Scotiabank Forecasts Strong Price Appreciation for Datadog (NASDAQ:DDOG) Stock

Datadog (NASDAQ:DDOG) had its price target increased by research analysts at Scotiabank from $150.00 to $217.00 in a research note issued on Friday,Benzinga reports. The brokerage presently has a “sector outperform” rating on the stock. Scotiabank’s price target would indicate a potential upside of 13.47% from the company’s current price.

Several other brokerages have also weighed in on DDOG. Cowen restated a “buy” rating on shares of Datadog in a report on Thursday. TD Cowen increased their price target on Datadog from $175.00 to $180.00 and gave the company a “buy” rating in a research note on Friday, October 17th. CIBC upgraded Datadog from a “neutral” rating to a “sector outperform” rating and set a $240.00 price target on the stock in a research report on Friday. Raymond James Financial upped their price objective on Datadog from $170.00 to $205.00 in a report on Thursday. Finally, Mizuho set a $215.00 target price on Datadog in a report on Friday. Twenty-nine analysts have rated the stock with a Buy rating, five have given a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and an average price target of $201.89.

Datadog Price Performance

Datadog stock opened at $191.24 on Friday. The business’s 50-day simple moving average is $149.87 and its 200 day simple moving average is $134.92. The stock has a market cap of $66.69 billion, a price-to-earnings ratio of 616.90, a P/E/G ratio of 74.82 and a beta of 1.20. Datadog has a 12-month low of $81.63 and a 12-month high of $194.87. The company has a quick ratio of 3.43, a current ratio of 3.66 and a debt-to-equity ratio of 0.29.

Datadog (NASDAQ:DDOG) last announced its quarterly earnings data on Thursday, November 6th. The company reported $0.55 earnings per share for the quarter, topping the consensus estimate of $0.45 by $0.10. Datadog had a return on equity of 4.14% and a net margin of 3.32%.The firm had revenue of $885.65 million during the quarter, compared to analysts’ expectations of $852.77 million. During the same period in the previous year, the business posted $0.46 EPS. The company’s quarterly revenue was up 28.4% compared to the same quarter last year. Datadog has set its FY 2025 guidance at 2.000-2.020 EPS. Q4 2025 guidance at 0.54-0.56 EPS. As a group, research analysts anticipate that Datadog will post 0.34 earnings per share for the current year.

Insider Activity

In other Datadog news, CEO Olivier Pomel sold 63,939 shares of the stock in a transaction dated Thursday, October 9th. The stock was sold at an average price of $165.02, for a total value of $10,551,213.78. Following the completion of the sale, the chief executive officer directly owned 533,358 shares in the company, valued at $88,014,737.16. This represents a 10.70% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, CTO Alexis Le-Quoc sold 55,352 shares of the firm’s stock in a transaction dated Tuesday, September 2nd. The stock was sold at an average price of $133.83, for a total value of $7,407,758.16. Following the sale, the chief technology officer directly owned 438,885 shares in the company, valued at approximately $58,735,979.55. This represents a 11.20% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last quarter, insiders sold 1,510,236 shares of company stock valued at $207,339,763. Company insiders own 8.70% of the company’s stock.

Institutional Inflows and Outflows

A number of institutional investors have recently bought and sold shares of DDOG. Vanguard Group Inc. increased its position in shares of Datadog by 30.3% during the third quarter. Vanguard Group Inc. now owns 41,902,227 shares of the company’s stock worth $5,966,877,000 after acquiring an additional 9,748,738 shares in the last quarter. Baillie Gifford & Co. boosted its stake in Datadog by 12.6% in the 1st quarter. Baillie Gifford & Co. now owns 12,274,655 shares of the company’s stock worth $1,217,769,000 after purchasing an additional 1,369,522 shares during the period. Goldman Sachs Group Inc. increased its holdings in Datadog by 259.7% during the 1st quarter. Goldman Sachs Group Inc. now owns 8,658,340 shares of the company’s stock worth $858,994,000 after purchasing an additional 6,250,942 shares in the last quarter. Price T Rowe Associates Inc. MD raised its stake in shares of Datadog by 23.1% in the 1st quarter. Price T Rowe Associates Inc. MD now owns 6,729,254 shares of the company’s stock valued at $667,611,000 after purchasing an additional 1,261,065 shares during the period. Finally, Brown Advisory Inc. lifted its holdings in shares of Datadog by 23.3% in the second quarter. Brown Advisory Inc. now owns 5,983,687 shares of the company’s stock valued at $803,793,000 after purchasing an additional 1,130,675 shares in the last quarter. Institutional investors own 78.29% of the company’s stock.

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.