Datadog, Inc. $DDOG Shares Purchased by Sound Income Strategies LLC

Sound Income Strategies LLC grew its position in shares of Datadog, Inc. (NASDAQ:DDOG) by 217.3% during the 3rd quarter, according to the company in its most recent filing with the SEC. The firm owned 5,125 shares of the company’s stock after purchasing an additional 3,510 shares during the quarter. Sound Income Strategies LLC’s holdings in Datadog were worth $1,403,000 as of its most recent filing with the SEC.

A number of other hedge funds and other institutional investors also recently modified their holdings of DDOG. Janus Henderson Group PLC boosted its stake in Datadog by 22.8% during the first quarter. Janus Henderson Group PLC now owns 7,749,569 shares of the company’s stock valued at $905,570,000 after buying an additional 1,439,082 shares in the last quarter. First Trust Advisors LP raised its position in Datadog by 81.5% in the first quarter. First Trust Advisors LP now owns 3,685,562 shares of the company’s stock worth $435,081,000 after acquiring an additional 1,654,429 shares in the last quarter. Bank of New York Mellon Corp lifted its holdings in Datadog by 30.3% in the 1st quarter. Bank of New York Mellon Corp now owns 2,645,827 shares of the company’s stock valued at $312,340,000 after acquiring an additional 615,090 shares during the last quarter. Employees Provident Fund Board acquired a new stake in Datadog in the 4th quarter valued at about $251,582,000. Finally, Arrowstreet Capital Limited Partnership boosted its position in shares of Datadog by 162.2% during the 1st quarter. Arrowstreet Capital Limited Partnership now owns 1,571,018 shares of the company’s stock valued at $185,459,000 after purchasing an additional 971,910 shares in the last quarter. Institutional investors own 78.29% of the company’s stock.

Datadog Price Performance

DDOG stock opened at $293.26 on Friday. Datadog, Inc. has a one year low of $98.01 and a one year high of $294.00. The firm has a 50-day moving average of $245.78 and a two-hundred day moving average of $216.09. The firm has a market capitalization of $105.30 billion, a PE ratio of 598.50, a P/E/G ratio of 26.72 and a beta of 1.51. The company has a current ratio of 3.20, a quick ratio of 3.20 and a debt-to-equity ratio of 0.23.

Datadog (NASDAQ:DDOG) last released its earnings results on Thursday, August 6th. The company reported $0.65 earnings per share for the quarter, topping the consensus estimate of $0.58 by $0.07. Datadog had a net margin of 4.48% and a return on equity of 5.67%. The business had revenue of $1.12 billion for the quarter, compared to the consensus estimate of $1.08 billion. During the same period last year, the firm posted $0.46 earnings per share. The firm’s quarterly revenue was up 35.6% compared to the same quarter last year. Datadog has set its Q3 2026 guidance at 0.630-0.650 EPS and its FY 2026 guidance at 2.500-2.540 EPS. On average, analysts forecast that Datadog, Inc. will post 0.70 earnings per share for the current year.

Insider Activity at Datadog

In other news, CTO Alexis Le-Quoc sold 53,912 shares of the firm’s stock in a transaction on Monday, August 10th. The stock was sold at an average price of $253.36, for a total value of $13,659,144.32. Following the completion of the sale, the chief technology officer owned 509,805 shares of the company’s stock, valued at $129,164,194.80. This trade represents a 9.56% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Olivier Pomel sold 127,141 shares of Datadog stock in a transaction on Wednesday, August 5th. The shares were sold at an average price of $286.71, for a total value of $36,452,596.11. Following the transaction, the chief executive officer owned 612,747 shares in the company, valued at $175,680,692.37. This represents a 17.18% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last quarter, insiders have sold 991,988 shares of company stock worth $241,440,796. Corporate insiders own 6.48% of the company’s stock.

Datadog News Summary

Here are the key news stories impacting Datadog this week:

• Positive Sentiment: Analyst target increase: CIBC raised its price target on Datadog, citing continued demand for cloud services and AI-related workloads. The move reinforces bullish sentiment and suggests additional upside potential in the analyst’s view. Datadog Climbs as CIBC Raises Target on Cloud and AI Demand
• Positive Sentiment: AI-native adoption supports growth expectations: Recent coverage highlights Datadog’s ability to benefit as businesses adopt AI applications and require more observability, security and infrastructure-monitoring tools. This supports the company’s long-term growth narrative. Datadog Capitalizing on AI-Native Adoption and Cloud Observability Demand
• Positive Sentiment: Technical and investor interest: Commentary describes Datadog as approaching or reaching a potential buy point, reflecting strong momentum and optimism surrounding its growth prospects. Why Is Datadog Stock Soaring Today
• Neutral Sentiment: CTO stock sale: Chief Technology Officer Alexis Le-Quoc sold 53,912 shares worth approximately $14.8 million under a pre-arranged Rule 10b5-1 trading plan. While insider selling can attract attention, the planned nature of the transaction reduces its signaling value; he continues to own 488,033 shares.
• Negative Sentiment: Valuation concerns: After a substantial multiyear rally, investors are questioning whether Datadog’s cash flows justify its share price. With the stock trading at a very high earnings multiple, any slowdown in AI or cloud-related growth could create downside pressure. Is Datadog Priced For More Than Its Cash Flows?

Wall Street Analyst Weigh In

Several brokerages have recently issued reports on DDOG. KeyCorp lifted their price objective on shares of Datadog from $225.00 to $320.00 and gave the stock an “overweight” rating in a research note on Thursday, July 16th. Canaccord Genuity Group raised their target price on shares of Datadog from $250.00 to $295.00 and gave the stock a “buy” rating in a report on Tuesday, August 4th. Canadian Imperial Bank of Commerce lifted their price target on shares of Datadog from $280.00 to $315.00 and gave the stock an “outperform” rating in a research report on Friday. Arete Research upped their price target on Datadog from $260.00 to $340.00 and gave the company a “buy” rating in a report on Tuesday, June 23rd. Finally, Needham & Company LLC upped their price target on Datadog from $260.00 to $300.00 and gave the company a “buy” rating in a report on Friday, August 7th. Three equities research analysts have rated the stock with a Strong Buy rating, thirty-eight have issued a Buy rating, four have issued a Hold rating and one has issued a Sell rating to the company’s stock. According to MarketBeat, the stock currently has an average rating of “Moderate Buy” and an average target price of $278.51.

About Datadog

Datadog, Inc is a software company that provides a cloud-based monitoring, observability and security platform. Its services help organizations collect, analyze and visualize data from applications, infrastructure, networks, databases and other technology environments, enabling them to identify performance issues, manage incidents and improve digital services.

The company’s product offerings include infrastructure monitoring, application performance monitoring, log management, database and network monitoring, real user and synthetic experience monitoring, cloud security, software supply chain security, incident management and workflow automation.