Descartes Systems/$DSGX
1D1W1MYTD1Y5YMAX
Capital at risk
About Descartes Systems
Descartes Systems Group provides a software solution that allows users in the shipping industry to communicate with one another. Its 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. Customers typically contract for a monthly minimum over a multiyear period. The GLN platform allows Descartes to upsell additional software modules as well, typically provided via a software-as-a-service model.
- Ticker
- $DSGX
- Sector
- Software & Cloud Services
- Primary listing
- NASDAQ
- Employees
- 2,384
- Headquarters
- Waterloo, Canada
- Website
- www.descartes.com
DSGX Metrics
BasicAdvanced
$6.8B
37.11
$2.15
0.20
-
Price and volume
Market cap
$6.8B
Beta
0.2
52-week high
$104.44
52-week low
$62.56
Average daily volume
650K
Financial strength
Current ratio
2.018
Quick ratio
1.888
Long term debt to equity
0.003
Total debt to equity
0.005
Interest coverage (TTM)
257.05%
Profitability
EBITDA (TTM)
330.765
Gross margin (TTM)
77.61%
Net profit margin (TTM)
24.25%
Operating margin (TTM)
31.97%
Effective tax rate (TTM)
25.84%
Revenue per employee (TTM)
$330,000
Management effectiveness
Return on assets (TTM)
8.34%
Return on equity (TTM)
11.95%
Valuation
Price to earnings (TTM)
37.111
Price to revenue (TTM)
8.843
Price to book
5.77
Price to tangible book (TTM)
35.59
Price to free cash flow (TTM)
22.963
Free cash flow yield (TTM)
4.35%
Free cash flow per share (TTM)
3.474
Growth
Revenue change (TTM)
13.20%
Earnings per share change (TTM)
27.21%
3-year revenue growth (CAGR)
13.75%
10-year revenue growth (CAGR)
14.81%
3-year earnings per share growth (CAGR)
17.96%
10-year earnings per share growth (CAGR)
22.18%
What the Analysts think about DSGX
Analyst ratings (Buy, Hold, Sell) for Descartes Systems stock.
Analyst projections of the future price of Descartes Systems stock.
Bulls say / Bears say
Q2 FY27 showed strong operating momentum: revenue rose 12% year over year to $201.1 million, operating income increased 36% to $65.5 million, operating cash flow grew 28% to $81.3 million, and adjusted EBITDA margin reached 47%. (Descartes)
Revenue quality remains favorable because services revenue represented 94% of Q2 sales and grew 13% year over year; FY26 services revenue also increased 15% to $677.2 million. This recurring, transaction-linked model can support durable cash generation and cross-selling across the Global Logistics Network. (Descartes) (Descartes)
Recent acquisitions broaden Descartes’ addressable market and add data that can reinforce its network effects: Tai adds AI-enabled freight-brokerage capabilities, Drivin expands AI-powered last-mile logistics in Latin America, and Extensiv adds warehouse-management and omnichannel-fulfillment software. These assets create potential for product bundling and additional transaction activity across the network. (SEC filing) (SEC filing) (Descartes)
Descartes has accelerated acquisition spending, including the $100 million Tai purchase, approximately $120 million Extensiv purchase, and approximately $30 million Drivin purchase within roughly two months. The company itself flags integration, customer and employee retention, and synergy realization as risks. (SEC filing) (Descartes)
The company remains exposed to tariff uncertainty and geopolitical volatility, which management says creates forecasting, pricing, planning, and execution challenges for shippers, carriers, and logistics providers. Weaker shipping activity or delayed customer decisions could pressure transaction volumes and new bookings. (Descartes)
Acquisition intensity is increasing the gap between adjusted and GAAP profitability: FY26 amortization of intangible assets was $81.2 million and other charges were $10.4 million against $210.0 million of operating income. Further acquisitions could sustain elevated amortization, integration costs, and reported-earnings drag. (Descartes)
Data summarised monthly by Lightyear AI. Last updated on 11 Sept 2026.
DSGX Financial Performance
Revenues and expenses
DSGX Earnings Performance
Company profitability
Upcoming events
No upcoming events
DSGX News
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Funds containing DSGX
AllEURGBP
Fund name | Fund size | $DSGX weighting |
|---|---|---|
Invesco FTSE All-World€FWIA | €4B | 0.00% |
Invesco FTSE All-World£FWRG | £3.4B | 0.00% |
SPDR MSCI All Country World IM€SPYI | €7.5B | 0.00% |
Amundi MSCI World ESG Broad Transition€LWCR | €1.1B | 0.00% |
Data displayed above is indicative only and its accuracy or completeness is not guaranteed. Actual execution price may vary. Past performance is not indicative of future results. Your return may be affected by currency fluctuations and applicable fees and charges. Capital at risk.
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