Datadog (NASDAQ:DDOG) Issues FY 2025 Earnings Guidance

Datadog (NASDAQ:DDOG) issued an update on its FY 2025 earnings guidance on Thursday morning. The company provided earnings per share (EPS) guidance of 2.000-2.020 for the period, compared to the consensus estimate of 1.230. The company issued revenue guidance of $3.4 billion-$3.4 billion, compared to the consensus revenue estimate of $3.3 billion. Datadog also updated its Q4 2025 guidance to 0.54-0.56 EPS.

Datadog Stock Performance

DDOG traded up $35.84 during trading on Thursday, reaching $190.82. 21,294,620 shares of the company’s stock were exchanged, compared to its average volume of 3,315,387. Datadog has a fifty-two week low of $81.63 and a fifty-two week high of $194.87. The company has a quick ratio of 3.43, a current ratio of 3.43 and a debt-to-equity ratio of 0.31. The business has a 50 day moving average price of $147.78 and a 200 day moving average price of $133.51. The company has a market capitalization of $66.55 billion, a P/E ratio of 545.22, a PEG ratio of 60.64 and a beta of 1.20.

Datadog (NASDAQ:DDOG) last released its quarterly earnings data on Thursday, November 6th. The company reported $0.55 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.45 by $0.10. Datadog had a return on equity of 5.04% and a net margin of 4.13%.The firm had revenue of $885.65 million during the quarter, compared to analyst estimates of $852.77 million. During the same period in the prior year, the company posted $0.46 earnings per share. The business’s revenue for the quarter 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, analysts predict that Datadog will post 0.34 earnings per share for the current fiscal year.

Analyst Ratings Changes

DDOG has been the topic of a number of recent analyst reports. Needham & Company LLC boosted their price objective on Datadog from $175.00 to $220.00 and gave the stock a “buy” rating in a research note on Thursday. Capital One Financial lifted their target price on Datadog from $149.00 to $179.00 in a research note on Thursday, October 16th. Monness Crespi & Hardt lifted their target price on Datadog from $160.00 to $185.00 and gave the company a “buy” rating in a research note on Thursday, August 7th. 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. Finally, Robert W. Baird set a $165.00 price objective on Datadog in a research note on Wednesday, October 29th. Twenty-seven investment analysts have rated the stock with a Buy rating, seven have given a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and an average price target of $174.25.

Insider Buying and Selling

In related news, Director Matthew Jacobson sold 575,863 shares of the firm’s stock in a transaction on Tuesday, August 26th. The shares were sold at an average price of $126.96, for a total transaction of $73,111,566.48. Following the sale, the director directly owned 219,831 shares in the company, valued at $27,909,743.76. This trade represents a 72.37% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, Director Amit Agarwal sold 45,444 shares of the stock in a transaction on Wednesday, October 1st. The stock was sold at an average price of $150.08, for a total transaction of $6,820,235.52. Following the transaction, the director owned 1,640 shares of the company’s stock, valued at $246,131.20. The trade was a 96.52% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold 1,512,446 shares of company stock worth $207,641,627 over the last ninety days. Insiders own 8.70% of the company’s stock.

Institutional Investors Weigh In On Datadog

A number of large investors have recently modified their holdings of the business. Sivia Capital Partners LLC purchased a new stake in Datadog in the 2nd quarter valued at $509,000. Bison Wealth LLC purchased a new position in Datadog during the fourth quarter worth about $228,000. Brighton Jones LLC purchased a new position in Datadog during the fourth quarter worth about $209,000. Geneos Wealth Management Inc. boosted its holdings in Datadog by 17.6% during the first quarter. Geneos Wealth Management Inc. now owns 769 shares of the company’s stock worth $76,000 after purchasing an additional 115 shares during the last quarter. Finally, Peapack Gladstone Financial Corp boosted its holdings in Datadog by 4.2% during the second quarter. Peapack Gladstone Financial Corp now owns 4,940 shares of the company’s stock worth $664,000 after purchasing an additional 200 shares during the last quarter. Institutional investors and hedge funds 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.