Datadog (NASDAQ:DDOG) Upgraded to Outperform at Citizens Jmp

Datadog (NASDAQ:DDOG) was upgraded by analysts at Citizens Jmp from a “market perform” rating to an “outperform” rating in a research note issued to investors on Thursday. The firm presently has a $225.00 target price on the stock. Citizens Jmp’s target price would indicate a potential upside of 21.75% from the company’s previous close.

A number of other brokerages have also issued reports on DDOG. UBS Group set a $195.00 target price on Datadog in a research report on Monday, February 9th. The Goldman Sachs Group began coverage on Datadog in a research report on Monday, January 12th. They set a “sell” rating and a $113.00 price target on the stock. Barclays lowered their price target on Datadog from $165.00 to $148.00 and set an “overweight” rating on the stock in a research report on Monday, April 20th. Evercore lowered their price target on Datadog from $215.00 to $175.00 and set an “outperform” rating on the stock in a research report on Monday, February 2nd. Finally, Needham & Company LLC lowered their price target on Datadog from $220.00 to $155.00 and set a “buy” rating on the stock in a research report on Tuesday, February 10th. One investment analyst has rated the stock with a Strong Buy rating, thirty-nine have assigned a Buy rating, two have issued a Hold rating and two have given a Sell rating to the company’s stock. According to data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and an average price target of $178.44.

Datadog Stock Up 28.6%

Datadog stock traded up $41.09 during midday trading on Thursday, reaching $184.80. The stock had a trading volume of 18,920,490 shares, compared to its average volume of 5,768,326. The firm’s fifty day simple moving average is $122.72 and its 200-day simple moving average is $136.73. Datadog has a 1-year low of $98.01 and a 1-year high of $201.69. The stock has a market capitalization of $65.16 billion, a P/E ratio of 593.77, a price-to-earnings-growth ratio of 52.75 and a beta of 1.30. The company has a debt-to-equity ratio of 0.26, a quick ratio of 3.38 and a current ratio of 3.38.

Datadog (NASDAQ:DDOG) last announced its earnings results on Thursday, May 7th. The company reported $0.60 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.50 by $0.10. Datadog had a return on equity of 4.14% and a net margin of 3.14%.The business had revenue of $1.01 billion for the quarter, compared to analyst estimates of $960.12 million. During the same quarter last year, the firm earned $0.46 EPS. Datadog’s revenue for the quarter was up 32.1% compared to the same quarter last year. Datadog has set its FY 2026 guidance at 2.360-2.440 EPS and its Q2 2026 guidance at 0.570-0.590 EPS. As a group, analysts expect that Datadog will post 0.32 EPS for the current fiscal year.

Insider Activity at Datadog

In related news, CEO Olivier Pomel sold 42,443 shares of the business’s stock in a transaction on Thursday, April 9th. The stock was sold at an average price of $111.14, for a total value of $4,717,115.02. Following the completion of the sale, the chief executive officer directly owned 835,679 shares in the company, valued at $92,877,364.06. The trade was a 4.83% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CTO Alexis Le-Quoc sold 43,106 shares of the business’s stock in a transaction on Monday, May 4th. The shares were sold at an average price of $144.93, for a total value of $6,247,352.58. Following the completion of the sale, the chief technology officer owned 531,311 shares of the company’s stock, valued at $77,002,903.23. This trade represents a 7.50% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 637,745 shares of company stock worth $78,462,247 in the last ninety days. 6.67% of the stock is owned by company insiders.

Institutional Trading of Datadog

Several institutional investors have recently added to or reduced their stakes in the company. SEB Asset Management AB bought a new stake in shares of Datadog during the 1st quarter valued at $8,706,000. Swiss National Bank lifted its position in shares of Datadog by 7.8% during the 1st quarter. Swiss National Bank now owns 907,300 shares of the company’s stock valued at $107,107,000 after acquiring an additional 65,800 shares during the period. AIA Group Ltd bought a new stake in shares of Datadog during the 1st quarter valued at $3,164,000. Freemont Management S.A. bought a new stake in shares of Datadog during the 1st quarter valued at $3,423,000. Finally, Annis Gardner Whiting Capital Advisors LLC lifted its position in shares of Datadog by 341.7% during the 1st quarter. Annis Gardner Whiting Capital Advisors LLC now owns 318 shares of the company’s stock valued at $38,000 after acquiring an additional 246 shares during the period. 78.29% of the stock is currently owned by institutional investors.

Trending Headlines about Datadog

Here are the key news stories impacting Datadog this week:

• Positive Sentiment: Datadog beat Q1 estimates: revenue roughly $1.01B (+32% YoY), $0.60 EPS, strong operating and free cash flow, and product/customer expansion — this operational beat is the primary bullish catalyst. Datadog Q1 2026 Results
• Positive Sentiment: Management raised guidance materially: Q2 EPS and revenue and FY‑2026 EPS/revenue were lifted well above Street expectations — this upgrade is the immediate driver of upside expectations. Reuters: Datadog raises forecast
• Positive Sentiment: AI and cloud security tailwinds: analysts and media note Datadog is positioned to benefit from rising AI/inference use and strong cloud‑security demand — a structural growth argument supporting a higher multiple. AI thesis article
• Positive Sentiment: Analyst support: sell‑side notes (e.g., Wedbush bullish commentary) and recent price‑target raises added conviction for buyers after the print. Wedbush: Buy into strength
• Neutral Sentiment: Options and flow amplified the move: unusually large call buying and heavy volume suggest some of the move is positioning/flow‑driven rather than all long‑term conviction. (No single article linked)
• Neutral Sentiment: FedRAMP High certification for Datadog for Government reduces a sales hurdle and could open federal deal upside over time. FedRAMP High Certification
• Negative Sentiment: Insider selling: the CTO executed a Rule 10b5‑1 sale of ~43k shares (disclosed). While pre‑arranged, such sales can be read negatively by some investors. SEC Form 4
• Negative Sentiment: Valuation risk: DDOG still trades at a rich multiple (high P/E), so even good results can prompt profit‑taking and amplify pullbacks after a big run.

Datadog Company Profile

Datadog (NASDAQ: DDOG) is a cloud-based monitoring and observability platform that helps organizations monitor, troubleshoot and secure their applications and infrastructure at scale. Its software-as-a-service offering collects and analyzes metrics, traces and logs from servers, containers, cloud services and applications to provide real-time visibility into system performance and health. Datadog’s platform is widely used by engineering, operations and security teams to reduce downtime, accelerate incident response and improve application reliability.

The company’s product suite includes infrastructure monitoring, application performance monitoring (APM), log management, real user monitoring (RUM), synthetic monitoring and network performance monitoring, along with security-focused products such as security monitoring and cloud SIEM.