Form 4: Dynatrace SVP Earns Significant Stock Awards Following Strong Fiscal 2025 Performance

Daniel S. Yates, SVP and Chief Accounting Officer of Dynatrace, Inc., has acquired 8,259 shares of common stock through the earning of performance restricted stock units (PSUs), signaling the company's achievement of key fiscal year 2025 financial and total stockholder return targets.

Summary

• Daniel S. Yates, Dynatrace's SVP and Chief Accounting Officer, acquired a total of 8,259 shares of Dynatrace Common Stock on May 23, 2025.
• The acquisition includes 6,689 shares earned under PSUs based on the company's financial performance results for fiscal year 2025 (April 1, 2024 March 31, 2025).
• An additional 1,570 shares were earned under PSUs tied to Dynatrace's relative total stockholder return for the one-year performance period ending March 31, 2025.
• These PSUs were granted on June 5, 2024, and certified by the Compensation Committee of the Board of Directors.
• The 6,689 shares will vest 33% on June 5, 2025, with the remaining 67% vesting in eight equal quarterly installments over the subsequent two years.
• The 1,570 shares will fully vest on June 5, 2025.
• Following these transactions, Daniel S. Yates beneficially owns 59,192 shares of Dynatrace Common Stock.

Sentiment

Score: 8

Explanation: The earning of performance-based stock units by a key executive indicates that Dynatrace met specific financial performance and relative total stockholder return targets for fiscal year 2025, which is a positive signal for the company's operational and market performance.

Positives

• The earning of performance restricted stock units (PSUs) indicates that Dynatrace met specific financial performance targets for its fiscal year 2025.
• The earning of PSUs based on relative total stockholder return suggests strong market performance relative to peers during the specified period.
• This transaction aligns executive compensation with company and shareholder performance, demonstrating effective corporate governance.

Future Outlook

The vesting schedules for the earned PSUs, particularly the multi-year vesting for a portion of the awards, imply a continued commitment from the executive to the company, as vesting is subject to continued employment.

Industry Context

This filing reflects standard executive compensation practices within the technology and software industry, where performance-based equity awards are common to incentivize management to achieve financial and market-based objectives. The successful earning of these awards suggests Dynatrace's performance is competitive within its sector.

Comparison to Industry Standards

• The use of Performance Restricted Stock Units (PSUs) tied to both financial performance and relative total stockholder return aligns with best practices in executive compensation across the technology sector, including companies like Salesforce (CRM), Adobe (ADBE), and Microsoft (MSFT), which frequently use similar long-term incentive structures to align management interests with shareholder value creation.
• The vesting schedule, with a portion vesting over two years, is typical for retaining key executives and ensuring sustained performance, comparable to structures seen at peer software companies.

Corporate Governance

Stakeholder Impact

• Shareholders: Positive signal as executive compensation is directly tied to the achievement of company financial and market performance targets, indicating value creation.
• Employees: May signal a positive outlook for the company's performance, potentially boosting morale and confidence.
• Management: Direct financial benefit and incentive for continued strong performance, subject to continued employment.

Next Steps

• Continued vesting of the 6,689 shares: 33% on June 5, 2025, and the remaining 67% in eight equal quarterly installments over the subsequent two years, subject to continued employment.

Key Dates

Keywords

Dynatrace, DT, Form 4, Stock Award, Performance Restricted Stock Units, PSUs, Executive Compensation, Insider Transaction, Daniel S. Yates, Financial Performance, Total Stockholder Return