Datadog (NASDAQ:DDOG) Stock Price Up 3.4% – Still a Buy?

Datadog, Inc. (NASDAQ:DDOG) shares were up 3.4% on Wednesday . The company traded as high as $255.00 and last traded at $256.0030. Approximately 669,823 shares changed hands during mid-day trading, a decline of 87% from the average daily volume of 5,349,661 shares. The stock had previously closed at $247.48.

Wall Street Analyst Weigh In

A number of analysts have commented on the stock. Bank of America upped their price objective on shares of Datadog from $260.00 to $280.00 and gave the company a “buy” rating in a research note on Monday, June 8th. New Street Research set a $260.00 price target on shares of Datadog in a research report on Thursday, June 11th. BMO Capital Markets set a $300.00 price objective on shares of Datadog in a research note on Friday, August 7th. Morgan Stanley lifted their price objective on shares of Datadog from $225.00 to $300.00 and gave the stock an “overweight” rating in a research report on Tuesday, July 28th. Finally, Benchmark reiterated a “buy” rating on shares of Datadog in a report on Tuesday, July 28th. Two research analysts have rated the stock with a Strong Buy rating, thirty-eight have assigned a Buy rating, four have assigned a Hold rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat, the company currently has an average rating of “Moderate Buy” and an average target price of $276.66.

Datadog Price Performance

The stock has a market capitalization of $90.52 billion, a price-to-earnings ratio of 514.30, a P/E/G ratio of 23.92 and a beta of 1.49. 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 company’s 50-day simple moving average is $241.96 and its 200 day simple moving average is $203.43.

Datadog (NASDAQ:DDOG) last announced its quarterly earnings results on Thursday, August 6th. The company reported $0.65 EPS for the quarter, beating the consensus estimate of $0.58 by $0.07. The company had revenue of $1.12 billion for the quarter, compared to the consensus estimate of $1.08 billion. Datadog had a return on equity of 5.67% and a net margin of 4.48%.The company’s revenue for the quarter was up 35.6% compared to the same quarter last year. During the same quarter last year, the company posted $0.46 earnings per share. Datadog has set its Q3 2026 guidance at 0.630-0.650 EPS and its FY 2026 guidance at 2.500-2.540 EPS. Equities research analysts forecast that Datadog, Inc. will post 0.7 EPS for the current year.

Insider Activity

In other Datadog news, CTO Alexis Le-Quoc sold 53,912 shares of Datadog stock in a transaction on Wednesday, July 8th. The shares were sold at an average price of $257.24, for a total transaction of $13,868,322.88. Following the sale, the chief technology officer owned 509,805 shares in the company, valued at $131,142,238.20. The trade was a 9.56% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO David Obstler sold 40,000 shares of the firm’s stock in a transaction dated Monday, September 14th. The stock was sold at an average price of $227.47, for a total transaction of $9,098,800.00. Following the transaction, the chief financial officer owned 378,067 shares of the company’s stock, valued at approximately $85,998,900.49. This represents a 9.57% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last 90 days, insiders sold 1,017,764 shares of company stock valued at $247,210,750. Insiders own 6.48% of the company’s stock.

Hedge Funds Weigh In On Datadog

Institutional investors have recently bought and sold shares of the business. EMC Capital Management acquired a new position in shares of Datadog during the second quarter worth $28,000. Cornerstone Financial Management LLC increased its position in shares of Datadog by 54.9% during the second quarter. Cornerstone Financial Management LLC now owns 127 shares of the company’s stock worth $33,000 after buying an additional 45 shares during the period. Elevation Wealth Partners LLC lifted its holdings in Datadog by 2,700.0% in the second quarter. Elevation Wealth Partners LLC now owns 168 shares of the company’s stock valued at $44,000 after buying an additional 162 shares during the period. Continuum Advisory LLC acquired a new stake in Datadog during the 2nd quarter worth about $53,000. Finally, Rothschild Investment LLC raised its position in shares of Datadog by 52.5% in the 4th quarter. Rothschild Investment LLC now owns 273 shares of the company’s stock worth $37,000 after acquiring an additional 94 shares in the last quarter. Institutional investors own 78.29% of the company’s stock.

Datadog Company Profile

Datadog, Inc (NASDAQ:DDOG) is a cloud-based software company that provides monitoring, observability, security and analytics tools for modern applications and information technology environments. Its platform helps organizations collect, correlate and analyze data from servers, databases, applications, containers, networks and cloud services in a unified environment.

The company’s products include infrastructure monitoring, application performance monitoring, log management, real user and synthetic monitoring, database monitoring, cloud security, software delivery tools, incident management and cloud cost management.