Is Descartes Systems Stock a Good Investment?
Descartes Systems Investment Advice | DSGX |
- Examine Descartes Systems' financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research Descartes Systems' leadership team and their track record. Good management can help Descartes Systems navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Application Software space and any emerging trends that could impact Descartes Systems' business and its evolving consumer preferences.
- Compare Descartes Systems' performance and market position to its competitors. Analyze how Descartes Systems is positioned in terms of product offerings, innovation, and market share.
- Check if Descartes Systems pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about Descartes Systems' stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in Descartes Systems Group stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if Descartes Systems Group is a good investment.
Sell | Buy |
Hold
Market Performance | Good | Details | |
Volatility | Very steady | Details | |
Hype Condition | Over hyped | Details | |
Current Valuation | Overvalued | Details | |
Odds Of Distress | Very Small | Details | |
Economic Sensitivity | Almost mirrors the market | Details | |
Investor Sentiment | Impartial | Details | |
Analyst Consensus | Buy | Details | |
Financial Strenth (F Score) | Strong | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
Examine Descartes Systems Stock
Researching Descartes Systems' stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 87.0% of the company shares are held by institutions such as insurance companies. The company has Price/Earnings To Growth (PEG) ratio of 2.11. Descartes Systems had not issued any dividends in recent years.
To determine if Descartes Systems is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding Descartes Systems' research are outlined below:
| Descartes Systems is unlikely to experience financial distress in the next 2 years | |
| Descartes Systems has a strong financial position based on the latest SEC filings | |
| Over 87.0% of the company shares are held by institutions such as insurance companies | |
| Latest headline from thelincolnianonline.com: The Descartes Systems Group Reaches New 12-Month High Should You Buy |
Descartes Systems uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in Descartes Systems Group. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to Descartes Systems' previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 6th of March 2024 Upcoming Quarterly Report | View | |
| 29th of May 2024 Next Financial Report | View | |
| 31st of January 2024 Next Fiscal Quarter End | View | |
| 6th of March 2024 Next Fiscal Year End | View | |
| 31st of October 2023 Last Quarter Report | View | |
| 31st of January 2023 Last Financial Announcement | View |
Earnings surprises can significantly impact Descartes Systems' stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises Descartes Systems' investors have experienced.
| Reported | Fiscal Date | Estimated EPS | Reported EPS | Surprise | |||
|---|---|---|---|---|---|---|---|
2018-09-05 | 2018-07-31 | 0.1 | 0.11 | 0.01 | 10 | ||
2018-03-05 | 2018-01-31 | 0.1 | 0.09 | -0.01 | 10 | ||
2017-09-06 | 2017-07-31 | 0.1 | 0.09 | -0.01 | 10 | ||
2017-05-31 | 2017-04-30 | 0.1 | 0.09 | -0.01 | 10 | ||
2017-03-08 | 2017-01-31 | 0.09 | 0.08 | -0.01 | 11 | ||
2016-11-30 | 2016-10-31 | 0.09 | 0.08 | -0.01 | 11 | ||
2016-05-26 | 2016-04-30 | 0.09 | 0.08 | -0.01 | 11 | ||
2013-12-04 | 2013-10-31 | 0.04 | 0.03 | -0.01 | 25 |
Know Descartes Systems' Top Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Descartes Systems is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Descartes Systems Group backward and forwards among themselves. Descartes Systems' institutional investor refers to the entity that pools money to purchase Descartes Systems' securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Bmo Capital Markets Corp. | 2024-06-30 | 1.5 M | Geneva Capital Management | 2024-09-30 | 1.5 M | Amvescap Plc. | 2024-06-30 | 1.4 M | Franklin Resources Inc | 2024-09-30 | 1.4 M | Congress Asset Management Company, Llp | 2024-09-30 | 1.2 M | Norges Bank | 2024-06-30 | 1.1 M | Td Asset Management Inc | 2024-09-30 | 871.6 K | Riverbridge Partners Llc | 2024-09-30 | 866.2 K | Royal Bank Of Canada | 2024-06-30 | 689.3 K | T. Rowe Price Associates, Inc. | 2024-06-30 | 7.3 M | Durable Capital Partners Lp | 2024-09-30 | 3.5 M |
Descartes Systems' market capitalization trends
The company currently falls under 'Large-Cap' category with a current market capitalization of 10.04 B.Market Cap |
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Descartes Systems' profitablity analysis
| Last Reported | Projected for Next Year | ||
| Return On Tangible Assets | 0.25 | 0.26 | |
| Return On Capital Employed | 0.13 | 0.14 | |
| Return On Assets | 0.08 | 0.08 | |
| Return On Equity | 0.09 | 0.10 |
Determining Descartes Systems' profitability involves analyzing its financial statements and using various financial metrics to determine if Descartes Systems is a good buy. For example, gross profit margin measures Descartes Systems' profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of Descartes Systems' profitability and make more informed investment decisions.
Please note, the imprecision that can be found in Descartes Systems' accounting process means that the reasonable investor should take a skeptical approach toward the financial statement analysis of Descartes Systems Group. Check Descartes Systems' Beneish M Score to see the likelihood of Descartes Systems' management manipulating its earnings.
Evaluate Descartes Systems' management efficiency
Descartes Systems has return on total asset (ROA) of 0.0751 % which means that it generated a profit of $0.0751 on every $100 spent on assets. This is way below average. Similarly, it shows a return on stockholder's equity (ROE) of 0.1028 %, meaning that it created $0.1028 on every $100 dollars invested by stockholders. Descartes Systems' management efficiency ratios could be used to measure how well Descartes Systems manages its routine affairs as well as how well it operates its assets and liabilities. Return On Tangible Assets is likely to rise to 0.26 in 2024. Return On Capital Employed is likely to rise to 0.14 in 2024. At this time, Descartes Systems' Total Assets are fairly stable compared to the past year. Non Current Assets Total is likely to rise to about 1.1 B in 2024, whereas Non Currrent Assets Other are likely to drop slightly above 17.4 M in 2024.| Last Reported | Projected for Next Year | ||
| Book Value Per Share | 14.31 | 15.03 | |
| Tangible Book Value Per Share | 2.62 | 1.67 | |
| Enterprise Value Over EBITDA | 33.23 | 34.89 | |
| Price Book Value Ratio | 6.12 | 6.42 | |
| Enterprise Value Multiple | 33.23 | 34.89 | |
| Price Fair Value | 6.12 | 6.42 | |
| Enterprise Value | 7.3 B | 7.6 B |
At Descartes Systems, effective management practices are pivotal to sustaining long-term profitability. We delve into financial metrics and market conditions to provide a comprehensive analysis of the stock's prospects.
Beta 0.736 |
Basic technical analysis of Descartes Stock
As of the 29th of November, Descartes Systems shows the Coefficient Of Variation of 684.22, downside deviation of 1.43, and Mean Deviation of 1.17. Descartes Systems technical analysis allows you to utilize historical prices and volume patterns in order to determine a pattern that computes the direction of the firm's future prices.Descartes Systems' Outstanding Corporate Bonds
Descartes Systems issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. Descartes Systems uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most Descartes bonds can be classified according to their maturity, which is the date when Descartes Systems Group has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.
| Dana 575 percent Corp BondUS235822AB96 | View | |
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| Boeing Co 2196 Corp BondUS097023DG73 | View | |
| HSBC Holdings PLC Corp BondUS404280DR76 | View | |
| MPLX LP 52 Corp BondUS55336VAL45 | View | |
| Morgan Stanley 3591 Corp BondUS61744YAK47 | View |
Understand Descartes Systems' technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing Descartes Systems' various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | 0.1168 | |||
| Market Risk Adjusted Performance | 0.188 | |||
| Mean Deviation | 1.17 | |||
| Semi Deviation | 1.25 | |||
| Downside Deviation | 1.43 | |||
| Coefficient Of Variation | 684.22 | |||
| Standard Deviation | 1.49 | |||
| Variance | 2.21 | |||
| Information Ratio | 0.0618 | |||
| Jensen Alpha | 0.0729 | |||
| Total Risk Alpha | (0.02) | |||
| Sortino Ratio | 0.0641 | |||
| Treynor Ratio | 0.178 | |||
| Maximum Drawdown | 7.84 | |||
| Value At Risk | (2.39) | |||
| Potential Upside | 2.61 | |||
| Downside Variance | 2.05 | |||
| Semi Variance | 1.57 | |||
| Expected Short fall | (1.28) | |||
| Skewness | (0.03) | |||
| Kurtosis | 0.5511 |
| Risk Adjusted Performance | 0.1168 | |||
| Market Risk Adjusted Performance | 0.188 | |||
| Mean Deviation | 1.17 | |||
| Semi Deviation | 1.25 | |||
| Downside Deviation | 1.43 | |||
| Coefficient Of Variation | 684.22 | |||
| Standard Deviation | 1.49 | |||
| Variance | 2.21 | |||
| Information Ratio | 0.0618 | |||
| Jensen Alpha | 0.0729 | |||
| Total Risk Alpha | (0.02) | |||
| Sortino Ratio | 0.0641 | |||
| Treynor Ratio | 0.178 | |||
| Maximum Drawdown | 7.84 | |||
| Value At Risk | (2.39) | |||
| Potential Upside | 2.61 | |||
| Downside Variance | 2.05 | |||
| Semi Variance | 1.57 | |||
| Expected Short fall | (1.28) | |||
| Skewness | (0.03) | |||
| Kurtosis | 0.5511 |
Consider Descartes Systems' intraday indicators
Descartes Systems intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Descartes Systems stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
| Accumulation Distribution | 0.0144 | |||
| Daily Balance Of Power | (0.49) | |||
| Rate Of Daily Change | 0.99 | |||
| Day Median Price | 116.85 | |||
| Day Typical Price | 116.66 | |||
| Market Facilitation Index | 1.7 | |||
| Price Action Indicator | (1.00) | |||
| Period Momentum Indicator | (0.83) |
Descartes Systems Corporate Filings
13A | 14th of November 2024 An amended filing to the original Schedule 13G | ViewVerify |
| 12th of November 2024 Other Reports | ViewVerify | |
13A | 8th of November 2024 The form used by investors holding more than 5% of a company's stock, to report their beneficial ownership pursuant to Rule 13d-1 or Rule 13d-2 under the Securities Exchange Act of 1934 | ViewVerify |
6K | 15th of October 2024 A report filed by foreign private issuers with SEC. A foreign private issuer is a non-U.S. company with securities traded on U.S. exchanges. | ViewVerify |
Descartes Stock media impact
Far too much social signal, news, headlines, and media speculation about Descartes Systems that are available to investors today. That information is available publicly through Descartes media outlets and privately through word of mouth or via Descartes internal channels. However, regardless of the origin, that massive amount of Descartes data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.
A primary focus of Descartes Systems news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of Descartes Systems relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to Descartes Systems' headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive Descartes Systems alpha.
Descartes Systems Sentiment by Major News Outlets
Investor sentiment, mood or attitude towards Descartes Systems can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.
Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.
Descartes Systems Historical Investor Sentiment
Investor biases related to Descartes Systems' public news can be used to forecast risks associated with an investment in Descartes. The trend in average sentiment can be used to explain how an investor holding Descartes can time the market purely based on public headlines and social activities around Descartes Systems Group. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.
Descartes Systems' market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for Descartes Systems and other traded tickers. The bigger the bubble, the more accurate the estimated score. Higher bars for a given day show more participation in the average Descartes Systems news discussions. The higher the estimate score, the more favorable the investor's outlook on Descartes Systems.
Descartes Systems Corporate Management
| Raimond Diederik | Executive VP of Information Services | Profile | |
| BA BA | CEO Director | Profile | |
| Maija Michell | Senior Resources | Profile | |
| Andrew Roszko | Chief Officer | Profile |
Additional Tools for Descartes Stock Analysis
When running Descartes Systems' price analysis, check to measure Descartes Systems' market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Descartes Systems is operating at the current time. Most of Descartes Systems' value examination focuses on studying past and present price action to predict the probability of Descartes Systems' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Descartes Systems' price. Additionally, you may evaluate how the addition of Descartes Systems to your portfolios can decrease your overall portfolio volatility.