The Descartes Systems Group Inc. (DSGX)
NEUTRALFundamental
73
Price
$78.36
Market Cap
$6.77B
Part 1 · What the company is worth
Overview
The Descartes Systems Group Inc. provides global logistics technology solutions in the United States, Europe, the Middle East, Africa, Canada, and the Asia Pacific. Its Logistics Technology platform offers a range of modular, interoperable web and wireless logistics management solutions. The company offers a suite of solutions that include routing, mobile, and telematics; transportation management; ecommerce, shipping, and fulfillment; customs and regulatory compliance; global trade intelligence; broker and forwarder enterprise systems; and B2B messaging and connectivity services. It also provides its customers to use its modular and technology solutions to route, track, and measure delivery resources; plan, allocate, and execute shipments; rate, audit, and pay transportation invoices; access and analyze global trade data; research and perform trade tariff and duty calculations; file customs and security documents for imports and exports; and various other logistics processes. In addition, the company offers consulting, implementation, and training services, as well as maintenance and support services. It serves transportation providers, such as air, ocean, and truck modes; logistics service providers, including third-party logistics providers, freight forwarders, and customs brokers; and distribution-intensive companies, such as retailers, manufacturers, distributors, and mobile business service providers through subscription, transactional or perpetual license basis. The Descartes Systems Group Inc. was incorporated in 1981 and is headquartered in Waterloo, Canada.
No editorial profile for this company yet
Direct competitors
Who this company fights with for the same customers
No editorial profile for this company yet
No competitor list for this company yet.
Balance Sheet & Liquidity
Revenue
$754M
Trailing 12 months (through 4/30/2026)
Net Income
$176M
Trailing 12 months (through 4/30/2026)
Free Cash Flow
$268M
Total Equity
$1.63B
Total Liabilities
$8M
Current Ratio
2.05
Interest Coverage
-
Debt/EBITDA
0.03
Earnings Per Share
Revenue & Net Income
Free Cash Flow
Income Breakdown
Historical statement
Margins over time
Debt over time
How heavy the debt is
Growth grid
Growth — Revenue
Fair Value Estimation
Fair Value
$129.22
Current Price
$78.36
Margin of Safety
+39.4%
Fair Value Range
$83.99 - $174.44
Estimation Methods
Valuation Metrics
P/E Ratio
39.30
ROE
11.4%
P/B Ratio
4.16
P/FCF
25.23
Gross Margin
77.3%
ROIC
12.0%
Profitability Radar
Value Creation (Economic Moat)
ROIC
12.0%
WACC
8.0%
ROIC − WACC
+4.0 pp
ROIC exceeds the cost of capital — the company is creating value for shareholders.
Fundamental Analysis Criteria
Passed (16)
- Price CAGR 13.84%
- ROIC 12.0%
- Gross Margin 77.3%
- P/FCF 25.23
- Debt/Equity ratio
- Positive Free Cash Flow
- CapEx intensity
- Current Ratio
- Debt/EBITDA
- ROE 11.2%
- Revenue Growth 5Y 15.9%
- Analyst Consensus 78% Buy
- Earnings Surprise avg 3.9%
- PEG Ratio 1.50
- Earnings Quality (OCF/NI) 1.76
- Net Margin Trend 22.5% vs 22.0%
Failed (3)
- P/B Ratio 4.16
- DCF valuation (Overvalued)
- Piotroski F-Score 2/9
Unavailable (8)
- EPS data insufficient
- Dividend Payout NaN%
- Operating Margin NaN%
- Interest Coverage
- Return on Tangible Assets
- Low reliance on intangibles
- Price below Graham Number
- Share Dilution (missing shares data)
Piotroski F-Score
Serious financial concerns
Earnings Quality
High quality: earnings backed by cash
Share Dilution
Buying back shares. Shareholder friendly
Governance
Executive Team
| Name | Title | Age |
|---|---|---|
| Mr. Edward J. Ryan B.A. | CEO & Director | 56 |
| Mr. John Scott Pagan | President & COO | - |
| Mr. Edward James Gardner | Chief Financial Officer | - |
| Mr. William Green | Executive Vice President of Global Sales | - |
| Mr. Allan J. Brett C.A., C.B.V. | Advisor | 56 |
| Mr. Raimond Diederik | Executive Vice President of Information Services | - |
| Mr. Peter V. Nguyen | Senior VP of Legal, General Counsel, Corporate Secretary & Compliance Officer | - |
| Mr. Daniel J. Cicerchi | Executive Vice President of Corporate & Operations Development | - |
| Ms. Maija Michell | Executive Vice President Human Resources | - |
| Mr. Kenneth Edward Wood | Executive Vice President of Product Management | - |
Audit Risk
1
Board Risk
5
Compensation Risk
6
Shareholder Rights Risk
5
Part 2 · The price and when to enter
This part won't tell you whether the company is worth owning: it helps you choose when to buy it, once the fundamentals have convinced you. Inside: technical analysis, potential, historical drawdowns, gamma exposure.
Latest News
Recent headlines for DSGX, sourced from Markets Gazette.
- 3/2/2026NEGATIVEQuantum Capital Dumps $7.4 Million of Descartes Systems Stock Amid 40% Pullback
Quantum Capital has offloaded $7.4 million worth of Descartes Systems stock, a move that comes amidst a significant 40% pullback for the shares. This divestment by the fund, which specializes in modular cloud logistics solutions for global supply chain, retail, and transportation clients, could be perceived as a signal of waning confidence or a strategic profit-taking. Regardless, it adds further downward pressure on a stock already under considerable stress. Investors should closely monitor management's next steps and sector developments, given the potential impact of such institutional sell-offs.
via Markets Gazette