GAMMA Investing LLC Boosts Stake in Datadog, Inc. $DDOG

GAMMA Investing LLC lifted its stake in shares of Datadog, Inc. (NASDAQ:DDOG) by 27.8% in the second quarter, according to its most recent filing with the SEC. The fund owned 8,794 shares of the company’s stock after acquiring an additional 1,911 shares during the period. GAMMA Investing LLC’s holdings in Datadog were worth $2,290,000 as of its most recent SEC filing.

Other hedge funds and other institutional investors also recently added to or reduced their stakes in the company. JPL Wealth Management LLC purchased a new stake in Datadog during the third quarter valued at about $27,000. Flagship Harbor Advisors LLC purchased a new position in shares of Datadog in the 4th quarter worth about $31,000. NBC Securities Inc. increased its position in shares of Datadog by 242.6% during the 4th quarter. NBC Securities Inc. now owns 233 shares of the company’s stock valued at $32,000 after purchasing an additional 165 shares during the last quarter. Rothschild Investment LLC increased its position in shares of Datadog by 52.5% during the 4th quarter. Rothschild Investment LLC now owns 273 shares of the company’s stock valued at $37,000 after purchasing an additional 94 shares during the last quarter. Finally, Quarry LP purchased a new position in shares of Datadog during the 3rd quarter valued at about $45,000. 78.29% of the stock is currently owned by hedge funds and other institutional investors.

Datadog Price Performance

DDOG opened at $283.17 on Thursday. The stock’s 50 day simple moving average is $249.48 and its 200 day simple moving average is $176.68. The company has a debt-to-equity ratio of 0.25, a current ratio of 3.40 and a quick ratio of 3.40. Datadog, Inc. has a 1 year low of $98.01 and a 1 year high of $292.72. The firm has a market cap of $100.80 billion, a price-to-earnings ratio of 745.20, a PEG ratio of 29.19 and a beta of 1.54.

Datadog (NASDAQ:DDOG) last announced its quarterly earnings data on Thursday, May 7th. The company reported $0.60 earnings per share for the quarter, beating the consensus estimate of $0.51 by $0.09. The firm had revenue of $1.01 billion during the quarter, compared to the consensus estimate of $960.12 million. Datadog had a return on equity of 4.83% and a net margin of 3.69%.The business’s revenue was up 32.1% on a year-over-year basis. During the same quarter in the previous year, the company posted $0.46 earnings per share. As a group, analysts predict that Datadog, Inc. will post 0.64 earnings per share for the current year.

Analysts Set New Price Targets

A number of analysts recently weighed in on DDOG shares. Morgan Stanley boosted their target price on Datadog from $225.00 to $300.00 and gave the stock an “overweight” rating in a research report on Tuesday, July 28th. Barclays lifted their price target on shares of Datadog from $260.00 to $290.00 and gave the stock an “overweight” rating in a research note on Tuesday, July 21st. Royal Bank Of Canada restated an “outperform” rating and issued a $280.00 price objective on shares of Datadog in a report on Thursday, July 16th. Weiss Ratings cut shares of Datadog from a “hold (c-)” rating to a “sell (d+)” rating in a research note on Wednesday, July 29th. Finally, Benchmark reaffirmed a “buy” rating on shares of Datadog in a report on Tuesday, July 28th. Two investment analysts have rated the stock with a Strong Buy rating, thirty-nine have given a Buy rating, three have issued a Hold rating and two have assigned a Sell rating to the company. Based on data from MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and a consensus target price of $271.57.

Insider Transactions at Datadog

In related news, Director Dev Ittycheria sold 120,000 shares of the company’s stock in a transaction on Wednesday, June 3rd. The shares were sold at an average price of $248.78, for a total transaction of $29,853,600.00. Following the completion of the sale, the director directly owned 39,235 shares in the company, valued at $9,760,883.30. This represents a 75.36% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available through this link. Also, CFO David M. Obstler sold 75,000 shares of the stock in a transaction on Monday, June 8th. The shares were sold at an average price of $231.69, for a total transaction of $17,376,750.00. Following the sale, the chief financial officer directly owned 434,591 shares of the company’s stock, valued at $100,690,388.79. The trade was a 14.72% decrease in their position. 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. In the last three months, insiders have sold 1,437,118 shares of company stock valued at $337,708,784. 6.48% of the stock is currently owned by insiders.

Datadog News Summary

Here are the key news stories impacting Datadog this week:

• Positive Sentiment: Analysts continue to raise their expectations. Cantor Fitzgerald lifted its price target to $327 and maintained an overweight rating, while Canaccord Genuity raised its target to $295 and Rosenblatt Securities increased its target to $305; all three firms retained buy-equivalent ratings. These revisions reflect confidence in Datadog’s AI products, platform expansion and demand for observability and security tools. Cantor Fitzgerald price target article
• Positive Sentiment: Datadog enters its earnings report with solid operating momentum. The company’s prior quarter delivered revenue of $1.01 billion, up 32.1% year over year, and adjusted earnings of $0.60 per share, exceeding consensus estimates. Investors are looking for continued customer additions, usage growth and traction from AI-related products in the upcoming results. Datadog Q2 earnings outlook
• Neutral Sentiment: Datadog will present at several investor conferences, including Canaccord Genuity’s Growth Conference on August 12, Citi’s Global TMT Conference on September 8 and Goldman Sachs’ Communacopia & Technology Conference. The events could provide updates on demand, AI adoption and guidance, but the announcement itself does not change financial forecasts. Datadog investor conferences announcement
• Negative Sentiment: Valuation and earnings risk remain significant. Datadog trades at a very high earnings multiple, so any shortfall in revenue growth, margins, customer metrics or forward guidance could trigger volatility. The company is expected to report quarterly earnings on Thursday, making the near-term reaction especially dependent on results relative to elevated expectations. Datadog Q2 earnings preview
• Negative Sentiment: Director Amit Agarwal sold 20,000 shares for approximately $5.3 million, reducing his direct ownership by more than 92%. The sale was conducted under a pre-arranged Rule 10b5-1 plan, limiting its bearish significance, but repeated insider selling may still weigh modestly on sentiment. SEC insider transaction filing

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.