Procore stock price target raised to $90 from Goldman Sachs on stabilizing growth
Investing.com - KeyBanc Capital Markets reiterated its Overweight rating and $69.00 price target on Dynatrace Inc. (NYSE:DT) on Monday. This target represents a significant upside from the current price of $50.57, aligning with InvestingPro data showing Dynatrace as undervalued based on its Fair Value assessment.
The firm highlighted Dynatrace as a key investment idea, noting the company shows strong underlying consumption growth exceeding 20%, which is significantly faster than the FY26 consensus annual recurring revenue constant currency growth estimate of 13.8% year-over-year. This aligns with Dynatrace’s impressive 18.7% revenue growth over the last twelve months.
KeyBanc pointed to several positive factors supporting its outlook, including improving public cloud migration activity, meaningful scaling of logs, and a maturing go-to-market strategy.
The firm also noted Dynatrace’s net revenue retention rate is likely to accelerate to 112% in fiscal year 2026, indicating strong customer expansion.
KeyBanc emphasized Dynatrace’s relative stock underperformance, with shares down 7% year-to-date compared to data and analytics peers that have gained 31% during the same period.
In other recent news, Dynatrace has reported several key developments that may interest investors. The company has achieved the Amazon Web Services (AWS) Generative AI Competency, which highlights its capabilities in monitoring and governing AI applications on AWS infrastructure. This milestone emphasizes Dynatrace’s tools for optimizing AI performance and ensuring responsible AI governance. In a strategic move, Dynatrace has also announced a multi-year collaboration with ServiceNow to advance autonomous IT operations, combining their AI platforms to enhance operational efficiency for enterprise customers.
On the financial front, TD Cowen has reiterated its Buy rating for Dynatrace, with expectations that the company will surpass current earnings estimates and potentially increase its annual recurring revenue guidance. However, BMO Capital has adjusted its price target for Dynatrace to $56, citing modest ARR upside for the upcoming quarter. Meanwhile, KeyBanc has maintained an Overweight rating, seeing a 44% upside and noting positive risk/reward potential due to factors like improving macroeconomic trends and the stock’s valuation. These developments reflect a mix of strategic partnerships and varied analyst perspectives on Dynatrace’s financial outlook.
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