Datadog (NASDAQ:DDOG) Stock Gets Price Target Reduction from TD Cowen

Datadog (NASDAQ:DDOG) had its price target decreased by TD Cowen from $300.00 to $275.00 in a research report sent to investors on Thursday,Benzinga reports. TD Cowen currently has a buy rating on the stock.

Other analysts have also recently issued research reports about the company. Jefferies Financial Group reiterated a “hold” rating and set a $230.00 price objective on shares of Datadog in a research report on Wednesday. Yorkville Ives started coverage on Datadog in a research report on Monday, October 5th. They issued an “outperform” rating and a $335.00 target price on the stock. Canaccord Genuity Group boosted their price target on Datadog from $250.00 to $295.00 and gave the company a “buy” rating in a research note on Tuesday, August 4th. KeyCorp upped their price target on shares of Datadog from $225.00 to $320.00 and gave the company an “overweight” rating in a research report on Thursday, July 16th. Finally, Oppenheimer increased their price objective on shares of Datadog from $300.00 to $330.00 and gave the stock an “outperform” rating in a research note on Monday, October 26th. Two equities research analysts have rated the stock with a Strong Buy rating, thirty-eight have issued a Buy rating, three have issued a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat.com, Datadog currently has a consensus rating of “Moderate Buy” and an average price target of $278.43.

Datadog Trading Up 2.5%

NASDAQ:DDOG opened at $179.04 on Thursday. The company has a current ratio of 3.51, a quick ratio of 3.20 and a debt-to-equity ratio of 0.21. Datadog has a 12 month low of $98.01 and a 12 month high of $300.68. The company has a market cap of $64.29 billion, a PE ratio of 252.17, a price-to-earnings-growth ratio of 17.46 and a beta of 1.50. The company has a 50 day simple moving average of $247.75 and a two-hundred day simple moving average of $200.01.

Datadog (NASDAQ:DDOG) last released its quarterly earnings results on Wednesday, November 4th. The company reported $0.81 earnings per share for the quarter, beating the consensus estimate of $0.64 by $0.17. The firm had revenue of $1.20 billion for the quarter, compared to analysts’ expectations of $1.15 billion. Datadog had a return on equity of 7.28% and a net margin of 6.12%. The company’s revenue was up 35.2% compared to the same quarter last year. During the same period in the prior year, the firm earned $0.55 EPS. Research analysts forecast that Datadog will post 0.72 earnings per share for the current year.

Insider Buying and Selling

In related news, Director Matthew Jacobson sold 39,912 shares of the firm’s stock in a transaction on Thursday, August 13th. The stock was sold at an average price of $250.55, for a total value of $9,999,951.60. Following the transaction, the director directly owned 544,220 shares of the company’s stock, valued at approximately $136,354,321. This trade represents a 6.83% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, CEO Olivier Pomel sold 89,497 shares of Datadog stock in a transaction on Tuesday, September 8th. The shares were sold at an average price of $207.86, for a total value of $18,602,846.42. Following the transaction, the chief executive officer owned 586,416 shares in the company, valued at $121,892,429.76. This trade represents a 13.24% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders 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 owned by company insiders.

Institutional Inflows and Outflows

A number of large investors have recently made changes to their positions in DDOG. EMC Capital Management bought a new position in shares of Datadog during the 2nd quarter valued at approximately $28,000. Cornerstone Financial Management LLC raised its stake in Datadog by 54.9% during the 2nd quarter. Cornerstone Financial Management LLC now owns 127 shares of the company’s stock worth $33,000 after acquiring an additional 45 shares during the period. Annis Gardner Whiting Capital Advisors LLC raised its stake in Datadog by 341.7% during the 1st quarter. Annis Gardner Whiting Capital Advisors LLC now owns 318 shares of the company’s stock worth $38,000 after acquiring an additional 246 shares during the period. Elevation Wealth Partners LLC raised its stake in Datadog by 2,700.0% during the 2nd quarter. Elevation Wealth Partners LLC now owns 168 shares of the company’s stock worth $44,000 after acquiring an additional 162 shares during the period. Finally, Armstrong Advisory Group Inc. purchased a new position in Datadog during the third quarter valued at approximately $46,000. 78.29% of the stock is owned by hedge funds and other institutional investors.

Key Stories Impacting Datadog

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

About Datadog

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.