TSE:DSG

Descartes (DSG.TO)

103.17
-0.12 (0.12%)
as of Jul 3, 2026, 8:00:00 pm Market Open.
175 watching
0
Investor Insights
star iconJul 5, 2026, 12:00 am

This summary was created by AI, based on 11 opinions in the last 12 months.

Descartes (DSG-T) has received mixed reviews from experts, with many expressing concerns about the impact of AI on its business model. Despite the recent downturn in stock price, which has seen a decline of approximately 29-32%, analysts note the company's robust underlying operating performance and durable market position. They argue that the logistics network Descartes has built over the past 20 years is difficult to replicate, suggesting that the company has a significant moat. Additionally, there is optimism that it will reap benefits from AI advancements in the long term. Although there's apprehension around AI competition and broader market pressures, many analysts believe current valuations present a buying opportunity for the stock, indicating a strong growth story and recurring revenue elements despite its current technical weaknesses.

consensus icon
Consensus
Hold
valuation icon
Valuation
Undervalued
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WATCH
Just above half in his database. Most recent 4 quarters of earnings was 4%. OK, but nothing to write home about. Coming quarter is expected to rise to 6%. P/E of 16 X’s. Earnings forecast of $.26. Announced new contracts in China. Watching closely, especially software for US/Canada Customs.
BUY
Chart shows it has clearly broken out of a long-term base pattern. Lost a little momentum recently, but it's not a big problem. The technical risk would be if it broke below its breakout point. If it has a pullback and volume increases, this is not a good sign.
COMMENT
Ranks 260, about half way in his database. Earnings are expected to grow from $.22 to $.28 giving it about a 16 P/E. reasonably priced. Likes their recurring revenue. On his watch list for a potential by over the next 3 months.
WATCH
An interesting company with good potential. Has had a bit of a pop recently. If it had a pullback, he would look at it.
WATCH
Very small and very illiquid. New CEO has done a great job of trimming away a lot of expenses and focusing on the core business. Provides a fairly unique network service. By layering on new applications, they are starting to move up the value chain. Legislation is going their way now that customs requires clearance before going through. Could show some nice traction going forward.
BUY
Looks like they have turned the corner. Have changed their business model. Not selling software up front. They are really operating as an operating model. Likes the change.
WEAK BUY
Basically, supply chain software. There has been some management changes which has made the company more stable. Maybe worth a speculation.
TOP PICK
New management and has gone through a big turnaround. 90% of earnings are recurring revenues. If you like Systems Xcellence (SXC-T), you should be interested in this. Made 2 accretive acquisitions. In 2007, trucks arriving in Canada must post cargo 24 hours prior. They supply the product.
DON'T BUY
Formed three peaks from January to June and indicates momentum is fading. Doesn't like the chart.
BUY
Have made positive results for the last 4 or 5 quarters. Earnings are expected to grow from $0.04 to $0.18 against a 23 PE. Acquired a company within the last month that specialises in transportation software for border crossings.
BUY ON WEAKNESS
Descartes Systems did a recent financing for an acquisition. He does not own this stock because of concerns of the market place. The stock ranks in the top 15% of the data base. Very interesting technology. Good opportunities , sound business model. He likes it and would buy on a pull back.
BUY
Ranks 94 out of 700 stocks in his database portfolio. The latest earnings report was up 130% year over year. Earnings of $.09 are expected to rise to $.16 in Jan/07. Good P/E. has a good business model.
BUY
Borderline top 10 holding in his database. Recently reported earnings were pretty good. Earnings are expected to grow from $0.08 in Jan/06 to $0.17 in Jan/07, almost a double against a 19 P/E. Offers very good return on investment.
DON'T BUY
Earnings are expected to be a loss of $0.10 for the Jan/06 year end. Most recent report, sales were down 27% and earnings down 13%.
DON'T BUY
Have had management problems and are now on their 3rd CEO. In the penalty box.
Showing 136 to 150 of 322 entries