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Fly News Breaks for September 5, 2019
Sep 5, 2019 | 07:42 EDT
Barclays analyst Raimo Lenschow recommends using any post-earnings weakness this morning in shares of Dynatrace as a buying opportunity. All the company's key performance indicators came in above the high-end of the flash range in the quarter, along with better than expected guidance, Lenschow tells investors in a research note. While license headwinds are dragging down revenue growth in the near-term, Dynatrace's "healthy" annual recurring revenue growth should start to drive accelerating revenue growth, says the analyst. He expects the stock's multiple to re-rate higher, along with positive estimate revisions, and reiterates an Overweight rating on Dynatrace with a $31 price target.