Descartes Net Income vs Capital Expenditures Analysis

DSGX Stock

USD 97.15 0.22 0.23%

Descartes Systems financial indicator trend analysis is much more than just examining Descartes Systems latest accounting drivers to predict future trends. We encourage investors to analyze account correlations over time for multiple indicators to determine whether Descartes Systems is a good investment. Please check the relationship between Descartes Systems Net Income and its Capital Expenditures accounts. Check out Investing Opportunities to better understand how to build diversified portfolios, which includes a position in Descartes Systems Group. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in price.

Net Income vs Capital Expenditures

Net Income vs Capital Expenditures Correlation Analysis

The overlapping area represents the amount of trend that can be explained by analyzing historical patterns of Descartes Systems Net Income account and Capital Expenditures. At this time, the significance of the direction appears to have weak contrarian relationship.

The correlation between Descartes Systems' Net Income and Capital Expenditures is -0.17. Overlapping area represents the amount of variation of Net Income that can explain the historical movement of Capital Expenditures in the same time period over historical financial statements of Descartes Systems Group, assuming nothing else is changed. The correlation between historical values of Descartes Systems' Net Income and Capital Expenditures is a relative statistical measure of the degree to which these accounts tend to move together. The correlation coefficient measures the extent to which Net Income of Descartes Systems Group are associated (or correlated) with its Capital Expenditures. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when Capital Expenditures has no effect on the direction of Net Income i.e., Descartes Systems' Net Income and Capital Expenditures go up and down completely randomly.

Correlation Coefficient

-0.17

Relationship Direction	Negative
Relationship Strength	Insignificant

View All Relationships

Net Income

Net income is one of the most important fundamental items in finance. It plays a large role in Descartes Systems financial statement analysis. It represents the amount of money remaining after all of Descartes Systems Group operating expenses, interest, taxes and preferred stock dividends have been deducted from a company total revenue.

Capital Expenditures

Capital Expenditures are funds used by Descartes Systems to acquire physical assets such as property, industrial buildings or equipment. This type of outlay is used by management to increase the scope of Descartes Systems operations. These expenditures can include everything from repairing an office equipment, building a brand new facility, or writing new software.

Most indicators from Descartes Systems' fundamental ratios are interrelated and interconnected. However, analyzing fundamental ratios indicators one by one will only give a small insight into Descartes Systems current financial condition. On the other hand, looking into the entire matrix of fundamental ratios indicators, and analyzing their relationships over time can provide a more complete picture of the company financial strength now and in the future. Check out Investing Opportunities to better understand how to build diversified portfolios, which includes a position in Descartes Systems Group. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in price.

At this time, Descartes Systems' Tax Provision is fairly stable compared to the past year. Sales General And Administrative To Revenue is likely to rise to 0.13 in 2024, whereas Selling General Administrative is likely to drop slightly above 31.5 M in 2024.

	2021	2022	2023	2024 (projected)
Gross Profit	322.9M	372.7M	375.6M	394.4M
Total Revenue	424.7M	486.0M	575.2M	604.0M

Gross Profit Total Revenue

Descartes Systems fundamental ratios Correlations

	Total Assets	Short Long Term Debt Total	Other Current Liab	Total Current Liabilities	Total Stockholder Equity	Property Plant And Equipment Net	Net Debt	Retained Earnings	Accounts Payable	Cash	Non Current Assets Total	Non Currrent Assets Other	Cash And Short Term Investments	Net Receivables	Common Stock Shares Outstanding	Other Current Assets	Other Stockholder Equity	Total Liab	Total Current Assets	Short Term Debt	Intangible Assets	Other Assets	Good Will	Common Stock Total Equity	Property Plant And Equipment Gross	Common Stock
Total Assets		-0.65	0.93	0.98	1.0	0.69	-0.84	0.83	0.81	0.87	0.99	-0.58	0.87	0.99	0.6	0.97	-0.39	0.97	0.9	-0.01	0.93	0.6	0.99	0.96	0.91	0.82
Short Long Term Debt Total	-0.65		-0.65	-0.66	-0.65	-0.41	0.62	-0.89	-0.69	-0.62	-0.63	0.39	-0.62	-0.57	0.09	-0.72	0.57	-0.61	-0.61	0.09	-0.56	-0.26	-0.66	-0.74	-0.65	-0.66
Other Current Liab	0.93	-0.65		0.96	0.92	0.47	-0.82	0.87	0.82	0.86	0.9	-0.65	0.86	0.91	0.46	0.94	-0.3	0.95	0.88	-0.26	0.82	0.44	0.92	0.85	0.91	0.67
Total Current Liabilities	0.98	-0.66	0.96		0.97	0.54	-0.9	0.89	0.9	0.93	0.94	-0.7	0.93	0.96	0.49	0.99	-0.27	0.98	0.95	0.0	0.85	0.54	0.96	0.91	0.96	0.72
Total Stockholder Equity	1.0	-0.65	0.92	0.97		0.7	-0.84	0.83	0.8	0.86	0.99	-0.58	0.86	0.98	0.61	0.96	-0.4	0.96	0.89	0.0	0.94	0.61	0.99	0.97	0.9	0.83
Property Plant And Equipment Net	0.69	-0.41	0.47	0.54	0.7		-0.33	0.35	0.29	0.34	0.76	0.0	0.34	0.7	0.72	0.54	-0.7	0.61	0.4	0.03	0.81	0.75	0.72	0.74	0.45	0.86
Net Debt	-0.84	0.62	-0.82	-0.9	-0.84	-0.33		-0.85	-0.85	-0.99	-0.74	0.68	-0.99	-0.83	-0.31	-0.91	0.18	-0.81	-0.98	-0.21	-0.6	-0.55	-0.78	-0.77	-0.89	-0.59
Retained Earnings	0.83	-0.89	0.87	0.89	0.83	0.35	-0.85		0.91	0.86	0.78	-0.69	0.86	0.78	0.09	0.92	-0.3	0.83	0.86	-0.04	0.67	0.32	0.82	0.83	0.88	0.64
Accounts Payable	0.81	-0.69	0.82	0.9	0.8	0.29	-0.85	0.91		0.88	0.74	-0.85	0.88	0.79	0.13	0.92	-0.02	0.84	0.89	0.13	0.62	0.38	0.78	0.75	0.89	0.48
Cash	0.87	-0.62	0.86	0.93	0.86	0.34	-0.99	0.86	0.88		0.77	-0.71	1.0	0.86	0.33	0.93	-0.17	0.87	1.0	0.18	0.64	0.53	0.81	0.79	0.91	0.58
Non Current Assets Total	0.99	-0.63	0.9	0.94	0.99	0.76	-0.74	0.78	0.74	0.77		-0.5	0.77	0.97	0.65	0.92	-0.45	0.95	0.81	-0.08	0.98	0.59	1.0	0.97	0.85	0.86
Non Currrent Assets Other	-0.58	0.39	-0.65	-0.7	-0.58	0.0	0.68	-0.69	-0.85	-0.71	-0.5		-0.71	-0.57	-0.06	-0.72	-0.41	-0.59	-0.71	-0.07	-0.4	-0.2	-0.55	-0.51	-0.73	-0.18
Cash And Short Term Investments	0.87	-0.62	0.86	0.93	0.86	0.34	-0.99	0.86	0.88	1.0	0.77	-0.71		0.86	0.33	0.93	-0.16	0.87	1.0	0.18	0.64	0.53	0.81	0.79	0.91	0.58
Net Receivables	0.99	-0.57	0.91	0.96	0.98	0.7	-0.83	0.78	0.79	0.86	0.97	-0.57	0.86		0.65	0.95	-0.37	0.97	0.89	0.0	0.91	0.65	0.97	0.92	0.88	0.78
Common Stock Shares Outstanding	0.6	0.09	0.46	0.49	0.61	0.72	-0.31	0.09	0.13	0.33	0.65	-0.06	0.33	0.65		0.42	-0.29	0.56	0.38	-0.05	0.7	0.64	0.61	0.53	0.38	0.63
Other Current Assets	0.97	-0.72	0.94	0.99	0.96	0.54	-0.91	0.92	0.92	0.93	0.92	-0.72	0.93	0.95	0.42		-0.28	0.95	0.95	0.02	0.83	0.55	0.95	0.92	0.95	0.72
Other Stockholder Equity	-0.39	0.57	-0.3	-0.27	-0.4	-0.7	0.18	-0.3	-0.02	-0.17	-0.45	-0.41	-0.16	-0.37	-0.29	-0.28		-0.34	-0.19	0.18	-0.47	-0.42	-0.43	-0.48	-0.19	-0.69
Total Liab	0.97	-0.61	0.95	0.98	0.96	0.61	-0.81	0.83	0.84	0.87	0.95	-0.59	0.87	0.97	0.56	0.95	-0.34		0.89	-0.05	0.88	0.54	0.96	0.89	0.9	0.74
Total Current Assets	0.9	-0.61	0.88	0.95	0.89	0.4	-0.98	0.86	0.89	1.0	0.81	-0.71	1.0	0.89	0.38	0.95	-0.19	0.89		0.17	0.69	0.57	0.84	0.81	0.92	0.61
Short Term Debt	-0.01	0.09	-0.26	0.0	0.0	0.03	-0.21	-0.04	0.13	0.18	-0.08	-0.07	0.18	0.0	-0.05	0.02	0.18	-0.05	0.17		-0.12	0.29	-0.08	-0.01	0.07	-0.03
Intangible Assets	0.93	-0.56	0.82	0.85	0.94	0.81	-0.6	0.67	0.62	0.64	0.98	-0.4	0.64	0.91	0.7	0.83	-0.47	0.88	0.69	-0.12		0.53	0.96	0.95	0.75	0.88
Other Assets	0.6	-0.26	0.44	0.54	0.61	0.75	-0.55	0.32	0.38	0.53	0.59	-0.2	0.53	0.65	0.64	0.55	-0.42	0.54	0.57	0.29	0.53		0.57	0.55	0.54	0.62
Good Will	0.99	-0.66	0.92	0.96	0.99	0.72	-0.78	0.82	0.78	0.81	1.0	-0.55	0.81	0.97	0.61	0.95	-0.43	0.96	0.84	-0.08	0.96	0.57		0.97	0.88	0.85
Common Stock Total Equity	0.96	-0.74	0.85	0.91	0.97	0.74	-0.77	0.83	0.75	0.79	0.97	-0.51	0.79	0.92	0.53	0.92	-0.48	0.89	0.81	-0.01	0.95	0.55	0.97		0.84	0.89
Property Plant And Equipment Gross	0.91	-0.65	0.91	0.96	0.9	0.45	-0.89	0.88	0.89	0.91	0.85	-0.73	0.91	0.88	0.38	0.95	-0.19	0.9	0.92	0.07	0.75	0.54	0.88	0.84		0.63
Common Stock	0.82	-0.66	0.67	0.72	0.83	0.86	-0.59	0.64	0.48	0.58	0.86	-0.18	0.58	0.78	0.63	0.72	-0.69	0.74	0.61	-0.03	0.88	0.62	0.85	0.89	0.63

Click cells to compare fundamentals

Descartes Systems Account Relationship Matchups

Descartes Systems fundamental ratios Accounts

	2019	2020	2021	2022	2023	2024 (projected)
Total Assets	942.6M	1.1B	1.2B	1.3B	1.5B	1.5B
Short Long Term Debt Total	13.4M	13.1M	11.4M	7.3M	6.9M	6.6M
Other Current Liab	36.2M	42.3M	62.1M	87.8M	98.0M	102.9M
Total Current Liabilities	88.9M	104.3M	133.4M	169.6M	202.4M	212.5M
Total Stockholder Equity	821.7M	911.1M	999.8M	1.1B	1.2B	1.3B
Property Plant And Equipment Net	26.6M	24.3M	21.4M	18.2M	17.7M	11.7M
Net Debt	(31.0M)	(120.6M)	(202.0M)	(269.1M)	(312.1M)	(296.5M)
Retained Earnings	(135.8M)	(83.7M)	2.6M	104.8M	219.4M	230.4M
Accounts Payable	7.7M	8.0M	10.6M	10.6M	17.4M	18.2M
Cash	44.4M	133.7M	213.4M	276.4M	319.0M	334.9M
Non Current Assets Total	842.4M	860.2M	893.4M	957.4M	1.0B	1.1B
Non Currrent Assets Other	13.5M	15.6M	18.7M	22.2M	(231.1M)	(219.6M)
Cash And Short Term Investments	44.4M	133.7M	213.4M	276.4M	319.0M	334.9M
Net Receivables	42.4M	52.0M	55.8M	56.8M	63.4M	66.5M
Common Stock Shares Outstanding	82.9M	85.8M	86.2M	86.5M	86.8M	66.4M
Liabilities And Stockholders Equity	942.6M	1.1B	1.2B	1.3B	1.5B	1.5B
Other Current Assets	13.0M	16.9M	22.0M	24.7M	33.3M	34.9M
Other Stockholder Equity	(388.4M)	(448.2M)	(538.9M)	(643.3M)	491.7M	516.3M
Total Liab	120.9M	152.2M	185.6M	216.7M	234.8M	246.5M
Total Current Assets	100.2M	203.1M	292.1M	358.7M	415.6M	436.4M
Short Term Debt	3.9M	4.2M	4.0M	3.4M	3.1M	2.8M
Intangible Assets	257.0M	240.0M	229.6M	229.8M	251.0M	263.6M
Other Assets	35.1M	30.8M	33.6M	33.7M	38.8M	19.7M
Good Will	523.7M	565.2M	608.8M	675.6M	755.8M	793.6M
Common Stock Total Equity	274.5M	276.8M	524.2M	531.8M	611.6M	642.2M
Property Plant And Equipment Gross	26.6M	24.3M	21.4M	56.0M	60.4M	63.5M
Accumulated Other Comprehensive Income	(25.9M)	(1.2M)	(12.4M)	(30.5M)	(28.4M)	(27.0M)
Common Stock	524.2M	531.8M	536.3M	538.4M	547.8M	298.7M
Property Plant Equipment	26.6M	24.3M	21.4M	18.2M	20.9M	12.1M
Non Current Liabilities Total	31.9M	47.9M	52.2M	47.1M	32.4M	35.0M
Current Deferred Revenue	41.1M	49.9M	56.8M	67.8M	84.0M	88.2M
Other Liab	22.5M	39.0M	44.8M	43.1M	49.6M	52.1M
Net Tangible Assets	41.1M	105.9M	161.4M	193.9M	223.0M	234.2M
Inventory	411K	429K	868K	759K	1.0	0.95
Deferred Long Term Liab	9.8M	12.9M	16.6M	18.4M	21.2M	22.2M
Net Invested Capital	821.7M	911.1M	999.8M	1.1B	1.2B	968.8M
Net Working Capital	11.3M	98.8M	158.6M	189.1M	214.6M	225.3M
Capital Stock	524.2M	531.8M	536.3M	538.4M	551.2M	542.4M

Pair Trading with Descartes Systems

One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Descartes Systems position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Descartes Systems will appreciate offsetting losses from the drop in the long position's value.

Moving against Descartes Stock

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0.67	U	Unity Software	Pair Corr
0.67	PD	Pagerduty Financial Report 6th of June 2024	Pair Corr
0.61	VS	Versus Systems Financial Report 20th of May 2024	Pair Corr

The ability to find closely correlated positions to Descartes Systems could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Descartes Systems when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Descartes Systems - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Descartes Systems Group to buy it.

The correlation of Descartes Systems is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Descartes Systems moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Descartes Systems moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.

Correlation analysis and pair trading evaluation for Descartes Systems can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.

Pair Correlation Correlation Matching

When determining whether Descartes Systems offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Descartes Systems' financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Descartes Systems Group Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Descartes Systems Group Stock:

How To Invest In Descartes

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Is Descartes Stock a good investment?

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What is Descartes Systems' Net Worth?

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Check out Investing Opportunities to better understand how to build diversified portfolios, which includes a position in Descartes Systems Group. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in price.

Note that the Descartes Systems information on this page should be used as a complementary analysis to other Descartes Systems' statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Portfolio Suggestion module to get suggestions outside of your existing asset allocation including your own model portfolios.

Complementary Tools for Descartes Stock analysis

When running Descartes Systems' price analysis, check to measure Descartes Systems' market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Descartes Systems is operating at the current time. Most of Descartes Systems' value examination focuses on studying past and present price action to predict the probability of Descartes Systems' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Descartes Systems' price. Additionally, you may evaluate how the addition of Descartes Systems to your portfolios can decrease your overall portfolio volatility.

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Is Descartes Systems' industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Descartes Systems. If investors know Descartes will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Descartes Systems listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.

Quarterly Earnings Growth

0.088

Earnings Share

1.34

Revenue Per Share

6.735

Quarterly Revenue Growth

0.184

Return On Assets

0.0737

The market value of Descartes Systems is measured differently than its book value, which is the value of Descartes that is recorded on the company's balance sheet. Investors also form their own opinion of Descartes Systems' value that differs from its market value or its book value, called intrinsic value, which is Descartes Systems' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Descartes Systems' market value can be influenced by many factors that don't directly affect Descartes Systems' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.

Please note, there is a significant difference between Descartes Systems' value and its price as these two are different measures arrived at by different means. Investors typically determine if Descartes Systems is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Descartes Systems' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.

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Descartes Net Income vs Capital Expenditures Analysis

Net Income vs Capital Expenditures

Net Income vs Capital Expenditures Correlation Analysis

Correlation Coefficient

Net Income

Capital Expenditures

Descartes Systems fundamental ratios Correlations

Descartes Systems Account Relationship Matchups

High Positive Relationship

High Negative Relationship

Descartes Systems fundamental ratios Accounts

Pair Trading with Descartes Systems

Moving against Descartes Stock

Complementary Tools for Descartes Stock analysis

COMMON DESTINATIONS

MAIN CATEGORIES

COMPANY

Total Stockholder Equity	+ 1.0	Total Assets
Cash And Short Term Investments	+ 1.0	Cash
Total Current Assets	+ 1.0	Cash
Good Will	+ 1.0	Non Current Assets Total
Total Current Assets	+ 1.0	Cash And Short Term Investments
Non Current Assets Total	+ 0.99	Total Assets

Cash And Short Term Investments	- 0.99	Net Debt
Cash	- 0.99	Net Debt
Total Current Assets	- 0.98	Net Debt
Other Current Assets	- 0.91	Net Debt
Net Debt	- 0.9	Total Current Liabilities
Property Plant And Equipment Gross	- 0.89	Net Debt