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Optimistic Buy Rating for Dynatrace Amidst Conservative Guidance and Strong Growth Potential

Robert W. Baird analyst William Power has maintained their bullish stance on DT stock, giving a Buy rating on May 5.

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William Power has given his Buy rating due to a combination of factors including Dynatrace’s solid financial performance and strategic positioning. Despite anticipating conservative guidance for fiscal year 2026, Power sees this as a potential buying opportunity, suggesting that the company’s typically cautious outlook may not fully reflect its underlying strengths and growth potential.
Furthermore, Power highlights positive intra-quarter updates and strong consumption from Dynatrace’s DPS customers, which contribute significantly to the company’s ARR. The focus on subscription revenue growth and the attractive valuation, especially in light of potential conservative guidance, reinforce his positive outlook on the stock. Overall, Power remains optimistic about Dynatrace’s core drivers and its ability to maintain resilience amidst macroeconomic uncertainties.

In another report released on May 5, Bank of America Securities also maintained a Buy rating on the stock with a $62.00 price target.

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