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Added to YB: 2026-08-11

Pitch date: 2026-08-07

DSGX [neutral]

The Descartes Systems Group Inc.

+0.78%

current return

Author Info

No bio for this author

Company Info

The Descartes Systems Group Inc. provides global logistics technology solutions in the United States, Europe, the Middle East, Africa, Canada, and the Asia Pacific.

Market Cap

CAD 6.8B

Pitch Price

CAD 79.38

Price Target

N/A

Dividend

N/A

EV/EBITDA

19.92

P/E

39.65

EV/Sales

8.56

Sector

Software

Category

growth

Show full summary:
The Descartes Systems Group Inc. (NASDAQ: DSGX; TSX: DSG)

DSGX (deep dive): Logistics network utility via Global Logistics Network (24B+ msgs/yr, 30K customers, 300K+ parties). 93% recurring rev, 77-78% GM, 45-46% adj EBITDA margin, debt-free. FY26: $260.5M FCF (18.6% CAGR), 28.1% record op margin. ROIC ~12% vs 6.6% WACC. Programmatic M&A at mid-teens EBITDA vs own ~30-38x EV/EBITDA. Moat via network effects/switching costs. Risks: trade volume volatility, premium valuation, LatAm/integration exposure. New 10% NCIB buyback.

Read full article (14 min)