Descartes Systems Group Inc

Descartes Systems Group Inc (DSGX) Stock Analysis

$87.050

-1.558 (-1.79%)At close

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High
89.863
Open
89.500
VWAP
87.55
Volume
644.28K
Mkt Cap
8.31B
Low
85.740
Amount
56.41M
EV/EBITDA, TTM
18.26

The Descartes Systems Group Inc. is focused on logistics and supply chain management business processes. Its network-based solutions are focused on improving the productivity, security and sustainability of logistics-intensive businesses. It supports international and domestic supply chains by uniting logistics-intensive businesses on its Global Logistics Network (GLN). Shippers, carriers, and logistics service providers connect and collaborate on the GLN leveraging technology, data and artificial intelligence to manage last mile deliveries, domestic and international shipments, transportation rating and payment, global trade research, customs compliance and a variety of regulatory processes. Its solutions include business-to-business connectivity and messaging, broker and forwarder enterprise systems, customs and regulatory compliance, ecommerce shipping and fulfillment, global trade intelligence, routing, mobile & telematics, transportation management, and global logistics network.

AI analysis of Descartes Systems Group Inc (DSGX)

Buy

Descartes Systems Group Inc is a good buy right now due to its strong financial performance and positive market outlook. The current price of $87.05 is below the average analyst price target of $115, indicating significant upside potential. The company reported a gross margin of 66.73% in Q4 2026, showcasing its efficiency in generating profit from sales. Additionally, the RSI is at 71.24, suggesting that the stock is in a strong upward momentum, although it is approaching overbought territory. The main risk is the potential impact of rising fuel costs and international trade adjustments, which could affect usage-based revenue, as highlighted by the recent news.

Analyst Ratings (14)

+27.86% upside
Buy
10 Buy
4 Hold
0 Sell
Current: 87.05
Low
95.00
Average
111.30
High
126.00

Scotiabank

2026-09-11

Price Target

$98

Outperform

RBC Capital

2026-09-04

Price Target

$126

Outperform

CIBC

2026-06-04

Price Target

$118

Outperformer

Rothschild & Co Redburn

2026-04-16

Price Target

$90

Buy

Barclays

2026-03-12

Price Target

$89

Overweight

Valuation Metrics

The current forward P/E ratio for Descartes Systems Group Inc (DSGX) is 29.59, compared to its 5-year average forward P/E of 44.72.

Forward P/E

Undervalued
5Y Average P/E
44.72
Current P/E
29.59
Overvalued
54.16
Undervalued
35.27

Forward EV/EBITDA

Undervalued
5Y Average EV/EBITDA
24.56
Current EV/EBITDA
18.26
Overvalued
29.27
Undervalued
19.85

Forward P/S

Undervalued
5Y Average P/S
11.17
Current P/S
8.09
Overvalued
13.34
Undervalued
8.99

Alphio AI Price Scenarios for DSGX

Scenario prices are the last monthly forecast band of the current year. Probabilities are fixed model weights (25 / 50 / 25), not guarantees.

B

Bull

Bull · 25%DSGX

$127.66

Scenario price

B

Base

Base · 50%DSGX

$117.33

Scenario price

B

Bear

Bear · 25%DSGX

$103.97

Scenario price

Events Timeline

2026-09-10 (ET)

18:30:00

Descartes Reports Q2 Revenue of $201.1M, Exceeds Expectations

2026-09-01 (ET)

07:30:00

Descartes Acquires Extensiv for Approximately $120M

2026-08-31 (ET)

07:00:00

Descartes Systems Aids K&R International in Automating EU Security Filings

2026-08-24 (ET)

07:30:00

Descartes Acquires Tai for Approximately $100M

2026-07-06 (ET)

07:30:00

Descartes Acquires Drivin for Approximately $30 Million

News

DSGX FAQ — answered by Alphio AI

The Descartes Systems Group Inc. is focused on logistics and supply chain management business processes. Its network-based solutions are focused on improving the productivity, security and sustainability of logistics-intensive businesses. It supports international and domestic supply chains by uniting logistics-intensive businesses on its Global Logistics Network (GLN). Shippers, carriers, and logistics service providers connect and collaborate on the GLN leveraging technology, data and artificial intelligence to manage last mile deliveries, domestic and international shipments, transportation rating and payment, global trade research, customs compliance and a variety of regulatory processes. Its solutions include business-to-business connectivity and messaging, broker and forwarder enterprise systems, customs and regulatory compliance, ecommerce shipping and fulfillment, global trade intelligence, routing, mobile & telematics, transportation management, and global logistics network. It operates in the Technology sector.

Descartes Systems Group Inc is a good buy right now due to its strong financial performance and positive market outlook. The current price of $87.05 is below the average analyst price target of $115, indicating significant upside potential. The company reported a gross margin of 66.73% in Q4 2026, showcasing its efficiency in generating profit from sales. Additionally, the RSI is at 71.24, suggesting that the stock is in a strong upward momentum, although it is approaching overbought territory. The main risk is the potential impact of rising fuel costs and international trade adjustments, which could affect usage-based revenue, as highlighted by the recent news.

14 analysts cover DSGX: 10 rate it Buy, 4 Hold and 0 Sell. The average price target is 111.30.

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This page is for research only and is not investment advice. Models can be wrong. Past performance does not guarantee future results.

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