Datadog (NASDAQ:DDOG) Trading Up 6.3% – Still a Buy?

Datadog, Inc. (NASDAQ:DDOG) rose 6.3% during trading on Wednesday . The stock traded as high as $222.00 and last traded at $223.3710. Approximately 1,288,936 shares were traded during mid-day trading, a decline of 76% from the average daily volume of 5,471,710 shares. The stock had previously closed at $210.23.

Analysts Set New Price Targets

A number of analysts have recently issued reports on the stock. Sanford C. Bernstein downgraded shares of Datadog from an “outperform” rating to a “market perform” rating and raised their price target for the company from $180.00 to $226.00 in a report on Monday, July 6th. Daiwa Securities Group boosted their price objective on shares of Datadog from $190.00 to $240.00 and gave the company a “buy” rating in a report on Wednesday, May 13th. Canadian Imperial Bank of Commerce increased their price objective on shares of Datadog from $250.00 to $280.00 and gave the company an “outperform” rating in a research report on Wednesday, June 10th. Oppenheimer lifted their target price on shares of Datadog from $220.00 to $300.00 and gave the stock an “outperform” rating in a research report on Monday, July 20th. Finally, Bank of America increased their price target on Datadog from $260.00 to $280.00 and gave the company a “buy” rating in a report on Monday, June 8th. One analyst has rated the stock with a Strong Buy rating, thirty-eight have issued a Buy rating, five have assigned a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus price target of $276.32.

Datadog Trading Up 7.3%

The stock has a fifty day moving average of $247.93 and a 200 day moving average of $195.02. The company has a market capitalization of $80.99 billion, a P/E ratio of 459.81, a PEG ratio of 20.85 and a beta of 1.49. The company has a debt-to-equity ratio of 0.23, a quick ratio of 3.20 and a current ratio of 3.20.

Datadog (NASDAQ:DDOG) last issued its quarterly earnings results on Thursday, August 6th. The company reported $0.65 EPS for the quarter, topping analysts’ consensus estimates of $0.58 by $0.07. Datadog had a return on equity of 5.67% and a net margin of 4.48%.The business had revenue of $1.12 billion during the quarter, compared to analysts’ expectations of $1.08 billion. During the same quarter in the prior year, the business posted $0.46 earnings per share. The business’s quarterly revenue was up 35.6% on a year-over-year basis. Datadog has set its Q3 2026 guidance at 0.630-0.650 EPS and its FY 2026 guidance at 2.500-2.540 EPS. As a group, equities research analysts anticipate that Datadog, Inc. will post 0.7 EPS for the current fiscal year.

Insider Activity at Datadog

In other news, CFO David Obstler sold 16,524 shares of the stock in a transaction on Wednesday, September 2nd. The shares were sold at an average price of $212.90, for a total value of $3,517,959.60. Following the completion of the sale, the chief financial officer directly owned 418,067 shares of the company’s stock, valued at $89,006,464.30. This represents a 3.80% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, Director Julie Richardson sold 5,625 shares of the firm’s stock in a transaction on Thursday, September 3rd. The shares were sold at an average price of $220.00, for a total transaction of $1,237,500.00. Following the sale, the director owned 3,178 shares in the company, valued at $699,160. The trade was a 63.90% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 1,132,246 shares of company stock worth $275,773,952 in the last 90 days. Insiders own 6.48% of the company’s stock.

Institutional Investors Weigh In On Datadog

Institutional investors have recently bought and sold shares of the business. California State Teachers Retirement System boosted its stake in shares of Datadog by 27,002.8% in the second quarter. California State Teachers Retirement System now owns 121,189,509 shares of the company’s stock worth $31,552,901,000 after acquiring an additional 120,742,361 shares during the period. State Street Corp lifted its holdings in Datadog by 106.8% in the 3rd quarter. State Street Corp now owns 13,732,777 shares of the company’s stock worth $1,955,547,000 after purchasing an additional 7,091,075 shares in the last quarter. Norges Bank bought a new stake in shares of Datadog during the fourth quarter valued at approximately $469,461,000. Invesco Ltd. lifted its holdings in shares of Datadog by 119.2% in the third quarter. Invesco Ltd. now owns 4,075,721 shares of the company’s stock worth $580,383,000 after buying an additional 2,216,402 shares in the last quarter. Finally, Employees Provident Fund Board purchased a new position in shares of Datadog in the fourth quarter worth $251,582,000. Hedge funds and other institutional investors own 78.29% of the company’s stock.

Datadog Company Profile

Datadog, Inc (NASDAQ:DDOG) is a cloud-based software company that provides monitoring, observability, security and analytics tools for modern applications and information technology environments. Its platform helps organizations collect, correlate and analyze data from servers, databases, applications, containers, networks and cloud services in a unified environment.

The company’s products include infrastructure monitoring, application performance monitoring, log management, real user and synthetic monitoring, database monitoring, cloud security, software delivery tools, incident management and cloud cost management.