Datadog (NASDAQ:DDOG) Stock Price Target Cut by Rosenblatt Securities

Datadog (NASDAQ:DDOG) had its price target decreased by Rosenblatt Securities from $305.00 to $285.00 in a report released on Thursday, Benzinga reports. The brokerage currently has a “buy” rating on the stock. Rosenblatt Securities‘s price objective indicates a potential upside of 61.87% from the stock’s previous close.

DDOG has been the subject of several other reports. Canaccord Genuity Group raised their price objective on shares of Datadog from $250.00 to $295.00 and gave the stock a “buy” rating in a report on Tuesday, August 4th. BTIG Research reduced their target price on Datadog from $289.00 to $260.00 and set a “buy” rating on the stock in a report on Wednesday. Stifel Nicolaus set a $245.00 target price on Datadog in a research report on Wednesday. Zacks Research cut Datadog from a “strong-buy” rating to a “hold” rating in a research note on Monday, August 17th. Finally, Benchmark restated a “buy” rating on shares of Datadog in a research note on Tuesday, July 28th. Two equities research analysts have rated the stock with a Strong Buy rating, forty-one have issued a Buy rating, three have assigned a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat, the stock has an average rating of “Moderate Buy” and an average price target of $276.33.

Datadog Trading Down 6.7%

Shares of Datadog stock traded down $12.65 during trading on Thursday, reaching $176.07. 6,742,301 shares of the stock were exchanged, compared to its average volume of 5,110,398. 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 firm has a market cap of $63.22 billion, a price-to-earnings ratio of 357.84, a price-to-earnings-growth ratio of 21.50 and a beta of 1.50. Datadog has a 1 year low of $98.01 and a 1 year high of $300.68. The stock’s fifty day moving average is $250.09 and its 200 day moving average is $199.43.

Datadog (NASDAQ:DDOG) last announced its quarterly earnings results on Wednesday, November 4th. The company reported $0.81 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.64 by $0.17. The company had revenue of $1.20 billion for the quarter, compared to the consensus estimate of $1.15 billion. Datadog had a return on equity of 5.67% and a net margin of 4.48%. Datadog’s revenue was up 35.2% compared to the same quarter last year. During the same quarter in the previous year, the business earned $0.55 EPS. As a group, equities research analysts expect that Datadog will post 0.70 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other news, CFO David Obstler sold 10,000 shares of the business’s stock in a transaction that occurred on Monday, September 21st. The stock was sold at an average price of $241.25, for a total value of $2,412,500.00. Following the sale, the chief financial officer directly owned 368,067 shares of the company’s stock, valued at $88,796,163.75. The trade was a 2.65% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Yanbing Li sold 12,700 shares of the business’s stock in a transaction that occurred on Friday, September 11th. The stock was sold at an average price of $221.26, for a total value of $2,810,002.00. Following the completion of the sale, the insider directly owned 250,446 shares in the company, valued at approximately $55,413,681.96. This represents a 4.83% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last quarter, insiders have sold 745,293 shares of company stock valued at $175,536,548. Insiders own 6.48% of the company’s stock.

Institutional Inflows and Outflows

A number of large investors have recently added to or reduced their stakes in DDOG. Silver Grove Financial Group Inc. increased its holdings in shares of Datadog by 96.9% during the third quarter. Silver Grove Financial Group Inc. now owns 193 shares of the company’s stock valued at $53,000 after acquiring an additional 95 shares in the last quarter. Illinois Municipal Retirement Fund purchased a new position in shares of Datadog in the 3rd quarter worth about $1,382,000. Brooklyn FI LLC boosted its stake in Datadog by 8.4% in the 3rd quarter. Brooklyn FI LLC now owns 1,940 shares of the company’s stock worth $531,000 after purchasing an additional 150 shares in the last quarter. New York Life Investment Management LLC boosted its stake in Datadog by 10.7% in the 3rd quarter. New York Life Investment Management LLC now owns 56,217 shares of the company’s stock worth $15,395,000 after purchasing an additional 5,450 shares in the last quarter. Finally, 71 West Capital Partners boosted its stake in Datadog by 0.9% in the 3rd quarter. 71 West Capital Partners now owns 88,240 shares of the company’s stock worth $24,165,000 after purchasing an additional 806 shares in the last quarter. Hedge funds and other institutional investors own 78.29% of the company’s stock.

More Datadog News

Here are the key news stories impacting Datadog this week:

• Positive Sentiment: Datadog reported Q3 revenue of $1.20 billion, up 35.2% year over year, and adjusted EPS of $0.81, both ahead of analysts’ expectations. The company also raised its full-year outlook. Datadog Announces Third Quarter 2026 Financial Results
• Positive Sentiment: AI workloads and broader product adoption supported growth; Datadog also said non-AI customer revenue grew in the high-20s and infrastructure-monitoring ARR exceeded $2 billion. Datadog: 3 Key Takeaways for Long-Term Investors
• Neutral Sentiment: Several analysts lowered price targets after the results, while maintaining positive ratings: Wells Fargo cut its target to $300 and Wedbush to $240, both retaining overweight/outperform ratings. Wells Fargo analyst rating
• Negative Sentiment: Investors are concerned that Q4 revenue growth will slow from Q3’s 35% pace, with the forecast implying roughly 26% year-over-year growth and revenue near the prior quarter’s level. Q3 Earnings Call Highlights AI Growth and Customer Renewals
• Negative Sentiment: Management cited reduced usage by a major AI customer, alongside discounts and lower-priced renewals, as factors weighing on growth. This customer volatility has heightened concerns about the durability of AI-driven demand. Datadog Says Lower Usage From Major AI Customer Is Weighing on Growth
• Negative Sentiment: The stock’s premium valuation may amplify concerns about decelerating growth and contributed to its post-earnings decline, even with results above estimates.

About Datadog

Datadog, Inc is a technology company that provides a cloud-based monitoring and security platform for applications, infrastructure and other technology environments. Its platform helps organizations collect, analyze and visualize data from servers, databases, containers, cloud services, applications and user interactions in a unified environment.

Datadog’s products include infrastructure monitoring, application performance monitoring, log management, real user monitoring, synthetic monitoring, network performance monitoring, cloud security, software delivery tools and incident-management capabilities.