The Descartes Systems Group (TSE:DSG) Shares Pass Below Two Hundred Day Moving Average – Should You Sell?

The Descartes Systems Group Inc. (TSE:DSG) (NASDAQ:DSGX)’s stock price passed below its 200-day moving average during trading on Thursday . The stock has a 200-day moving average of C$122.44 and traded as low as C$89.02. The Descartes Systems Group shares last traded at C$92.84, with a volume of 532,663 shares trading hands.

Wall Street Analysts Forecast Growth

A number of research firms recently issued reports on DSG. TD Securities raised The Descartes Systems Group to a “strong-buy” rating in a research note on Friday, December 5th. Raymond James Financial upgraded shares of The Descartes Systems Group from a “hold” rating to a “moderate buy” rating in a report on Thursday, December 4th. Finally, Barclays upgraded shares of The Descartes Systems Group from a “hold” rating to a “strong-buy” rating in a report on Monday, January 12th. Two research analysts have rated the stock with a Strong Buy rating and one has given a Buy rating to the company. According to data from MarketBeat, The Descartes Systems Group currently has a consensus rating of “Strong Buy”.

The Descartes Systems Group Stock Up 5.0%

The company has a current ratio of 1.34, a quick ratio of 1.85 and a debt-to-equity ratio of 0.51. The company has a market capitalization of C$7.98 billion, a P/E ratio of 52.16, a PEG ratio of 2.39 and a beta of 0.30. The firm’s 50 day moving average price is C$107.49 and its two-hundred day moving average price is C$122.44.

The Descartes Systems Group (TSE:DSG) (NASDAQ:DSGX) last announced its earnings results on Wednesday, December 3rd. The company reported C$0.70 EPS for the quarter. The business had revenue of C$263.74 million during the quarter. The Descartes Systems Group had a net margin of 21.80% and a return on equity of 10.65%. Equities research analysts forecast that The Descartes Systems Group Inc. will post 3.3498285 EPS for the current year.

The Descartes Systems Group Company Profile

The Descartes Systems Group provides a software solution that allows users in the shipping industry to communicate with one another. The core product is the Global Logistics Network, which is best understood as transaction driven. Descartes charges clients to send/receive messages, data, and documents on the GLN (the transactions). Customers typically contract for a monthly minimum over a multiyear period. The GLN platform allows for Descartes to upsell additional software modules as well, typically provided via a software-as-a-service model.