- Descartes Systems reported a 3rd quarter revenue of $168.8 million, showing a 17% increase compared to the previous year, and surpassing the estimated $164.9 million.
- Services revenue reached $149.7 million, marking a 15% year-over-year growth, slightly above the $148.1 million estimate.
- Earnings per share (EPS) were 42 cents, which is an increase from last year’s 31 cents, but slightly below the estimated 43 cents.
- Adjusted EBITDA was $72.1 million, up 14% from the previous year, exceeding the $71.9 million estimate.
- The gross margin was reported at 74%, which is a drop compared to last year’s 76% and fell short of the estimated 75.3%.
- Analysts’ ratings include 8 buy recommendations, 4 hold, and 1 sell.
A look at Descartes Systems Grp Smart Scores
Factor | Score | Magnitude |
---|---|---|
Value | 2 | |
Dividend | 1 | |
Growth | 4 | |
Resilience | 4 | |
Momentum | 5 | |
OVERALL SMART SCORE | 3.2 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Based on the Smartkarma Smart Scores, Descartes Systems Group has a promising long-term outlook. With a strong momentum score of 5, the company is showing positive growth potential in the market. Additionally, scoring high in both growth and resilience at 4, Descartes Systems Group is positioned to expand steadily while maintaining stability over time. Although the value and dividend scores are moderate, the overall outlook remains optimistic for the company.
Descartes Systems Group Inc. specializes in providing inter-enterprise software for supply-chain management, particularly for businesses with a focus on delivery services. Their products enable efficient sharing and processing of information online, catering to a global customer base through software licensing. With a balanced combination of growth, resilience, and momentum scores, Descartes Systems Group is poised for continued success in the long term.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
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