Descartes Systems Group Stock Price Prediction
| DSGX Stock | USD 91.64 1.32 1.46% |
Oversold Vs Overbought
47
Oversold | Overbought |
Descartes Systems stock price prediction is an act of determining the future value of Descartes Systems shares using few different conventional methods such as EPS estimation, analyst consensus, or fundamental intrinsic valuation. The successful prediction of Descartes Systems' future price could yield a significant profit. Please, note that this module is not intended to be used solely to calculate an intrinsic value of Descartes Systems and does not consider all of the tangible or intangible factors available from Descartes Systems' fundamental data. We analyze noise-free headlines and recent hype associated with Descartes Systems Group, which may create opportunities for some arbitrage if properly timed.
Below are the key fundamental drivers impacting Descartes Systems' stock price prediction:Quarterly Earnings Growth 0.088 | EPS Estimate Current Year 1.34 | EPS Estimate Next Year 1.68 | Wall Street Target Price 99.24 | EPS Estimate Current Quarter 0.37 |
It is a matter of debate whether stock price prediction based on information in financial news can generate a strong buy or sell signal. We use our internally-built news screening methodology to estimate the value of Descartes Systems based on different types of headlines from major news networks to social media. The Descartes stock price prediction module provides an analysis of price elasticity to changes in media outlook on Descartes Systems over a specific investment horizon. Using Descartes Systems hype-based prediction, you can estimate the value of Descartes Systems Group from the perspective of Descartes Systems response to recently generated media hype and the effects of current headlines on its competitors. We also analyze overall investor sentiment towards Descartes Systems using Descartes Systems' stock options and short interest. It helps to benchmark the overall future attitude of investors towards Descartes using crowd psychology based on the activity and movement of Descartes Systems' stock price.
Descartes Systems Short Interest
A significant increase or decrease in Descartes Systems' short interest from the previous month could be a good indicator of investor sentiment towards Descartes. Short interest can provide insight into the potential direction of Descartes Systems stock and how bullish or bearish investors feel about the market overall. An investor who is long Descartes Systems may also wish to track short interest. As short interest increases, investors should be becoming more worried about Descartes Systems and may potentially protect profits, hedge Descartes Systems with its derivative instruments, or be ready for some potential downside.
200 Day MA 81.0974 | Short Percent 0.003 | Short Ratio 2.51 | Shares Short Prior Month 444.9 K | 50 Day MA 89.716 |
Descartes Systems Hype to Price Pattern
Investor biases related to Descartes Systems' public news can be used to forecast risks associated with an investment in Descartes. The trend in average sentiment can be used to explain how an investor holding Descartes can time the market purely based on public headlines and social activities around Descartes Systems Group. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.
Some investors profit by finding stocks that are overvalued or undervalued based on market sentiment. The correlation of Descartes Systems' market sentiment to its price can help taders to make decisions based on the overall investors consensus about Descartes Systems.
Descartes Systems Implied Volatility | 27.8 |
Descartes Systems' implied volatility exposes the market's sentiment of Descartes Systems Group stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if Descartes Systems' implied volatility is high, the market thinks the stock has potential for high price swings in either direction. On the other hand, the low implied volatility suggests that Descartes Systems stock will not fluctuate a lot when Descartes Systems' options are near their expiration.
This module is based on analyzing investor sentiment around taking a position in Descartes Systems. This speculative approach is based exclusively on the idea that markets are driven by emotions such as investor fear and greed. The fear of missing out, i.e., FOMO, can cause potential investors in Descartes Systems to buy its stock at a price that has no basis in reality. In that case, they are not buying Descartes because the equity is a good investment, but because they need to do something to avoid the feeling of missing out. On the other hand, investors will often sell stocks at prices well below their value during bear markets because they need to stop feeling the pain of losing money.
Descartes Systems after-hype prediction price | USD 91.65 |
There is no one specific way to measure market sentiment using hype analysis or a similar predictive technique. This prediction method should be used in combination with more fundamental and traditional techniques such as stock price forecasting, technical analysis, analysts consensus, earnings estimates, and various momentum models.
Prediction based on Rule 16 of the current Descartes contract
Based on the Rule 16, the options market is currently suggesting that Descartes Systems Group will have an average daily up or down price movement of about 1.74% per day over the life of the 2024-05-17 option contract. With Descartes Systems trading at USD 91.64, that is roughly USD 1.59 . If you think that the market is fully incorporating Descartes Systems' daily price movement you should consider acquiring Descartes Systems Group options at the current volatility level of 27.8%. But if you have an opposite viewpoint you should avoid it and even consider selling them.
Descartes |
Sophisticated investors, who have witnessed many market ups and downs, anticipate that the market will even out over time. This tendency of Descartes Systems' price to converge to an average value over time is called mean reversion. However, historically, high market prices usually discourage investors that believe in mean reversion to invest, while low prices are viewed as an opportunity to buy.
Descartes Systems After-Hype Price Prediction Density Analysis
As far as predicting the price of Descartes Systems at your current risk attitude, this probability distribution graph shows the chance that the prediction will fall between or within a specific range. We use this chart to confirm that your returns on investing in Descartes Systems or, for that matter, your successful expectations of its future price, cannot be replicated consistently. Please note, a large amount of money has been lost over the years by many investors who confused the symmetrical distributions of Stock prices, such as prices of Descartes Systems, with the unreliable approximations that try to describe financial returns.
Next price density |
| Expected price to next headline |
Descartes Systems Estimiated After-Hype Price Volatility
In the context of predicting Descartes Systems' stock value on the day after the next significant headline, we show statistically significant boundaries of downside and upside scenarios based on Descartes Systems' historical news coverage. Descartes Systems' after-hype downside and upside margins for the prediction period are 90.06 and 93.24, respectively. We have considered Descartes Systems' daily market price in relation to the headlines to evaluate this method's predictive performance. Remember, however, there is no scientific proof or empirical evidence that news-based prediction models outperform traditional linear, nonlinear models or artificial intelligence models to provide accurate predictions consistently.
Current Value
Descartes Systems is very steady at this time. Analysis and calculation of next after-hype price of Descartes Systems is based on 3 months time horizon.
Descartes Systems Stock Price Prediction Analysis
Have you ever been surprised when a price of a Company such as Descartes Systems is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Descartes Systems backward and forwards among themselves. Have you ever observed a lot of a particular company's price movement is driven by press releases or news about the company that has nothing to do with actual earnings? Usually, hype to individual companies acts as price momentum. If not enough favorable publicity is forthcoming, the Stock price eventually runs out of speed. So, the rule of thumb here is that as long as this news hype has nothing to do with immediate earnings, you should pay more attention to it. If you see this tendency with Descartes Systems, there might be something going there, and it might present an excellent short sale opportunity.
| Expected Return | Period Volatility | Hype Elasticity | Related Elasticity | News Density | Related Density | Expected Hype |
0.06 | 1.59 | 0.01 | 0.08 | 10 Events / Month | 3 Events / Month | In about 10 days |
| Latest traded price | Expected after-news price | Potential return on next major news | Average after-hype volatility | ||
91.64 | 91.65 | 0.01 |
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Descartes Systems Hype Timeline
Descartes Systems is currently traded for 91.64. The entity has historical hype elasticity of 0.01, and average elasticity to hype of competition of -0.08. Descartes is forecasted to increase in value after the next headline, with the price projected to jump to 91.65 or above. The average volatility of media hype impact on the company the price is over 100%. The price jump on the next news is projected to be 0.01%, whereas the daily expected return is currently at 0.06%. The volatility of related hype on Descartes Systems is about 123.02%, with the expected price after the next announcement by competition of 91.56. The company reported the previous year's revenue of 575.23 M. Net Income was 116.37 M with profit before overhead, payroll, taxes, and interest of 372.69 M. Given the investment horizon of 90 days the next forecasted press release will be in about 10 days. Check out Descartes Systems Basic Forecasting Models to cross-verify your projections.Descartes Systems Related Hype Analysis
Having access to credible news sources related to Descartes Systems' direct competition is more important than ever and may enhance your ability to predict Descartes Systems' future price movements. Getting to know how Descartes Systems' peers react to changing market sentiment, related social signals, and mainstream news is a great way to find investing opportunities and time the market. The summary table below summarizes the essential lagging indicators that can help you analyze how Descartes Systems may potentially react to the hype associated with one of its peers.
| HypeElasticity | NewsDensity | SemiDeviation | InformationRatio | PotentialUpside | ValueAt Risk | MaximumDrawdown | |||
| AI | C3 Ai Inc | (0.07) | 5 per month | 0.00 | (0.05) | 7.84 | (5.85) | 32.77 | |
| SHOP | Shopify | (0.89) | 11 per month | 0.00 | (0.09) | 4.43 | (3.85) | 21.49 | |
| SNOW | Snowflake | (4.40) | 8 per month | 0.00 | (0.12) | 4.17 | (4.71) | 27.55 | |
| NOW | ServiceNow | 0.19 | 12 per month | 0.00 | (0.05) | 2.84 | (3.15) | 8.90 |
Descartes Systems Additional Predictive Modules
Most predictive techniques to examine Descartes price help traders to determine how to time the market. We provide a combination of tools to recognize potential entry and exit points for Descartes using various technical indicators. When you analyze Descartes charts, please remember that the event formation may indicate an entry point for a short seller, and look at other indicators across different periods to confirm that a breakdown or reversion is likely to occur.| Cycle Indicators | ||
| Math Operators | ||
| Math Transform | ||
| Momentum Indicators | ||
| Overlap Studies | ||
| Pattern Recognition | ||
| Price Transform | ||
| Statistic Functions | ||
| Volatility Indicators | ||
| Volume Indicators |
About Descartes Systems Predictive Indicators
The successful prediction of Descartes Systems stock price could yield a significant profit to investors. But is it possible? The efficient-market hypothesis suggests that all published stock prices of traded companies, such as Descartes Systems Group, already reflect all publicly available information. This academic statement is a fundamental principle of many financial and investing theories used today. However, the typical investor usually disagrees with a 'textbook' version of this hypothesis and continually tries to find mispriced stocks to increase returns. We use internally-developed statistical techniques to arrive at the intrinsic value of Descartes Systems based on analysis of Descartes Systems hews, social hype, general headline patterns, and widely used predictive technical indicators.
We also calculate exposure to Descartes Systems's market risk, different technical and fundamental indicators, relevant financial multiples and ratios, and then comparing them to Descartes Systems's related companies. | 2021 | 2022 | 2023 | 2024 (projected) | Days Sales Outstanding | 47.94 | 42.68 | 40.21 | 38.2 | PTB Ratio | 6.16 | 5.63 | 6.06 | 6.36 |
Story Coverage note for Descartes Systems
The number of cover stories for Descartes Systems depends on current market conditions and Descartes Systems' risk-adjusted performance over time. The coverage that generates the most noise at a given time depends on the prevailing investment theme that Descartes Systems is classified under. However, while its typical story may have numerous social followers, the rapid visibility can also attract short-sellers, who usually are skeptical about Descartes Systems' long-term prospects. So, having above-average coverage will typically attract above-average short interest, leading to significant price volatility.
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Descartes Systems Short Properties
Descartes Systems' future price predictability will typically decrease when Descartes Systems' long traders begin to feel the short-sellers pressure to drive the price lower. The predictive aspect of Descartes Systems Group often depends not only on the future outlook of the potential Descartes Systems' investors but also on the ongoing dynamics between investors with different trading styles. Because the market risk indicators may have small false signals, it is better to identify suitable times to hedge a portfolio using different long/short signals. Descartes Systems' indicators that are reflective of the short sentiment are summarized in the table below.
| Common Stock Shares Outstanding | 86.8 M | |
| Cash And Short Term Investments | 319 M |
Check out Descartes Systems Basic Forecasting Models to cross-verify your projections. 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 CEOs Directory module to screen CEOs from public companies around the world.
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.