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TSE:DSG

Descartes (DSG.TO)

98.72
+3.55 (3.73%)
as of Jun 19, 2026, 8:00:00 pm Market Open.
102 watching
0
BUY

Allan Tong’s Discover Picks Using the cloud, Descartes takes care of the logistics behind shipping stuff for companies. They're good at what they do and are considered a world leader in global logistics. True, the stock trades at a 154x PE and only 0.06% of shares are owned by insiders, but revenue growth tops 18% year-over-year, the one-year total return is 55% and over five-year stands at 241%. Read Top 5 Canadian Tech Stocks (DOCKS): Can they skyrocket like the FAANGs? for our full analysis.

TOP PICK
They are a leader in global logistics. They help customers assess, real time, what the rates are for shipping. They layer in efficiency that is hard to find. (Analysts’ price target is $57.47)
BUY
He's long owned them. Their business of taking care of all the shipping paperwork (logistics) for a business is spot on. Their long-term return has been fantastic and they have a long way to go still. They benefit from the chaos in trading now (i.e. Trump's tariffs).
BUY
When you have a good company you should not sell it. The growth looks good, the balance sheet is good and the track record is excellent. They are probably setting themselves up to be sold. (Analysts’ price target is $60.00)
BUY
He wishes every stock looked like this, going straight up since 2014. An amazing chart. Maybe you can trade this. You can still get into this, since the momentum remains strong.
BUY
Logistics business. It is software as a service with 90% of revenue is recurring and growing rapidly. Online retail is a new sector for them. It will grow for many years.
DON'T BUY
His model is $22.32 or -60%. Maybe over time the stock price and the earnings come together.
BUY ON WEAKNESS
You just have to buy them and hold if it fits your mandate. Don't fuss about the valuation, as it will always be expensive. Lots of tailwinds. Tech rollup, organic growth, inorganic growth, one of the best CEOs. If it ever sells off 5%, tuck it away.
BUY

They will benefit from the trade wars because they do shipping logistics. Will also benefit from Brexit woes. A major holding for him. There are many companies for them to buy and they are good at it.

PAST TOP PICK
(A Top Pick Oct 09/18, Up 14%) It hit his valuation target so he sold it. Still likes it, but now global growth is slowing so some of their services will make less money. Trading at 22x EBITDA, so not cheap, but he would buy if it dipped 10%.
BUY
He has not seen any news of diversification into electronic health, which the caller asked about. They do software logistics. They are doing a really good job. It is pretty solid. They do acquisitions at good prices. They provide a steady flow of growth.
PAST TOP PICK
(A Top Pick Apr 24/18, Up 30%) They hit the right trends at the right time with trade, tariffs and logistics. They've made more acquisitions to augment growth, raised equity and are smart managers. This sector has secular tailwinds.
BUY
Another secular growth stock. It has been one of the great Canadian growth stocks. Revenue growth has accelerated. It has been disrupting the way people do business. There is always the risk of disappointment. He thinks this company will continue to do well, however. (Analysts’ price target is $48.00)
BUY ON WEAKNESS
Common share offering? He likes this well run company. They are always very good with their guidance. They are getting into bigger acquisitions. You should see some efficiencies coming in the next few years. A great technical chart. The time to own this is on pullbacks. The share issue will definitely cause a bit of a pullback, but the company has been astute as to how to employ new capital.
BUY
It has been a stellar performer. He exited it and then it went higher. People give them the benefit of the doubt in terms of acquisitions they may make.
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