Core Viewpoint - Growth stocks are appealing due to their potential for above-average financial growth, but identifying strong growth stocks can be challenging due to inherent volatility and risks [1] Group 1: Company Overview - Dynatrace (DT) is recommended as a cutting-edge growth stock based on its favorable Growth Score and top Zacks Rank [2] - The company has a historical EPS growth rate of 15.9%, with projected EPS growth of 14% this year, surpassing the industry average of 9.6% [4] Group 2: Financial Metrics - Dynatrace exhibits a year-over-year cash flow growth of 37.3%, significantly higher than the industry average of 0.2% [5] - The company's annualized cash flow growth rate over the past 3-5 years is 42.3%, compared to the industry average of 8.6% [6] Group 3: Earnings Estimates - There has been a positive trend in earnings estimate revisions for Dynatrace, with the Zacks Consensus Estimate for the current year increasing by 0.3% over the past month [8] - The combination of a Growth Score of A and a Zacks Rank 2 positions Dynatrace favorably for potential outperformance [9][10]
Is Dynatrace (DT) a Solid Growth Stock? 3 Reasons to Think "Yes"