Cantor Fitzgerald Issues Pessimistic Forecast for Datadog (NASDAQ:DDOG) Stock Price

Datadog (NASDAQ:DDOG) had its price objective dropped by analysts at Cantor Fitzgerald from $327.00 to $260.00 in a research report issued to clients and investors on Thursday, Benzinga reports. The firm presently has an “overweight” rating on the stock. Cantor Fitzgerald‘s price target suggests a potential upside of 45.22% from the stock’s previous close.

A number of other equities research analysts have also recently issued reports on the company. FBN Securities began coverage on Datadog in a research note on Friday, October 2nd. They set an “outperform” rating and a $325.00 price objective on the stock. UBS Group raised their target price on shares of Datadog from $280.00 to $320.00 and gave the company a “buy” rating in a research note on Tuesday, October 27th. Weiss Ratings upgraded shares of Datadog from a “hold (c)” rating to a “hold (c+)” rating in a report on Thursday, October 8th. Evercore reaffirmed an “outperform” rating and set a $300.00 price target on shares of Datadog in a research report on Monday, November 2nd. Finally, The Goldman Sachs Group reiterated a “sell” rating and issued a $158.00 price target on shares of Datadog in a research note on Friday, August 7th. Two equities research analysts have rated the stock with a Strong Buy rating, thirty-eight have issued a Buy rating, three have assigned a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus price target of $278.43.

Datadog Stock Up 2.5%

DDOG traded up $4.44 during trading hours on Thursday, hitting $179.04. 5,937,232 shares of the company’s stock were exchanged, compared to its average volume of 3,026,833. Datadog has a 1-year low of $98.01 and a 1-year high of $300.68. The stock’s 50-day moving average is $247.75 and its two-hundred day moving average is $200.01. The stock has a market cap of $64.29 billion, a price-to-earnings ratio of 252.17, a PEG ratio of 21.09 and a beta of 1.50. The company has a quick ratio of 3.20, a current ratio of 3.20 and a debt-to-equity ratio of 0.23.

Datadog (NASDAQ:DDOG) last released its earnings results on Wednesday, November 4th. The company reported $0.81 earnings per share for the quarter, beating analysts’ consensus estimates of $0.64 by $0.17. Datadog had a net margin of 4.48% and a return on equity of 5.67%. The business had revenue of $1.20 billion during the quarter, compared to the consensus estimate of $1.15 billion. During the same quarter last year, the firm earned $0.55 earnings per share. The firm’s revenue for the quarter was up 35.2% compared to the same quarter last year. Sell-side analysts predict that Datadog will post 0.70 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other news, General Counsel Kerry Acocella sold 5,280 shares of the stock in a transaction dated Monday, September 14th. The shares were sold at an average price of $228.85, for a total value of $1,208,328.00. Following the transaction, the general counsel directly owned 115,243 shares of the company’s stock, valued at $26,373,360.55. This represents a 4.38% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CTO Alexis Le-Quoc sold 43,224 shares of the firm’s stock in a transaction dated Wednesday, October 28th. The stock was sold at an average price of $278.90, for a total transaction of $12,055,173.60. Following the sale, the chief technology officer owned 488,033 shares of the company’s stock, valued at approximately $136,112,403.70. This represents a 8.14% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 745,293 shares of company stock worth $175,536,548 in the last quarter. Company insiders own 6.48% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently bought and sold shares of the stock. Integrated Wealth Concepts LLC boosted its stake in Datadog by 1,691.4% in the 2nd quarter. Integrated Wealth Concepts LLC now owns 186,216 shares of the company’s stock valued at $48,483,000 after purchasing an additional 175,821 shares during the period. Congress Asset Management Co. grew its holdings in Datadog by 3.0% in the 3rd quarter. Congress Asset Management Co. now owns 268,825 shares of the company’s stock valued at $71,350,000 after buying an additional 7,802 shares in the last quarter. MassMutual Private Wealth & Trust FSB increased its position in Datadog by 7,711.3% during the 3rd quarter. MassMutual Private Wealth & Trust FSB now owns 94,048 shares of the company’s stock worth $25,755,000 after buying an additional 92,844 shares during the period. Cooper Financial Group increased its position in Datadog by 188.1% during the 3rd quarter. Cooper Financial Group now owns 20,934 shares of the company’s stock worth $5,733,000 after buying an additional 13,669 shares during the period. Finally, Saudi Central Bank increased its position in Datadog by 91.6% during the 2nd quarter. Saudi Central Bank now owns 21,867 shares of the company’s stock worth $5,693,000 after buying an additional 10,455 shares during the period. Institutional investors and hedge funds own 78.29% of the company’s stock.

Key Datadog News

Here are the key news stories impacting Datadog this week:

• Positive Sentiment: Datadog beat Q3 estimates, reporting $1.20 billion in revenue, up 35.2% year over year, and adjusted EPS of $0.81 versus a $0.64 consensus. Infrastructure Monitoring annual recurring revenue also topped $2 billion, with broad-based platform use and AI adoption supporting demand. Article: Datadog’s Infrastructure Monitoring Tops $2B ARR in Q3, Revenues Beat
• Neutral Sentiment: Some analysts still see upside: several firms retained Buy or Overweight ratings even while trimming price targets. One valuation analysis also argues the share price may be supportable by future cash generation, though that depends on expectations for growth and AI demand. Article: Datadog Stock Could Still Be Undervalued As AI Hopes Swing
• Negative Sentiment: Investors remain wary of the outlook: Q4 guidance and customer-related factors signal a potential slowdown from Q3’s growth, while AI-customer discounts and lower-priced renewals may temper revenue growth. The forecast also relies on a minimum commitment from Datadog’s largest customer, adding uncertainty. Article: DDOG Q3 Earnings Call Highlights AI Growth and Customer Renewals
• Negative Sentiment: Multiple firms cut their price targets after the results—including Rosenblatt, TD Cowen, Wells Fargo, Citigroup and Wedbush. Though ratings remained favorable in several reports, the reductions suggest analysts are tempering near-term expectations. Article: Rosenblatt Lowers Datadog Price Target Article: Wedbush Sets New Datadog Price Target

Datadog Company Profile

Datadog, Inc provides a cloud-based monitoring and security platform that helps organizations observe and manage their technology environments. Its tools collect and analyze data from applications, infrastructure, networks, and other systems to help teams detect issues and improve performance.

The company’s products include infrastructure monitoring, application performance monitoring, log management, digital experience monitoring, database and network monitoring, and security tools. Datadog also offers capabilities for incident management and cloud security.

Founded in 2010 by Olivier Pomel and Alexis Lê-Quôc, Datadog serves customers around the world.