Descartes has executed a structural margin expansion, with operating margin reaching 33.2% in Q2 2027 on a 68.9% gross margin, creating a robust cash generation profile with a 39.4% FCF margin.
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Operating margin has expanded significantly to 33.2% in Q2 2027 from 26.8% a year prior, driven by a gross margin surge to 68.9%, indicating powerful operational leverage even as revenue growth cools to 11.3%.
Descartes powers efficient and sustainable supply chains through its Global Logistics Network (GLN), uniting logistics-intensive businesses.
The company continues to deploy $50M-$150M annually on acquisitions, with a bull case scenario pushing 1-year revenue growth to ~15%.
Scotiabank's adjusted price target suggests a 43.77% upside from current levels, reaffirming an Outperform rating despite lowering the target.
Trailing total returns as of 11/8/2026, which may include dividends or other distributions. Benchmark is S&P 500 (^GSPC).
Check whether operating performance supports the current valuation.
Recent results and news deserve attention only when they alter the forward view.
| Quarter | EPS (Act vs Est) | Revenue (Act vs Est) |
|---|---|---|
Q4 2026Latest Sep 10, 2026 | $0.57+0.0% vs $0.57 | $199M+0.7% vs $198M |
Q3 2026 Jun 3, 2026 | $0.55+3.8% vs $0.53 | $198M+2.3% vs $194M |
Q2 2026 Mar 11, 2026 | $0.52+4.0% vs $0.50 | $193M+0.6% vs $192M |
Q4 2025 Dec 3, 2025 | $0.50+8.7% vs $0.46 | $187M+1.8% vs $183M |
WATERLOO, Ontario and ATLANTA, Nov. 02, 2026 (GLOBE NEWSWIRE) -- Descartes Systems Group (TSX: DSG) (Nasdaq: DSGX), the global leader in uniting logistics-intensive businesses in commerce, is scheduled to report its third-quarter fiscal 2027 financial results after market close on Wednesday, December 2, 2026.
WATERLOO, Ontario and ATLANTA, Nov. 02, 2026 (GLOBE NEWSWIRE) -- Descartes Systems Group (Nasdaq:DSGX) (TSX:DSG), the global leader in uniting logistics-intensive businesses in commerce, announced that its Descartes MacroPoint™ Advanced Ocean Visibility solution is now integrated with SAP Business Network Freight Collaboration and SAP Business Network Global Track and Trace through a standardized connection to the Descartes Global Logistics Network™ (Descartes GLN™). The combined solution provides shippers with access to expanded multimodal visibility capabilities within their SAP transportation environments.
ATLANTA, Oct. 27, 2026 (GLOBE NEWSWIRE) -- Descartes Systems Group (Nasdaq:DSGX) (TSX:DSG), the global leader in uniting logistics-intensive businesses in commerce, announced that Herschel Parts, a global manufacturer and distributor of aftermarket agricultural replacement parts to businesses and consumers, is using the Descartes Pacejet™ multicarrier shipping solution integrated with its enterprise resource planning (ERP) system. Herschel is processing 98% of its shipments through one workflow spanning parcel and less-than-truckload (LTL) carriers. By consolidating shipping workflows and carrier rating, Herschel has eliminated approximately 10 hours per week of manual data entry, gained immediate shipment visibility and identified carrier options that can be 5% to 10% less expensive for individual shipments.
ATLANTA, Oct. 22, 2026 (GLOBE NEWSWIRE) -- Descartes Systems Group (Nasdaq:DSGX) (TSX:DSG), the global leader in uniting logistics-intensive businesses in commerce, announced that Wisconsin-based transportation and logistics provider WEL Companies is using Descartes' broker transportation management system (TMS) integrated with CARRIER1 Vault to move customers' goods using its own trucks and to arrange shipments with other trucking companies in its for-hire network. The combined solution helps WEL's freight brokers manage the shipment lifecycle with the Descartes solution while exchanging load information, status updates and delivery documents with the carriers and drivers moving the freight.
Benchmark DSGX against direct peers instead of judging its metrics in isolation.
Key metrics vs top competitors for The Descartes Systems Group Inc. (DSGX)
| Company | Price | Market Cap | P/E Ratio | Rev Growth (1Y) | Net Margin | ROE | Div Yield |
|---|---|---|---|---|---|---|---|
| $93.99 | $8.08B | 43.52 | 11.98% | 24.25% | 11.67% | — | |
| $331.90 | $8.85B | 31.44 | 0.79% | 8.01% | 10.53% | — | |
| $173.15 | $9.27B | 33.29 | 11.04% | 15.39% | 24.03% | — | |
| $43.50 | $1.78B | 19.53 | 29.79% | 9.24% | 18.36% | 0.04% | |
| $33.55 | $2.07B | 21.43 | 10.21% | 9% | 12.9% | 0.59% | |
| $22.67 | $2.48B | 70.89 | 10.01% | 5.4% | 3.32% | — |
The Descartes Systems Group Inc. (DSGX) vs competitors — business, growth, and fundamentals comparison against the closest industry rivals.
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The Descartes Systems Group Inc. (DSGX) stock FAQ — growth, dividends, profitability & financials explained
The Descartes Systems Group Inc. (DSGX) reported $775.2M in revenue over the trailing twelve months. Revenue was $729.0M in fiscal year 2026. That is 3455% more than the $20.5M of fiscal year 1997.
The Descartes Systems Group Inc. (DSGX) grew revenue by 13.2% over the trailing twelve months, compared with the twelve months before.
Yes. The Descartes Systems Group Inc. (DSGX) earned $188.0M in net income over the trailing twelve months (a 24.3% net margin).
The Descartes Systems Group Inc. (DSGX) had a return on equity (ROE) of 11.7% over the trailing twelve months. That is in line with the market's typical 10-15%.
The Descartes Systems Group Inc. (DSGX) generated $299.5M in free cash flow over the trailing twelve months.
