefferies Financial Group reduced their target price on Dynatrace from $65.00 to $55.00 and set a “buy” rating on the stock in a research note on Monday, January 5th. Scotiabank lowered their price target on Dynatrace from $67.00 to $60.00 and set an “outperform” rating on the stock in a research report on Thursday, November 6th. Finally, TD Cowen cut their price objective on Dynatrace from $65.00 to $55.00 and set a “buy” rating for the company in a report on Wednesday, January 21st. Twenty investment analysts have rated the stock with a Buy rating and seven have assigned a Hold rating to the stock. According to data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and an average price target of $52.52.

Dynatrace Stock Up 0.9%

Shares of NYSE DT opened at $37.15 on Tuesday. The firm has a market capitalization of $11.20 billion, a P/E ratio of 60.89, a P/E/G ratio of 2.90 and a beta of 0.84. The stock’s 50-day simple moving average is $41.47 and its two-hundred day simple moving average is $46.00. Dynatrace has a twelve month low of $32.83 and a twelve month high of $63.00.

Dynatrace (NYSE:DT) last issued its quarterly earnings results on Monday, February 9th. The company reported $0.44 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.41 by $0.03. The firm had revenue of $515.47 million during the quarter, compared to the consensus estimate of $506.31 million. Dynatrace had a return on equity of 9.75% and a net margin of 9.55%.The company’s revenue for the quarter was up 18.2% on a year-over-year basis. During the same quarter last year, the company posted $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. As a group, research analysts anticipate that Dynatrace will post 0.68 EPS for the current fiscal year.

Dynatrace announced that its board has authorized a share repurchase plan on Monday, February 9th that authorizes the company to repurchase $1.00 billion in shares. This repurchase authorization authorizes the company to buy up to 9.8% of its shares through open market purchases. Shares repurchase plans are generally an indication that the company’s management believes its stock is undervalued.

Insider Activity

In related news, EVP Dan Zugelder sold 7,505 shares of the firm’s stock in a transaction that occurred on Wednesday, December 10th. The stock was sold at an average price of $45.27, for a total transaction of $339,751.35. Following the transaction, the executive vice president directly owned 8,925 shares in the company, valued at $404,034.75. This trade represents a 45.68% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, CAO Daniel S. Yates sold 2,000 shares of the business’s stock in a transaction that occurred 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 completion of the sale, the chief accounting officer owned 23,380 shares of the company’s stock, valued at $1,091,612.20. The trade was a 7.88% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold a total of 9,843 shares of company stock valued at $448,124 over the last 90 days. 0.57% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Dynatrace

Large investors have recently added to or reduced their stakes in the company. Wellington Management Group LLP raised its stake 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 last quarter. Scge Management L.P. purchased a new position in Dynatrace during the 2nd quarter valued at about $155,858,000. Pictet Asset Management Holding SA raised its position in Dynatrace by 16.5% during the 4th quarter. Pictet Asset Management Holding SA now owns 14,648,533 shares of the company’s stock valued at $634,985,000 after purchasing an additional 2,076,990 shares during the last quarter. Northwestern Mutual Wealth Management Co. raised its position in Dynatrace by 123,910.9% during the 4th quarter. Northwestern Mutual Wealth Management Co. now owns 1,881,245 shares of the company’s stock valued at $81,533,000 after purchasing an additional 1,879,728 shares during the last quarter. Finally, Norges Bank purchased a new stake in Dynatrace in the 2nd quarter worth approximately $87,620,000. Institutional investors own 94.28% of the company’s stock.

More Dynatrace News

Here are the key news stories impacting Dynatrace this week:

• Positive Sentiment: Q3 beat-and-raise: Dynatrace reported revenue of $515.5M (+18% Y/Y), non-GAAP EPS of $0.44 (vs. $0.41 est.) and raised full‑year targets — evidence of accelerating recurring revenue and stronger-than-expected demand. Dynatrace’s Earnings Win Makes One Thing Clear: This Software Is Essential
• Positive Sentiment: $1.0 billion buyback: The board authorized up to ~$1B (≈9.8% of shares), signaling management confidence, reducing share count, and providing tangible capital return that supports EPS and a near‑term price floor. Share Repurchase Program Announced by Dynatrace (NYSE:DT) Board of Directors
• Positive Sentiment: AI & product expansion: Management pushed agentic AI/observability messaging (Dynatrace Intelligence) and recent DevCycle integration, positioning the platform as essential for AI reliability and creating new monetization paths. This supports upside to ARR and customer expansion. Dynatrace (DT) Navigates Market Skepticism With Product Expansion
• Neutral Sentiment: Strong customer economics: ARR ~ $1.97B (≈20% Y/Y), NRR ~111% and high gross retention — metrics that support long‑term recurring revenue but may already be partially priced in. Dynatrace: Growth Should Start To Accelerate
• Neutral Sentiment: Earnings call & transcript detail execution and product road map; useful for confirming management commentary on ARR, margins and buyback pacing. Dynatrace Inc (DT) Q3 2026 Earnings Call Highlights: Strong Growth and Strategic Advancements
• Neutral Sentiment: Bullish research remains: Guggenheim reaffirmed a buy and KeyCorp raised its PT — these keep upside narratives alive but the analyst views are mixed. Dynatrace buy rating reaffirmation (Guggenheim)
• Negative Sentiment: Analyst cuts and valuation pressure: Multiple firms cut price targets (e.g., Morgan Stanley, Wells Fargo, Scotiabank, BTIG) citing compressed multiples in the sector — a headwind that can cap near‑term upside despite good fundamentals. DT Price Target Lowered by Morgan Stanley
• Neutral Sentiment: Valuation vs. peers: Some commentary argues DT is undervalued relative to peers (Datadog) given ARR growth and free cash flow, but market still prices the stock more conservatively — a potential medium‑term catalyst if multiples re‑rate. Dynatrace Is Still Growing Quickly Despite A Conservative Valuation

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.