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Dynatrace price target lowered to $55 from $63 at BMO Capital

BMO Capital lowered the firm’s price target on Dynatrace to $55 from $63 and keeps an Outperform rating on the shares ahead of its Q4 results next week. The firm continues to project 15.5% y/y annual recurring revenue growth for FY25, which is below consensus of approximately 17% growth for FY25, and buy-side expectations are likely closer to its estimates, BMO tells investors in a research note. The firm adds its price target is cut on the ongoing deceleration, though it maintains that Dynatrace offers a comprehensive Observability platform with scalable and enterprise-grade technology.

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