Datadog (NASDAQ:DDOG) Updates Q1 2026 Earnings Guidance

Datadog (NASDAQ:DDOG) issued an update on its first quarter 2026 earnings guidance on Tuesday morning. The company provided earnings per share (EPS) guidance of 0.490-0.510 for the period, compared to the consensus estimate of 0.350. The company issued revenue guidance of $951.0 million-$961.0 million, compared to the consensus revenue estimate of $932.3 million. Datadog also updated its FY 2026 guidance to 2.080-2.160 EPS.

Datadog Stock Up 2.1%

DDOG opened at $114.01 on Tuesday. The stock has a market capitalization of $39.98 billion, a price-to-earnings ratio of 367.77, a price-to-earnings-growth ratio of 19.95 and a beta of 1.27. Datadog has a 12 month low of $81.63 and a 12 month high of $201.69. The company has a debt-to-equity ratio of 0.29, a current ratio of 3.66 and a quick ratio of 3.66. The business has a 50-day moving average of $134.40 and a two-hundred day moving average of $144.20.

Datadog (NASDAQ:DDOG) last announced its quarterly earnings results on Tuesday, February 10th. The company reported $0.59 earnings per share for the quarter, beating analysts’ consensus estimates of $0.55 by $0.04. Datadog had a net margin of 3.32% and a return on equity of 4.14%. The company had revenue of $953.19 million for the quarter, compared to analyst estimates of $916.53 million. Datadog has set its FY 2026 guidance at 2.080-2.160 EPS and its Q1 2026 guidance at 0.490-0.510 EPS. On average, research analysts expect that Datadog will post 0.34 earnings per share for the current year.

Analyst Ratings Changes

DDOG has been the topic of several research reports. Canadian Imperial Bank of Commerce upgraded shares of Datadog from a “neutral” rating to a “sector outperform” rating and set a $240.00 price target on the stock in a report on Friday, November 7th. DA Davidson restated a “buy” rating and set a $225.00 target price on shares of Datadog in a report on Monday, February 2nd. UBS Group set a $195.00 price target on shares of Datadog in a research report on Monday. Evercore cut their price objective on Datadog from $215.00 to $175.00 and set an “outperform” rating on the stock in a research report on Monday, February 2nd. Finally, Wells Fargo & Company upped their target price on Datadog from $190.00 to $230.00 and gave the stock an “overweight” rating in a research report on Friday, November 7th. Thirty-six research analysts have rated the stock with a Buy rating, four have assigned a Hold rating and two have assigned a Sell rating to the company’s stock. According to MarketBeat.com, the stock has an average rating of “Moderate Buy” and an average target price of $185.00.

Insider Transactions at Datadog

In other news, CEO Olivier Pomel sold 11,195 shares of Datadog stock in a transaction that occurred on Wednesday, December 17th. The stock was sold at an average price of $137.93, for a total value of $1,544,126.35. Following the completion of the transaction, the chief executive officer owned 518,133 shares in the company, valued at approximately $71,466,084.69. This trade represents a 2.11% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CTO Alexis Le-Quoc sold 32,418 shares of Datadog stock in a transaction dated Wednesday, January 28th. The shares were sold at an average price of $140.99, for a total transaction of $4,570,613.82. Following the completion of the transaction, the chief technology officer directly owned 301,458 shares of the company’s stock, valued at $42,502,563.42. This trade represents a 9.71% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last ninety days, insiders have sold 538,917 shares of company stock worth $86,804,288. 8.70% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Datadog

Institutional investors have recently modified their holdings of the company. JPL Wealth Management LLC acquired a new stake in shares of Datadog in the 3rd quarter worth about $27,000. Quarry LP acquired a new stake in shares of Datadog in the third quarter valued at approximately $45,000. Geneos Wealth Management Inc. grew its holdings in Datadog by 17.6% in the 1st quarter. Geneos Wealth Management Inc. now owns 769 shares of the company’s stock worth $76,000 after buying an additional 115 shares in the last quarter. Johnson Financial Group Inc. raised its stake in Datadog by 229.0% during the 3rd quarter. Johnson Financial Group Inc. now owns 658 shares of the company’s stock valued at $94,000 after acquiring an additional 458 shares in the last quarter. Finally, CYBER HORNET ETFs LLC acquired a new position in Datadog during the 3rd quarter worth $127,000. Institutional investors own 78.29% of the company’s stock.

Datadog Company Profile

Datadog (NASDAQ: DDOG) is a cloud-based monitoring and observability platform that helps organizations monitor, troubleshoot and secure their applications and infrastructure at scale. Its software-as-a-service offering collects and analyzes metrics, traces and logs from servers, containers, cloud services and applications to provide real-time visibility into system performance and health. Datadog’s platform is widely used by engineering, operations and security teams to reduce downtime, accelerate incident response and improve application reliability.

The company’s product suite includes infrastructure monitoring, application performance monitoring (APM), log management, real user monitoring (RUM), synthetic monitoring and network performance monitoring, along with security-focused products such as security monitoring and cloud SIEM.