Why Dynatrace (DT) Could Beat Earnings Estimates Again

Core Insights - Dynatrace (DT) is positioned to potentially continue its earnings-beat streak in upcoming reports, having surpassed earnings estimates by an average of 11.06% in the last two quarters [1][5]. Earnings Performance - In the most recent quarter, Dynatrace reported earnings of $0.30 per share against an expectation of $0.33 per share, resulting in a surprise of 10.00% [2]. - For the previous quarter, the company exceeded the consensus estimate of $0.33 per share by reporting $0.37 per share, achieving a surprise of 12.12% [2]. Earnings Estimates and Predictions - Estimates for Dynatrace have been trending higher, influenced by its history of earnings surprises, and the stock currently has a positive Zacks Earnings ESP of +1.33%, indicating bullish sentiment among analysts [5][8]. - The combination of a positive Earnings ESP and a Zacks Rank of 2 (Buy) suggests a strong possibility of another earnings beat [8]. Statistical Insights - Research indicates that stocks with a positive Earnings ESP and a Zacks Rank of 3 (Hold) or better have a nearly 70% chance of producing a positive surprise [6]. - The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate, with the Most Accurate Estimate reflecting the latest analyst revisions [7].