Dynatrace, Inc.
- Open
- 53.46
- Day high
- 54.84
- Day low
- 53.40
- Prev close
- 53.67
- Volume
- 7.4M
- Mkt cap
- $15.8B
- P/E (TTM)
- 107.4
- EPS (TTM)
- $0.51
- P/B
- 6.4
- P/S
- 7.5
- Yield
- —
- Per share
- —
- ▼Insiders net selling -$10K over the last 3 months (0 open-market buys, 4 sales)
- 🏛Institutions mixed (13F)
Dynatrace, Inc. (DT) is a Technology company listed on NYSE. The stock is up 7% over the past year. Over the trailing 3 months, insiders filed 0 open-market buys and 4 sales (SEC Form 4). Drillr has 1 published research article covering DT.
Dynatrace, Inc. (DT) financials & analyst ratings
Fundamentals (TTM)
Analyst consensus · 19 analysts
Source: exchange market data + company filings. Figures are trailing-twelve-month or as most recently reported. For informational purposes only — not investment advice.
DT earnings date, history & EPS estimates
| Report date | EPS est | EPS actual | Surprise | Revenue | Rev. surprise |
|---|---|---|---|---|---|
| Aug 5, 2026 | $0.45 | $0.48 | +7.7% | $555M | +0.8% |
| May 13, 2026 | $0.39 | $0.41 | +5.1% | $532M | +2.1% |
| Nov 5, 2025 | $0.41 | $0.44 | +7.5% | $494M | +1.3% |
| May 14, 2025 | $0.30 | $0.33 | +9.0% | $445M | +2.4% |
| Jan 30, 2025 | $0.33 | $0.37 | +12.1% | $436M | +0.2% |
| Nov 7, 2024 | $0.32 | $0.37 | +15.0% | $418M | +2.9% |
| May 15, 2024 | $0.27 | $0.30 | +9.5% | $381M | +1.3% |
| Feb 8, 2024 | $0.28 | $0.32 | +13.5% | $365M | -1.9% |
| Nov 2, 2023 | $0.27 | $0.31 | +14.8% | $352M | +2.1% |
| Aug 2, 2023 | $0.22 | $0.27 | +22.7% | $333M | +1.8% |
| May 17, 2023 | $0.22 | $0.31 | +40.9% | $314M | +3.1% |
| Feb 1, 2023 | $0.22 | $0.25 | +13.6% | $297M | +4.5% |
DT insider trading activity (SEC Form 4)
| Date | Insider | Type | Shares | Price |
|---|---|---|---|---|
| Aug 27, 2026 | Rowland Stephen Ericdirector | Grant | 4,458 | — |
| Aug 27, 2026 | LIFSHATZ STEPHEN Jdirector | Grant | 4,458 | — |
| Aug 27, 2026 | Kulkarni Amoldirector | Grant | 4,458 | — |
| Aug 27, 2026 | Campbell Lisa Mdirector | Grant | 4,458 | — |
| Aug 27, 2026 | Wolberg Kirsten O.director | Grant | 4,458 | — |
| Aug 27, 2026 | Capone Michael Ldirector | Grant | 4,458 | — |
| Aug 27, 2026 | RIEDEL GEORGE ANDREWdirector | Grant | 709 | — |
| Aug 27, 2026 | Ward Jill Adirector | Grant | 4,458 | — |
| Aug 27, 2026 | Streetman Frederick Danieldirector | Grant | 709 | — |
| Aug 27, 2026 | Thota Chandrasekhardirector | Grant | 379 | — |
| Aug 24, 2026 | Capone Michael Ldirector | Option | 4,111 | — |
| Aug 24, 2026 | Ward Jill Adirector | Option | 4,111 | — |
| Aug 24, 2026 | Kulkarni Amoldirector | Option | 4,111 | — |
| Aug 24, 2026 | Wolberg Kirsten O.director | Option | 4,111 | — |
| Aug 24, 2026 | LIFSHATZ STEPHEN Jdirector | Option | 4,111 | — |
Source: DT SEC Form 4 filings, latest Aug 27, 2026. For informational purposes only — not investment advice.
See the full DT insider & 13F page →Dynatrace, Inc. company profile
Overview
Dynatrace, Inc. (NYSE:DT) is a software intelligence company founded in 2005 and headquartered in Waltham, Massachusetts. The company went public in August 2019 and operates a unified observability and security platform that helps organizations monitor, analyze, and optimize their digital applications and infrastructure across dynamic multi-cloud environments. Dynatrace serves customers globally across various industries including banking, insurance, retail, manufacturing, travel, and software companies, helping them modernize IT operations, accelerate software development, and enhance user experiences in an increasingly complex digital landscape.
Business
Dynatrace operates in the observability and application performance monitoring market, providing a comprehensive software intelligence platform for modern digital enterprises. The company's core offering is the Dynatrace Platform, which delivers end-to-end visibility into application performance, infrastructure health, user experience, and security posture across complex, distributed computing environments. The platform consists of several integrated modules that work together to provide comprehensive observability: 1. Application Performance Monitoring (APM) - Tracks application performance, identifies bottlenecks, and provides code-level insights for both traditional and cloud-native applications including microservices architectures. 2. Infrastructure Monitoring - Monitors servers, containers, cloud services, and network components to ensure optimal performance and availability of underlying IT infrastructure. 3. Digital Experience Monitoring - Captures real user interactions and synthetic monitoring to understand how end-users experience applications across web, mobile, and other digital touchpoints. 4. Log Management and Analytics - Ingests, processes, and analyzes log data from across the technology stack, powered by the company's proprietary Grail data lakehouse technology. 5. Application Security - Provides runtime application security protection, vulnerability detection, and cloud security posture management to identify and mitigate security risks. 6. Business Analytics - Connects technical performance metrics to business outcomes, helping organizations understand the impact of IT performance on revenue and customer satisfaction. The platform is powered by Davis, Dynatrace's proprietary AI engine that uses causal, predictive, and generative AI to automatically detect anomalies, determine root causes, and provide intelligent recommendations. This AI-driven approach enables what the company calls "autonomous cloud operations," where many monitoring and remediation tasks can be performed without human intervention. Dynatrace primarily serves enterprise customers operating complex, distributed applications in cloud-native environments. The observability market addresses the challenge that as organizations adopt microservices, containers, serverless computing, and multi-cloud architectures, traditional monitoring tools become inadequate for understanding system behavior and performance across these dynamic, interconnected environments.
Revenue model
Dynatrace operates a Software-as-a-Service (SaaS) subscription model with multiple revenue streams. The company generates revenue primarily through recurring subscription fees for access to its observability platform, with customers typically signing annual or multi-year contracts. The company offers two main licensing models: 1. Traditional SKU-based licensing - Customers purchase specific modules or capabilities separately, with pricing typically based on the number of monitored entities (hosts, applications, users, etc.). 2. Dynatrace Platform Subscription (DPS) - A unified licensing model that provides access to the full platform capabilities under a single contract, designed to reduce friction and encourage broader platform adoption. As of fiscal 2025, over 40% of customers and 60% of Annual Recurring Revenue (ARR) comes from DPS customers. Revenue is also generated through: - Professional services including implementation, consulting, and training services - On-demand consumption for usage-based features like log ingestion and analysis The company's customers are primarily large enterprises and mid-market companies that pay based on the scale of their IT infrastructure and applications being monitored. Dynatrace targets the "Global 15,000" companies and has increasingly focused on strategic enterprise accounts and the "IT 500" segment. Factors that positively impact margins include: - Platform consolidation trends as customers seek to reduce vendor sprawl and standardize on unified observability solutions - Cloud modernization initiatives driving increased demand for cloud-native monitoring capabilities - AI and digital transformation projects creating more complex environments requiring sophisticated observability - DPS adoption leading to higher platform utilization and expansion - Partner ecosystem leverage with over 70% of deployments now partner-influenced, reducing direct sales costs Factors that could pressure margins include: - Competitive pricing pressure from established players like New Relic, Datadog, and Splunk, as well as cloud provider native tools - Economic uncertainty leading to longer sales cycles and more cautious customer spending - Investment in sales capacity and go-to-market expansion to capture market opportunities - R&D investments in AI capabilities and new product development to maintain technological leadership
Competitive moat
Dynatrace possesses a moderate to strong competitive moat built on several key advantages, though the company faces meaningful competitive pressures in the rapidly evolving observability market. The company's primary moat stems from its proprietary AI engine "Davis" and its comprehensive, unified platform approach. Davis differentiates Dynatrace by automatically discovering application topologies, detecting anomalies, and determining root causes without requiring manual configuration - a significant advantage over competitors that often require extensive setup and tuning. The company's Grail data lakehouse technology provides another technical differentiator, enabling high-performance analytics across massive datasets. Customer switching costs create additional moat strength. Once deployed, Dynatrace becomes deeply integrated into customers' IT operations and incident response processes. The platform's automatic discovery and AI-driven insights become embedded in daily workflows, making replacement disruptive and costly. The company's strong net retention rates (110-119% historically) demonstrate this stickiness. Network effects provide modest moat protection as the platform becomes more valuable with broader deployment across an organization's technology stack. Customers using multiple modules benefit from correlated insights across application performance, infrastructure, user experience, and security domains. However, Dynatrace faces significant competitive threats that limit moat strength: Cloud provider competition represents the most serious threat, as AWS, Microsoft Azure, and Google Cloud offer native observability tools that integrate seamlessly with their platforms and are often provided at lower cost or bundled with other services. As more workloads move to the cloud, customers may prefer these native solutions. Established competitors like Datadog, New Relic, and Splunk offer similar capabilities and have their own customer bases and technological advantages. The observability market remains fragmented with multiple viable alternatives. Open source alternatives and emerging startups continue to challenge incumbents with innovative approaches, potentially disrupting traditional commercial offerings. The company's moat is strengthened by its focus on enterprise customers who value comprehensive, AI-driven solutions and are willing to pay premium prices for reduced operational complexity. However, the rapid pace of technological change in cloud computing and observability requires continuous innovation to maintain competitive advantages.
Risks & safety
Dynatrace demonstrates a strong financial position with solid margins of safety across multiple metrics, though valuation remains elevated. Liquidity and Solvency: - Cash and short-term investments: $1.02 billion as of Q4 2025 - Current ratio: 1.40x indicating adequate short-term liquidity - Minimal debt with debt-to-equity ratio of only 0.029 - Strong free cash flow generation: $433 million in fiscal 2025 (25% of revenue) - No meaningful solvency risk given strong balance sheet and recurring revenue model Valuation Metrics: - Price-to-earnings ratio: 89.8x (based on Q4 2025 trailing metrics) - significantly elevated - EV/EBITDA: 76.8x - very high multiple suggesting expensive valuation - Price-to-book ratio: 5.4x - moderately elevated for a software company - Revenue multiple: Approximately 9.7x trailing revenue - reasonable for a growing SaaS company Other Considerations: - Recurring revenue model provides predictable cash flows with 95%+ revenue from subscriptions - Annual Recurring Revenue (ARR) of $1.73 billion growing at 17% provides visibility - Net retention rate of 110% demonstrates customer expansion - Operating leverage potential as the company scales - However, high valuation multiples leave little room for execution missteps or growth deceleration
Recent development
Over the past few years, Dynatrace has undergone significant strategic evolution focused on platform unification, AI advancement, and go-to-market optimization. The company's most significant strategic pivot has been the introduction of the Dynatrace Platform Subscription (DPS) licensing model, which provides customers access to the full platform under a single contract rather than purchasing individual modules. This shift has driven broader platform adoption, with DPS customers consuming capabilities twice as fast as traditional customers and now representing over 40% of the customer base and 60% of ARR. The company has heavily invested in AI and automation capabilities, positioning itself for what management calls "autonomous cloud operations." The Davis AI engine has been enhanced with causal, predictive, and generative AI capabilities, while the company is developing what it describes as a "multi-layered agentic AI platform" that can automatically remediate issues without human intervention. These AI investments directly address the growing complexity of cloud-native environments and position Dynatrace for the AI-driven increase in software development and deployment. Product expansion has been another key focus, particularly in high-growth adjacent markets. The company's log management capabilities, powered by the proprietary Grail data lakehouse, have become the fastest-growing product category with over one-third of customers now using log solutions. Management expects log consumption to exceed $100 million in fiscal 2026 with over 100% growth. Similarly, the application security module has gained traction with nearly 400 customers, as Dynatrace targets $100 million in security ARR. The company has also transformed its go-to-market strategy, shifting focus toward larger strategic accounts (the "IT 500" and Global 500 companies) while de-emphasizing smaller commercial segments. Partner relationships have been strengthened, with over 70% of deployments now partner-influenced and more than 50% of new logos originating through partners. The company has created specialized "strike teams" focused on logs, application security, and digital experience monitoring to accelerate adoption in these growth areas. Recent acquisitions, including Rookout for developer observability, have expanded the platform's capabilities while the launch of new features like Site Reliability Guardian, cloud security posture management, and AI observability for GenAI workloads demonstrate continued innovation across the platform.
DT company profile · for informational purposes only — not investment advice.
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