Dynatrace Q4 revenue rises 19%, adjusted EPS beats estimates

Dynatrace,

13/05/2026 11:38

Overview

AI observability platform's Q4 revenue rose 19%, beating analyst expectations

Adjusted EPS for Q4 beat analyst expectations

Company boosted Q4 share repurchases by 40% to $224 mln

Outlook

Dynatrace sees FY27 ARR between $2.382 bln and $2.402 bln, up 16%-17% as reported

Company expects FY27 total revenue of $2.317 bln to $2.335 bln, up 15%-16% as reported

Dynatrace forecasts FY27 non-GAAP net income per diluted share of $1.93 to $1.95

Result Drivers

CUSTOMER DEMAND - Co said ongoing traction in go-to-market strategy led to higher average deal size and a record 22 deals over $1 mln ACV, including nine new customers

LOG MANAGEMENT GROWTH - Log management remained fastest-growing product, with Q4 consumption up more than 100% year-over-year

Company press release: ID:nBw92cJkNa

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q4 Revenue
Beat
$532 mln
$520.67 mln (33 Analysts)
Q4 Adjusted EPS
Beat
$0.41
$0.39 (34 Analysts)
Q4 EPS
$0.06
Q4 Adjusted Operating Income
$143 mln
Q4 Annual Recurring Revenue
$2.05 bln
Q4 Operating Income
$37 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 26 "strong buy" or "buy", 11 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the it services & consulting peer group is "buy"

Wall Street's median 12-month price target for Dynatrace, Inc is $48.00, about 22.4% above its May 12 closing price of $39.21

The stock recently traded at 21 times the next 12-month earnings vs. a P/E of 21 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)