Datadog (NASDAQ:DDOG) Upgraded to “Strong-Buy” at Wedbush

Wedbush upgraded shares of Datadog (NASDAQ:DDOG) to a strong-buy rating in a research report sent to investors on Thursday,Zacks reports.

Several other research firms also recently issued reports on DDOG. Barclays lifted their price target on Datadog from $260.00 to $290.00 and gave the stock an “overweight” rating in a research note on Tuesday, July 21st. Zacks Research cut shares of Datadog from a “strong-buy” rating to a “hold” rating in a research note on Monday, August 17th. BMO Capital Markets set a $300.00 target price on shares of Datadog in a research report on Friday, August 7th. Robert W. Baird set a $300.00 price target on shares of Datadog in a report on Friday, August 7th. Finally, Mizuho increased their price target on shares of Datadog from $220.00 to $300.00 and gave the company an “outperform” rating in a research report on Wednesday, July 15th. Two 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 assigned a Sell rating to the company’s stock. According to MarketBeat.com, the company has an average rating of “Moderate Buy” and an average target price of $276.66.

Datadog Price Performance

Shares of NASDAQ:DDOG opened at $221.21 on Thursday. The firm has a market capitalization of $79.43 billion, a price-to-earnings ratio of 451.46, a price-to-earnings-growth ratio of 21.71 and a beta of 1.49. 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’s 50 day simple moving average is $245.59 and its 200-day simple moving average is $196.67. Datadog has a 12 month low of $98.01 and a 12 month high of $292.72.

Datadog (NASDAQ:DDOG) last released its quarterly earnings data on Thursday, August 6th. The company reported $0.65 earnings per share for the quarter, beating the consensus estimate 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%.Datadog’s quarterly revenue was up 35.6% on a year-over-year basis. During the same period last year, the business posted $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. As a group, equities analysts forecast that Datadog will post 0.7 earnings per share for the current fiscal year.

Insider Activity

In other news, CTO Alexis Le-Quoc sold 53,912 shares of Datadog stock in a transaction dated 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 completion of the sale, the chief technology officer directly 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 sale was disclosed in a filing with the SEC, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Olivier Pomel sold 127,141 shares of the business’s stock in a transaction that occurred on Wednesday, August 5th. The shares were sold at an average price of $286.71, for a total transaction of $36,452,596.11. Following the completion of the transaction, the chief executive officer directly owned 612,747 shares of the company’s stock, valued at approximately $175,680,692.37. This represents a 17.18% 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. Insiders sold a total of 1,077,367 shares of company stock valued at $260,947,004 in the last three months. 6.48% of the stock is currently owned by corporate insiders.

Institutional Trading of Datadog

Several hedge funds and other institutional investors have recently bought and sold shares of the company. Tidal Investments LLC grew its position in shares of Datadog by 17.4% in the second quarter. Tidal Investments LLC now owns 94,299 shares of the company’s stock valued at $24,552,000 after purchasing an additional 13,977 shares during the period. BlueCrest Capital Management Ltd lifted its position in Datadog by 30.2% during the second quarter. BlueCrest Capital Management Ltd now owns 6,771 shares of the company’s stock worth $1,763,000 after buying an additional 1,571 shares during the period. Pinnacle Wealth Management Advisory Group LLC purchased a new position in Datadog during the second quarter worth about $297,000. NorthRock Partners LLC acquired a new stake in Datadog in the 2nd quarter worth about $220,000. Finally, Integrated Wealth Concepts LLC boosted its stake in Datadog by 1,691.4% in the 2nd quarter. Integrated Wealth Concepts LLC now owns 186,216 shares of the company’s stock worth $48,483,000 after buying an additional 175,821 shares during the last quarter. 78.29% of the stock is owned by hedge funds and other institutional investors.

About Datadog

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.