Datadog (NASDAQ:DDOG) Stock Price Target Cut by Wedbush

Datadog (NASDAQ:DDOG) had its target price reduced by research analysts at Wedbush from $275.00 to $240.00 in a report issued on Thursday, Benzinga reports. The brokerage currently has an “outperform” rating on the stock. Wedbush‘s target price suggests a potential upside of 34.05% from the company’s previous close.

Several other equities analysts have also weighed in on DDOG. Benchmark reissued a “buy” rating on shares of Datadog in a research report on Tuesday, July 28th. Rosenblatt Securities upped their price target on shares of Datadog from $220.00 to $305.00 and gave the company a “buy” rating in a research note on Tuesday, August 4th. TD Cowen reissued a “buy” rating on shares of Datadog in a report on Monday, October 26th. Cantor Fitzgerald lowered their price target on shares of Datadog from $327.00 to $260.00 and set an “overweight” rating on the stock in a report on Thursday. Finally, Yorkville Ives started coverage on shares of Datadog in a research report on Monday, October 5th. They set an “outperform” rating and a $335.00 price objective for the company. Two investment analysts have rated the stock with a Strong Buy rating, thirty-eight have given a Buy rating, three have assigned a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat, the stock currently has an average rating of “Moderate Buy” and a consensus price target of $278.43.

Datadog Stock Performance

Shares of NASDAQ DDOG traded up $4.44 during midday trading 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. The company has a quick ratio of 3.20, a current ratio of 3.20 and a debt-to-equity ratio of 0.23. The firm has a market capitalization of $64.29 billion, a PE ratio of 252.17, a price-to-earnings-growth ratio of 21.09 and a beta of 1.50. Datadog has a 12 month low of $98.01 and a 12 month high of $300.68. The company’s 50 day moving average price is $247.75 and its 200 day moving average price is $200.01.

Datadog (NASDAQ:DDOG) last posted its quarterly 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 return on equity of 5.67% and a net margin of 4.48%. The business had revenue of $1.20 billion for the quarter, compared to analysts’ expectations of $1.15 billion. During the same quarter in the prior year, the business earned $0.55 EPS. The firm’s revenue for the quarter was up 35.2% on a year-over-year basis. As a group, analysts predict that Datadog will post 0.70 earnings per share for the current fiscal year.

Insider Buying and Selling

In related news, General Counsel Kerry Acocella sold 5,280 shares of the company’s 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 in the company, valued at approximately $26,373,360.55. This represents a 4.38% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible 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 transaction, the chief technology officer directly owned 488,033 shares in the company, valued at approximately $136,112,403.70. This represents a 8.14% 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 a total of 745,293 shares of company stock valued at $175,536,548 in the last 90 days. 6.48% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Datadog

Hedge funds and other institutional investors have recently made changes to their positions in the business. Integrated Wealth Concepts LLC increased its position in shares of Datadog by 1,691.4% in the second quarter. Integrated Wealth Concepts LLC now owns 186,216 shares of the company’s stock worth $48,483,000 after purchasing an additional 175,821 shares during the period. Congress Asset Management Co. lifted its position in Datadog by 3.0% during the third quarter. Congress Asset Management Co. now owns 268,825 shares of the company’s stock worth $71,350,000 after purchasing an additional 7,802 shares during the period. MassMutual Private Wealth & Trust FSB lifted its position in Datadog by 7,711.3% during the third quarter. MassMutual Private Wealth & Trust FSB now owns 94,048 shares of the company’s stock worth $25,755,000 after purchasing an additional 92,844 shares during the period. Cooper Financial Group grew its stake in Datadog by 188.1% during the third 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 in the last quarter. Finally, Saudi Central Bank grew its stake in Datadog by 91.6% during the second 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 in the last quarter. 78.29% of the stock is currently owned by institutional investors and hedge funds.

Datadog News Roundup

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.