Datadog, Inc. (NASDAQ:DDOG) Stock Has Average Price Target of $277.73

Shares of Datadog, Inc. (NASDAQ:DDOG) have been given a consensus recommendation of “Moderate Buy” by the forty-six ratings firms that are covering the firm, Marketbeat Ratings reports. One research analyst has rated the stock with a sell rating, four have given a hold rating, thirty-eight have issued a buy rating and three have issued a strong buy rating on the company. The average 12-month price objective among brokers that have covered the stock in the last year is $278.51.

DDOG has been the topic of several analyst reports. Guggenheim raised their price target on shares of Datadog from $225.00 to $300.00 and gave the company a “buy” rating in a research note on Wednesday, July 22nd. Rosenblatt Securities boosted their price objective on Datadog from $220.00 to $305.00 and gave the stock a “buy” rating in a research report on Tuesday, August 4th. Oppenheimer increased their price objective on Datadog from $220.00 to $300.00 and gave the stock an “outperform” rating in a report on Monday, July 20th. TD Cowen lifted their target price on Datadog from $260.00 to $300.00 and gave the company a “buy” rating in a research note on Wednesday, July 22nd. Finally, Morgan Stanley boosted their price target on Datadog from $225.00 to $300.00 and gave the stock an “overweight” rating in a research report on Tuesday, July 28th.

Datadog Trading Up 7.1%

NASDAQ:DDOG opened at $293.26 on Wednesday. Datadog has a 12-month low of $98.01 and a 12-month high of $294.00. The firm has a market capitalization of $105.30 billion, a P/E ratio of 598.50, a P/E/G ratio of 26.72 and a beta of 1.51. The company has a debt-to-equity ratio of 0.23, a current ratio of 3.20 and a quick ratio of 3.20. The business has a 50 day simple moving average of $245.78 and a 200 day simple moving average of $216.09.

Datadog (NASDAQ:DDOG) last issued its quarterly earnings data on Thursday, August 6th. The company reported $0.65 EPS for the quarter, topping analysts’ consensus estimates of $0.58 by $0.07. The firm had revenue of $1.12 billion during 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 firm’s revenue was up 35.6% on a year-over-year basis. During the same period in the prior year, the business earned $0.46 EPS. 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 predict that Datadog will post 0.70 EPS for the current year.

Insider Buying and Selling at Datadog

In other Datadog news, General Counsel Kerry Acocella sold 5,280 shares of the firm’s stock in a transaction dated Monday, September 14th. The shares were sold at an average price of $228.85, for a total transaction of $1,208,328.00. Following the transaction, the general counsel owned 115,243 shares of the company’s stock, valued at approximately $26,373,360.55. This trade represents a 4.38% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CTO Alexis Le-Quoc sold 53,912 shares of the firm’s stock in a transaction dated Wednesday, October 7th. The shares were sold at an average price of $273.60, for a total transaction of $14,750,323.20. Following the transaction, the chief technology officer directly owned 488,033 shares in the company, valued at approximately $133,525,828.80. The trade was a 9.95% 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 sold 991,988 shares of company stock valued at $241,440,796. 6.48% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently made changes to their positions in the stock. ING Groep NV lifted its stake in Datadog by 697.3% in the fourth quarter. ING Groep NV now owns 37,519 shares of the company’s stock valued at $5,102,000 after acquiring an additional 32,813 shares during the last quarter. Integrated Wealth Concepts LLC increased its stake in shares of Datadog by 1,691.4% during the 2nd quarter. Integrated Wealth Concepts LLC now owns 186,216 shares of the company’s stock worth $48,483,000 after purchasing an additional 175,821 shares during the last quarter. Congress Asset Management Co. increased its stake in shares of Datadog by 3.0% during the 3rd quarter. Congress Asset Management Co. now owns 268,825 shares of the company’s stock worth $71,350,000 after purchasing an additional 7,802 shares during the last quarter. Cooper Financial Group raised its holdings in shares of Datadog by 188.1% during the 3rd quarter. Cooper Financial Group now owns 20,934 shares of the company’s stock valued at $5,733,000 after purchasing an additional 13,669 shares in the last quarter. Finally, iA Global Asset Management Inc. raised its holdings in shares of Datadog by 133.7% during the 1st quarter. iA Global Asset Management Inc. now owns 94,540 shares of the company’s stock valued at $11,160,000 after purchasing an additional 54,084 shares in the last quarter. 78.29% of the stock is currently owned by institutional investors.

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?

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.