WallStSmart

Descartes Systems Group Inc (DSGX) Stock Analysis — PE Ratio, PS Ratio, Intrinsic Value & 2030 Price Target

Descartes Systems Group Inc stock (DSGX) is currently trading at $70.05. Descartes Systems Group Inc PE ratio is 37.95. Descartes Systems Group Inc PS ratio (Price-to-Sales) is 8.37. Analyst consensus price target for DSGX is $101.92. WallStSmart rates DSGX as Moderate Buy.

  • DSGX PE ratio analysis and historical PE chart
  • DSGX PS ratio (Price-to-Sales) history and trend
  • DSGX intrinsic value — DCF, Graham Number, EPV models
  • DSGX stock price prediction 2025 2026 2027 2028 2029 2030
  • DSGX fair value vs current price
  • DSGX insider transactions and insider buying
  • Is DSGX undervalued or overvalued?
  • Descartes Systems Group Inc financial analysis — revenue, earnings, cash flow
  • DSGX Piotroski F-Score and Altman Z-Score
  • DSGX analyst price target and Smart Rating
DSGX

Descartes Systems Group Inc

NASDAQTECHNOLOGY
$70.05
$0.91 (-1.28%)
52W$62.55
$117.35
Target$101.92+45.5%

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IV

DSGX Intrinsic Value Analysis for Value Investors

Benjamin Graham Formula · Descartes Systems Group Inc (DSGX)

Margin of Safety
+12.9%
Fair Value
DSGX Fair Value
$75.55
Graham Formula
Current Price
$70.05
$5.50 below fair value
Undervalued
Fair: $75.55
Overvalued
Price $70.05
Graham IV $75.55
Analyst $101.92

DSGX is trading near its Graham intrinsic value of $75.55, suggesting the stock is reasonably priced at current levels.

Based on Benjamin Graham Formula. Growth rate capped at 25%. For informational purposes only. Not financial advice.

WallStSmart

Smart Analysis

Descartes Systems Group Inc (DSGX) · 10 metrics scored

Smart Score

65
out of 100
Grade: B-
Strong Buy
Investment Rating

Category Performance

WallStSmart pulls financial metrics like revenue growth, profit margins, and valuation ratios and scores each one from 0 to 10 based on how strong or weak it is. Those 10 scores are grouped into 4 categories: Growth, Profitability, Valuation, and Quality — which form the 4 axes of the spider chart you see. The categories are then combined into a final score out of 100, but not equally. Growth and Profitability together count for 60% of the total, because a fast-growing profitable business matters more than just a cheap one. That final number maps to a rating (Strong Buy, Buy, Hold, Avoid) and a letter grade, giving you one clear Stock Rating.

Investment Thesis

Strong fundamentals in operating margin, eps growth, profit margin. Concerns around price/sales. Overall metrics suggest strong investment potential with favorable risk/reward.

Descartes Systems Group Inc (DSGX) Key Strengths (5)

Avg Score: 9.0/10
Operating MarginProfitability
31.20%10/10

Keeps $31 of every $100 in revenue after operating costs

Profit MarginProfitability
22.50%10/10

Keeps $23 of every $100 in revenue as net profit

Institutional Own.Quality
88.07%10/10

88.07% of shares held by major funds and institutions

EPS GrowthGrowth
21.00%8/10

Strong earnings growth at 21.00% per year

Market CapQuality
$6.10B7/10

Mid-cap company balancing growth potential with stability

Supporting Valuation Data

DSGX Target Price
$101.92
39% Upside

Descartes Systems Group Inc (DSGX) Areas to Watch (5)

Avg Score: 4.6/10
Price/SalesValuation
8.372/10

Very expensive at 8.4x annual revenue

Price/BookValuation
3.864/10

Premium pricing at 3.9x book value

Return on EquityProfitability
10.90%5/10

Moderate profitability with room for improvement

PEG RatioValuation
1.606/10

Growth is fairly priced, not cheap, not expensive

Revenue GrowthGrowth
15.10%6/10

Solid revenue growth at 15.10% per year

Supporting Valuation Data

P/E Ratio
37.95
Expensive
Forward P/E
26.53
Premium
Trailing P/E
37.95
Expensive
Price/Sales (TTM)
8.37
Premium
EV/Revenue
8.08
Premium

Descartes Systems Group Inc (DSGX) Detailed Analysis Report

Overall Assessment

This company scores 65/100 in our Smart Analysis, earning a B- grade. Out of 10 metrics analyzed, 5 register as strengths (avg 9.0/10) while 5 fall into concern territory (avg 4.6/10). The category breakdown reveals uneven performance, with some areas requiring attention.

The Bull Case

The strongest argument centers on Operating Margin, Profit Margin, Institutional Own.. Profitability is solid with Operating Margin at 31.20%, Profit Margin at 22.50%. Growth metrics are encouraging with EPS Growth at 21.00%.

The Bear Case

The primary concerns are Price/Sales, Price/Book, Return on Equity. Some valuation metrics including PEG Ratio (1.60), Price/Sales (8.37), Price/Book (3.86) suggest expensive pricing. Growth concerns include Revenue Growth at 15.10%, which may limit upside. Profitability pressure is visible in Return on Equity at 10.90%.

Key Dynamics to Monitor

Three factors to monitor going forward. First, whether Price/Sales improves, as this is the primary drag on the overall score. Second, margin trajectory, with Return on Equity at 10.90% needing improvement to support the investment thesis. Third, growth sustainability, with Revenue Growth at 15.10% needing to reaccelerate.

Risk Considerations

Based on the metric profile, this is a moderate-to-high risk investment. Strengths and concerns are roughly balanced. Investors should size positions according to their risk tolerance and maintain diversification.

Bottom Line

Mixed fundamentals with both positives (Operating Margin, Profit Margin) and negatives (Price/Sales, Price/Book). A cautious approach is warranted. Monitor for improvement in weak areas before increasing conviction.

Disclaimer: Smart Analysis is a scoring system developed by WallStSmart Team. Scores update daily using multi-model valuation framework. Always conduct your own research and consult with financial advisors before making investment decisions.

DSGX Price-to-Sales(PS) Ratio Chart

Historical valuation based on market cap ÷ trailing 12-month revenue

DSGX's Price-to-Sales ratio of 8.37x sits near its historical average of 7.74x (68th percentile), suggesting the market is pricing in steady-state growth. The current valuation is 36% below its historical high of 13.1x set in Nov 2017, and 176% above its historical low of 3.03x in Feb 2009.

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WallStSmart Analysis Synopsis

Data-driven financial summary for Descartes Systems Group Inc (DSGX) · TECHNOLOGYSOFTWARE - APPLICATION

The Big Picture

Descartes Systems Group Inc is a strong growth company balancing expansion with improving profitability. Revenue reached 729M with 15% growth year-over-year. Profit margins are strong at 22.5%, reflecting pricing power and operational efficiency.

Key Findings

Excellent Capital Efficiency

ROE of 1090.0% means the company generates strong returns on shareholder equity. Above 20% is considered top-tier.

Strong Profitability

Profit margin of 22.5% and operating margin of 31.2% demonstrate strong pricing power and operational efficiency.

What to Watch Next

Sector dynamics: monitor SOFTWARE - APPLICATION industry trends, competitive moves, and regulatory changes that could impact Descartes Systems Group Inc.

Bottom Line

Descartes Systems Group Inc offers an attractive blend of growth (15% revenue expansion) and improving fundamentals. The company is transitioning from pure growth to profitable growth, a critical inflection point. Watch for sustained margin expansion as the key signal.

This synopsis is generated from publicly available financial data. It is not financial advice. Always conduct your own research and consult a qualified financial advisor before making investment decisions.

Insider Transactions

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About Descartes Systems Group Inc(DSGX)

Exchange

NASDAQ

Sector

TECHNOLOGY

Industry

SOFTWARE - APPLICATION

Country

USA

Descartes Systems Group Inc. provides cloud-based logistics and supply chain management business process solutions that focus on improving productivity, performance and security for intensive logistics companies globally. The company is headquartered in Waterloo, Canada.

Visit Descartes Systems Group Inc (DSGX) Website
120 RANDALL DRIVE, WATERLOO, ON, CANADA, N2V 1C6