29 years of historical data (1996–2024) · Technology · Software - Application
Percentile shows where the current value sits in 30-year historical distribution. Sparklines show 5-year trend.
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
The Descartes Systems Group Inc. trades at 40.4x earnings, 46% below its 5-year average of 74.1x, sitting at the 25th percentile of its historical range. Compared to the Technology sector median P/E of 25.2x, the stock trades at a premium of 60%. On a free-cash-flow basis, the stock trades at 26.8x P/FCF, 32% below the 5-year average of 39.4x.
| Metric | TTM | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 | FY 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $5.7B | $10.1B | $7.6B | $6.3B | $6.3B | $5.2B | $3.7B | $2.4B | $2.2B | $1.7B | $1.4B |
| Enterprise Value | $5.5B | $9.9B | $7.3B | $6.0B | $6.1B | $5.1B | $3.7B | $2.4B | $2.2B | $1.6B | $1.3B |
| P/E Ratio → | 40.40 | 70.63 | 65.37 | 61.88 | 72.77 | 100.10 | 99.58 | 77.65 | 81.00 | 70.48 | 65.93 |
| P/S Ratio | 8.75 | 15.54 | 13.27 | 12.99 | 14.77 | 15.02 | 11.40 | 8.78 | 9.21 | 8.20 | 7.35 |
| P/B Ratio | 4.18 | 7.30 | 6.14 | 5.74 | 6.27 | 5.75 | 4.52 | 4.53 | 4.38 | 3.88 | 3.38 |
| P/FCF | 26.80 | 47.59 | 37.62 | 33.88 | 36.62 | 41.08 | 37.37 | 33.18 | 32.60 | 24.71 | 27.24 |
| P/OCF | 25.98 | 46.13 | 36.62 | 32.81 | 35.61 | 39.90 | 35.62 | 30.95 | 30.30 | 23.03 | 25.07 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
The Descartes Systems Group Inc.'s enterprise value stands at 21.4x EBITDA, 40% below its 5-year average of 35.7x. The Technology sector median is 15.7x, placing the stock at a 36% premium on an enterprise-value basis.
| Metric | TTM | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 | FY 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 15.19 | 12.72 | 12.44 | 14.29 | 14.67 | 11.30 | 8.77 | 9.21 | 8.02 | 7.15 |
| EV / EBITDA | 21.35 | 38.60 | 34.91 | 31.04 | 36.41 | 37.61 | 32.33 | 28.02 | 29.78 | 25.40 | 22.93 |
| EV / EBIT | 30.19 | 52.42 | 47.80 | 45.59 | 59.38 | 71.49 | 70.07 | 57.98 | 60.70 | 50.88 | 46.76 |
| EV / FCF | — | 46.52 | 36.07 | 32.44 | 35.44 | 40.13 | 37.06 | 33.15 | 32.63 | 24.14 | 26.49 |
Margins and return-on-capital ratios measuring operating efficiency
The Descartes Systems Group Inc. earns an operating margin of 27.8%. ROE of 10.9% is modest. ROIC of 13.1% represents solid returns on invested capital.
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 | FY 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 75.6% | 75.6% | 75.9% | 76.7% | 76.0% | 74.2% | 73.7% | 72.7% | 73.2% | 72.5% | 70.9% |
| Operating Margin | 27.8% | 27.8% | 24.9% | 26.8% | 24.4% | 20.5% | 16.0% | 15.1% | 15.1% | 15.1% | 15.2% |
| Net Profit Margin | 22.0% | 22.0% | 20.2% | 21.0% | 20.3% | 14.9% | 11.4% | 11.4% | 11.3% | 11.7% | 11.1% |
| Metric | TTM | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 | FY 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 10.9% | 10.9% | 9.9% | 9.7% | 9.0% | 6.0% | 5.5% | 6.1% | 5.8% | 5.7% | 5.2% |
| ROA | 9.2% | 9.2% | 8.3% | 8.2% | 7.7% | 5.2% | 4.6% | 4.9% | 4.8% | 5.0% | 4.6% |
| ROIC | 13.1% | 13.1% | 12.2% | 12.0% | 9.8% | 6.8% | 5.9% | 6.0% | 6.0% | 6.1% | 6.6% |
| ROCE | 13.4% | 13.4% | 11.8% | 11.9% | 10.3% | 7.9% | 7.3% | 7.3% | 7.1% | 7.1% | 6.9% |
Solvency and debt-coverage ratios — lower is generally safer
The Descartes Systems Group Inc. carries a Debt/EBITDA ratio of 0.0x, which is very conservative (99% below the sector average of 3.0x). The company holds a net cash position — cash of $236M exceeds total debt of $8M, providing substantial financial flexibility for buybacks, acquisitions, or weathering downturns. Interest coverage of 180.4x signals virtually no risk of debt distress — earnings comfortably cover interest obligations.
| Metric | TTM | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 | FY 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.01 | 0.01 | 0.01 | 0.01 | 0.01 | 0.01 | 0.02 | 0.05 | 0.07 | — | — |
| Debt / EBITDA | 0.03 | 0.03 | 0.03 | 0.04 | 0.07 | 0.10 | 0.12 | 0.30 | 0.50 | — | — |
| Net Debt / Equity | — | -0.16 | -0.25 | -0.24 | -0.20 | -0.13 | -0.04 | -0.00 | 0.00 | -0.09 | -0.09 |
| Net Debt / EBITDA | -0.89 | -0.89 | -1.50 | -1.38 | -1.21 | -0.89 | -0.27 | -0.02 | 0.03 | -0.59 | -0.64 |
| Debt / FCF | — | -1.07 | -1.55 | -1.44 | -1.18 | -0.95 | -0.31 | -0.03 | 0.03 | -0.56 | -0.75 |
| Interest Coverage | 180.40 | 180.40 | 104.80 | 111.77 | 92.11 | 60.20 | 11.83 | 19.48 | 27.67 | 50.24 | 53.83 |
Net cash position: cash ($236M) exceeds total debt ($8M)
Short-term solvency ratios and asset-utilisation metrics
A current ratio of 1.62x means The Descartes Systems Group Inc. can comfortably meet its short-term obligations, though there is limited excess liquidity. The current ratio has declined from 2.11x to 1.62x over the past 3 years.
| Metric | TTM | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 | FY 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 1.62 | 1.62 | 2.05 | 2.11 | 2.19 | 1.95 | 1.13 | 1.03 | 1.11 | 1.35 | 1.88 |
| Quick Ratio | 1.62 | 1.62 | 2.05 | 2.11 | 2.18 | 1.94 | 1.12 | 1.03 | 1.10 | 1.35 | 1.88 |
| Cash Ratio | 1.09 | 1.09 | 1.58 | 1.63 | 1.60 | 1.28 | 0.50 | 0.39 | 0.52 | 0.71 | 1.05 |
| Asset Turnover | — | 0.40 | 0.39 | 0.37 | 0.36 | 0.33 | 0.35 | 0.42 | 0.38 | 0.41 | 0.41 |
| Inventory Turnover | 222.57 | 222.57 | — | 149.31 | 117.29 | 209.58 | 208.57 | 789.41 | 517.92 | 335.63 | 347.48 |
| Days Sales Outstanding | — | 39.74 | 40.62 | 33.93 | 35.84 | 54.47 | 47.52 | 47.52 | 49.13 | 52.14 | 56.72 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
The Descartes Systems Group Inc. does not currently pay a dividend and has no material buyback yield, reinvesting earnings back into the business. The earnings yield of 2.5% (inverse of P/E) provides a useful comparison to bond yields when assessing the stock's relative attractiveness to fixed income.
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 | FY 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | — | — | — | — | — | — | — | — | — | — | — |
| Payout Ratio | — | — | — | — | — | — | — | — | — | — | — |
| Metric | TTM | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 | FY 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 2.5% | 1.4% | 1.5% | 1.6% | 1.4% | 1.0% | 1.0% | 1.3% | 1.2% | 1.4% | 1.5% |
| FCF Yield | 3.7% | 2.1% | 2.7% | 3.0% | 2.7% | 2.4% | 2.7% | 3.0% | 3.1% | 4.0% | 3.7% |
| Buyback Yield | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% |
| Total Shareholder Yield | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% |
| Shares Outstanding | — | $87M | $87M | $86M | $86M | $86M | $83M | $78M | $77M | $77M | $76M |
Compare DSGX with 10 similar companies in its peer group
| Company | Market Cap | P/E | EV/EBITDA | P/FCF | Gross Margin | Op Margin | ROE | ROIC | Debt/EBITDA |
|---|---|---|---|---|---|---|---|---|---|
| DSGXYou | $6B | 40.4 | 21.4 | 26.8 | 75.6% | 27.8% | 10.9% | 13.1% | 0.0 |
| SAP | $235B | 28.5 | 17.8 | 25.1 | 73.5% | 28.0% | 15.5% | 16.1% | 0.7 |
| UBER | $157B | 16.0 | 25.8 | 16.1 | 39.8% | 10.7% | 39.8% | 13.6% | 2.1 |
| YMM | $20B | 21.9 | 51.5 | 47.4 | 86.6% | 22.0% | 8.3% | 6.0% | 0.0 |
| QXO | $17B | -38.0 | 107.3 | 92.6 | 23.0% | -3.6% | -3.8% | -3.1% | 25.2 |
| TYL | $15B | 58.6 | 33.5 | 25.3 | 41.0% | 14.0% | 8.3% | 6.7% | 1.4 |
| PCOR | $9B | -82.1 | — | 39.8 | 78.4% | -8.9% | -7.9% | -9.7% | — |
| COMP | $5B | -28.7 | 23.1 | 26.8 | 16.3% | -0.8% | -39.0% | -7.7% | 1.8 |
| APPF | $4B | 45.8 | 24.2 | 18.1 | 61.3% | 16.1% | 26.5% | 23.2% | 0.2 |
| COE | $3B | -20.6 | — | 3471.4 | 78.0% | -15.9% | — | — | — |
| GBTG | $3B | -18.2 | 12.0 | 15.6 | 60.1% | 4.7% | -12.2% | 4.1% | 5.0 |
| Technology Median | — | 25.2 | 15.7 | 17.3 | 49.8% | -0.9% | 1.1% | 2.9% | 3.0 |
Peers based on L4 peer group classification. Compare multiple stocks →
Includes 30+ ratios · 29 years · Updated daily
Price is only half the story. See total return with reinvested dividends.
Launch CalculatorSee our Bear / Base / Bull DCF models and intrinsic value estimates.
View ValuationSee how DSGX stacks up against sector leader SAP SE.
Start ComparisonThe Descartes Systems Group Inc.'s current P/E ratio is 40.4x. The historical average is 59.2x. This places it at the 25th percentile of its historical range.
The Descartes Systems Group Inc.'s current EV/EBITDA is 21.4x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 23.3x.
The Descartes Systems Group Inc.'s return on equity (ROE) is 10.9%. The historical average is -5.8%.
Based on historical data, The Descartes Systems Group Inc. is trading at a P/E of 40.4x. This is at the 25th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
The Descartes Systems Group Inc. has 75.6% gross margin and 27.8% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.
The Descartes Systems Group Inc.'s Debt/EBITDA ratio is 0.0x, indicating low leverage. A ratio below 2x is generally considered financially healthy.