Quantbot takes new $1.68M stake in logistics software firm Descartes
What's the deal? Quantbot Technologies LPDealroom has a profile for this one. Try Dealroom → acquired a new position in The Descartes Systems Group Inc.Dealroom has a profile for this one. Try Dealroom → (NASDAQ:DSGX) during the second quarter, buying 24,327 shares worth about $1,684,000, according to its latest 13F filing with the Securities and Exchange Commission.
What does Descartes do? The Canadian company is a global provider of cloud-based logistics and supply chain management software. Its platform connects and optimises the flow of goods, information, and payments across the supply chain, handling transportation, customs clearance, routing, and scheduling.
The numbers: Descartes reported $0.55 earnings per share for the quarter ended June 3, beating the $0.52 consensus by $0.03. Revenue rose 14.7% year-over-year to $166.96 million, though that fell short of the $193.57 million analysts expected.
The company posted a net margin of 23.35% and a return on equity of 11.17%. Shares opened at $78.47 on Tuesday, giving Descartes a market capitalisation of $6.72 billion and a price-to-earnings ratio of 39.23.
Who else is buying? Quantbot joined several institutions taking new stakes in the quarter. The George Kaiser Family Foundation bought roughly $1,671,000 worth, Korea Investment CORPDealroom has a profile for this one. Try Dealroom → took $923,000, and Summit Creek AdvisorsDealroom has a profile for this one. Try Dealroom → picked up $4,688,000. Institutions now own 77.73% of the stock.
Analyst view: Descartes carries an average "Moderate Buy" rating and a $102.54 average price target, based on one Strong Buy, eleven Buy, and three Hold ratings. Canadian Imperial Bank of CommerceDealroom has a profile for this one. Try Dealroom → lifted its target to $118.00, while Raymond James FinancialDealroom has a profile for this one. Try Dealroom → trimmed its target to $108.00, keeping an "outperform" rating.
The signal: Steady institutional buying and mostly bullish analyst targets point to continued confidence in Descartes, even as revenue missed forecasts. The stock still trades well below its 52-week high of $109.00, leaving room for the gap between estimates and results to shape sentiment.
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