Dynatrace initiated with a Neutral at Rothschild & Co Redburn

Rothschild & Co Redburn initiated coverage of Dynatrace (DT) with a Neutral rating and $40 price target The company is undergoing a transition to a subscription model as the platform seeks to drive customer consumption, leading to an acceleration in revenue growth, the analyst tells investors in a research note. The firm says that despite trading at a post-optimization low and demonstrating an improving pipeline, it sees no clear near-term catalyst for the stock to work, with near-term earnings risk.