Descartes Systems Group Stock Performance

DSG Stock  CAD 99.52  1.43  1.46%   
The firm shows a Beta (market volatility) of 0.18, which alludes to relatively modest fluctuations relative to the market. Returns on Descartes Systems tend to trail the broader market in strong rallies but hold up better when sentiment turns negative. At this point, Descartes Systems has a negative expected return of -0.34%. Please make sure to double-check Descartes Systems' accumulation distribution, and the relationship between the potential upside and day median price, to decide if Descartes Systems's performance from the past will be repeated at some future date.
Risk-Adjusted Performance
Weak
 
Weak
 
Strong
During the last 90 trading days, Descartes Systems Group produced negative risk-adjusted performance, which signals weak return efficiency for investors with long positions. The result matters because weak risk-adjusted return can persist even when isolated price moves briefly look constructive. In spite of unfluctuating performance in the last few months, the stock's technical and fundamental indicators remain very healthy, which may send shares a bit higher in April 2026. The recent disarray may also be a sign of long period up-swing for the firm's investors. Learn More
Begin Period Cash Flow250.4 M
Total Cashflows From Investing Activities-160.5 M
Free Cash Flow265.6 M
  

Relative Risk vs. Return Landscape

If you had invested C$ 12,465 in Descartes Systems Group on December 16, 2025 and sold it today you would have lost C$ 2,513 from holding Descartes Systems Group or given up 20.16% of portfolio value over 90 days. Descartes Systems Group is producing return of less than zero assuming 2.5698% volatility of returns over the 90 days investment horizon. Simply put, 23% of all stocks have less volatile historical return distribution than Descartes Systems, and 99% of all equity instruments are likely to generate higher returns than the company over the next 90 trading days.
  Expected Return   
       Risk  
This comparison focuses on expected return, realized volatility, and risk efficiency versus the market. It is most useful when expected return is read together with volatility rather than in isolation. Assuming the 90-day trading horizon Descartes Systems is expected to under-perform the market. In addition to that, the company is 3.26 times more volatile than its market benchmark. It trades about -0.13 of its total potential returns per unit of risk. The Dow Jones Industrial is currently generating roughly -0.06 per unit of volatility.

Target Price Odds to finish over Current Price

Investors have long observed that Descartes Stock price tends to fluctuate around a central value over time. This mean reversion pattern is a cornerstone of many forecasting models. However, periods of persistent mispricing in some stocks suggest that additional risk factors may account for the delayed correction.
Current PriceHorizonTarget PriceOdds moving above the current price in 90 days
99.52 90 days 99.52
about 71.19
A normal distribution analysis suggests that the odds of Descartes Systems moving above the current price in 90 days from now are about 71.19 (The distribution above shows where Descartes Stock price is most likely to fall within the next 90 days based on historical volatility).
Assuming the 90-day trading horizon Descartes Systems has a beta of 0.18 suggesting as returns on the market go up, Descartes Systems's average returns are expected to increase less than the benchmark. However, during a bear market, the loss from holding Descartes Systems Group is expected to be smaller as well. Additionally, Descartes Systems Group has a negative alpha, implying that the risk taken by holding this instrument is not justified. The company is significantly underperforming the Dow Jones Industrial.
   Descartes Systems Price Density   
       Price  

Predictive Modules for Descartes Systems

Forecasting Descartes Systems involves applying various models to estimate future price behavior. While no method can consistently predict the stock market with certainty, the discipline of building and testing forecasts sharpens investment thinking. Combining several approaches and cross-checking results offers a more balanced view of potential outcomes.
Mean reversion in Descartes Systems' price occurs when temporary dislocations - caused by sentiment extremes, news events, or liquidity shocks - correct back toward the stock's historical fair value.
Hype
Prediction
LowEstimatedHigh
96.9699.52102.08
Details
Intrinsic
Valuation
LowRealHigh
83.4886.04109.47
Details
Naive
Forecast
LowNextHigh
92.0294.5797.13
Details
Earnings
Estimates (0)
LowProjected EPSHigh
0.530.610.75
Details
A rigorous investment case for Descartes Systems requires more than studying its own financials. Benchmarking Descartes Systems' performance, valuation, and risk profile against competitors is essential to validate any investment thesis.

Primary Risk Indicators

The stock market has gone through extended periods of turbulence over the past two decades. Descartes Systems has not been immune to these swings. Sudden corrections and sharp rallies have tested many portfolios. Investors can protect against downside risk in Descartes Systems Group by monitoring Descartes Systems' fundamental risk indicators and maintaining appropriate hedges.
α
Alpha over Dow Jones
-0.3527
β
Beta against Dow Jones0.18
σ
Overall volatility
14.42
Ir
Information ratio -0.1264

Investor Alerts and Insights

Setting up alerts on Descartes Systems ensures that material changes in technical or fundamental conditions are not missed. These notifications for Descartes Systems help investors make timely decisions in response to significant stock events.
Descartes Systems generated a negative expected return over the last 90 days
Descartes Systems is unlikely to experience financial distress in the next 2 years
Descartes Systems Group has accumulated CAD8.29 M in total debt with debt to equity ratio (D/E) of 46.1, indicating Descartes Systems may have difficulties to generate enough cash to satisfy its financial obligations. Descartes Systems has a current ratio of 0.92, indicating that it has a negative working capital and may not be able to pay financial obligations in time and when they become due. Debt can assist Descartes Systems until it has trouble settling it off, either with new capital or with free cash flow. So, Descartes Systems' shareholders could walk away with nothing if the company can't fulfill its legal obligations to repay debt. However, a more frequent occurrence is when companies like Descartes Systems sell additional shares at bargain prices, diluting existing shareholders. Debt, in this case, can be an excellent and much better tool for Descartes to invest in growth at high rates of return. When we think about Descartes Systems' use of debt, we should always consider it together with cash and equity.
Over 88.0% of the company shares are held by institutions such as insurance companies
Latest headline from news.google.com: Wall Street Analysts Predict a 52.01 percent Upside in Descartes Systems Heres What You Should Know - Yahoo Finance

Price Density Drivers

The interaction between bullish and bearish market participants is a primary driver of near-term price dynamics. The future price of Descartes Stock reflects these dynamics, along with broader investor sentiment. Descartes Systems' short-sentiment indicators are presented below.
Common Stock Shares Outstanding87.6 M
Cash And Short Term Investments353.5 M

Descartes Systems Fundamentals Growth

Descartes Systems' fundamentals serve as the primary lens through which investors evaluate Descartes Stock. Metrics such as earnings growth, revenue consistency, margin trends, and balance sheet strength collectively determine market sentiment toward Descartes Stock.

Performance Metrics & Calculation Methodology

Descartes Systems performance is measured on a risk-adjusted basis against benchmarks. Drawdown profile frames downside sensitivity and recovery characteristics. Descartes Systems shows ROE of 10.9%, ROA of 7.78%.

This section for Descartes Systems Group is built from periodic company reporting and market reference feeds, with harmonization applied to align reporting definitions. Values may update on different source schedules. Return and risk statistics are calculated from historical price series.

This content is curated and reviewed by:

Raphi Shpitalnik - Junior Member of Macroaxis Editorial Board
Last reviewed on March 5th, 2026