1 Under-the-Radar Cloud Computing Stock to Buy After Q1 Earnings
In the large and ever-expanding cloud computing industry, Dynatrace (NYSE: DT) is a little-known name. However, the software platform's observability, analytics, and automation capabilities are becoming a key ingredient of many large organizations' digital transformation efforts. Dynatrace demonstrated this in its fiscal 2022 first-quarter report (which corresponds to the second quarter of calendar year 2021). This under-the-radar technologist is still a long-term buy-and-hold in my book.
Dynatrace said it added 135 new customers during its last quarter, ending June 2021 with over 3,000 in total. The company's net expansion rate was at or over 120% for the 13th straight quarter, implying the average existing customer increased its spending 20% or more compared to a year ago as Dynatrace expands the capabilities of its platform. More than 40% of customers used three or more cloud modules, with those users generating average annual recurring revenue (ARR) of over $500,000.
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Source Fool.com
