Datadog (NASDAQ:DDOG) Rating Increased to Neutral at Guggenheim

Datadog (NASDAQ:DDOG) was upgraded by investment analysts at Guggenheim from a “sell” rating to a “neutral” rating in a research report issued on Thursday.

Other equities research analysts have also recently issued reports about the company. Canaccord Genuity Group lifted their price objective on Datadog from $160.00 to $185.00 and gave the stock a “buy” rating in a research note on Monday. Capital One Financial boosted their target price on Datadog from $149.00 to $179.00 in a research note on Thursday, October 16th. Oppenheimer boosted their target price on Datadog from $165.00 to $195.00 and gave the company an “outperform” rating in a research note on Friday, October 17th. UBS Group boosted their target price on Datadog from $165.00 to $189.00 and gave the company a “buy” rating in a research note on Thursday, October 9th. Finally, Needham & Company LLC boosted their price target on Datadog from $175.00 to $220.00 and gave the company a “buy” rating in a report on Thursday. Twenty-six equities research analysts have rated the stock with a Buy rating, seven have given a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat.com, Datadog presently has an average rating of “Moderate Buy” and a consensus target price of $168.74.

Datadog Stock Up 24.3%

Shares of DDOG traded up $37.68 during trading on Thursday, reaching $192.66. The company’s stock had a trading volume of 15,805,848 shares, compared to its average volume of 5,503,910. The company has a quick ratio of 3.43, a current ratio of 3.43 and a debt-to-equity ratio of 0.31. The company has a market cap of $67.19 billion, a price-to-earnings ratio of 551.45, a P/E/G ratio of 61.63 and a beta of 1.20. Datadog has a twelve month low of $81.63 and a twelve month high of $193.00. The company has a fifty day moving average of $147.78 and a two-hundred day moving average of $133.51.

Datadog (NASDAQ:DDOG) last released its quarterly earnings results on Thursday, November 6th. The company reported $0.55 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.45 by $0.10. The company had revenue of $885.65 million during the quarter, compared to analysts’ expectations of $852.77 million. Datadog had a return on equity of 5.04% and a net margin of 4.13%.The company’s revenue for the quarter was up 28.4% compared to the same quarter last year. During the same quarter in the prior year, the business posted $0.46 earnings per share. Datadog has set its FY 2025 guidance at 2.000-2.020 EPS. Q4 2025 guidance at 0.54-0.56 EPS. On average, sell-side analysts predict that Datadog will post 0.34 EPS for the current fiscal year.

Insider Buying and Selling

In related news, CEO Olivier Pomel sold 63,939 shares of the firm’s stock in a transaction on Thursday, October 9th. The stock was sold at an average price of $165.02, for a total transaction of $10,551,213.78. Following the sale, the chief executive officer owned 533,358 shares of the company’s stock, valued at $88,014,737.16. This trade represents a 10.70% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, Director Matthew Jacobson sold 575,863 shares of the firm’s stock in a transaction on Tuesday, August 26th. The shares were sold at an average price of $126.96, for a total value of $73,111,566.48. Following the sale, the director directly owned 219,831 shares in the company, valued at approximately $27,909,743.76. This trade represents a 72.37% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold 1,512,446 shares of company stock valued at $207,641,627 in the last ninety days. 8.70% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Several hedge funds have recently made changes to their positions in the business. Motley Fool Asset Management LLC raised its holdings in shares of Datadog by 149.0% in the 1st quarter. Motley Fool Asset Management LLC now owns 38,132 shares of the company’s stock worth $3,783,000 after purchasing an additional 22,818 shares during the period. Envestnet Asset Management Inc. increased its holdings in shares of Datadog by 24.7% in the first quarter. Envestnet Asset Management Inc. now owns 787,344 shares of the company’s stock worth $78,112,000 after purchasing an additional 156,152 shares during the period. BNP PARIBAS ASSET MANAGEMENT Holding S.A. increased its holdings in shares of Datadog by 178.6% in the first quarter. BNP PARIBAS ASSET MANAGEMENT Holding S.A. now owns 91,046 shares of the company’s stock worth $9,032,000 after purchasing an additional 58,369 shares during the period. Mizuho Markets Americas LLC bought a new position in Datadog in the first quarter valued at $15,526,000. Finally, Slow Capital Inc. increased its stake in Datadog by 124.0% in the first quarter. Slow Capital Inc. now owns 60,223 shares of the company’s stock valued at $5,975,000 after acquiring an additional 33,332 shares during the last quarter. 78.29% of the stock is owned by institutional investors.

About Datadog

Datadog, Inc operates an observability and security platform for cloud applications in North America and internationally. The company's products comprise infrastructure and application performance monitoring, log management, digital experience monitoring, continuous profiler, database monitoring, data streams and universal service monitoring, network monitoring, incident management, workflow automation, observability pipelines, cloud cost and cloud security management, application security management, cloud SIEM, sensitive data scanner, and CI visibility.