Guggenheim Upgrades Datadog (NASDAQ:DDOG) to “Neutral”

Datadog (NASDAQ:DDOG) was upgraded by stock analysts at Guggenheim from a “sell” rating to a “neutral” rating in a research note issued to investors on Thursday.

DDOG has been the subject of a number of other research reports. Oppenheimer raised their target price on shares of Datadog from $165.00 to $195.00 and gave the company an “outperform” rating in a research note on Friday, October 17th. Canaccord Genuity Group raised their target price on shares of Datadog from $160.00 to $185.00 and gave the stock a “buy” rating in a report on Monday. Cibc Captl Mkts upgraded shares of Datadog to a “hold” rating in a report on Monday. Citigroup raised their target price on shares of Datadog from $165.00 to $170.00 and gave the stock a “buy” rating in a report on Monday, August 18th. Finally, Wells Fargo & Company initiated coverage on shares of Datadog in a research note on Tuesday, September 30th. They set an “overweight” rating and a $190.00 price target on the stock. Twenty-six analysts have rated the stock with a Buy rating, seven have issued a Hold rating and one has issued a Sell rating to the company. According to MarketBeat, Datadog has an average rating of “Moderate Buy” and a consensus target price of $168.74.

Datadog Stock Up 24.3%

DDOG traded up $37.68 on Thursday, hitting $192.66. The company had a trading volume of 15,805,848 shares, compared to its average volume of 5,503,910. The company has a debt-to-equity ratio of 0.31, a current ratio of 3.43 and a quick ratio of 3.43. Datadog has a 52-week low of $81.63 and a 52-week high of $193.00. The stock has a fifty day simple moving average of $147.78 and a 200-day simple moving average of $133.51. The firm has a market capitalization of $67.19 billion, a P/E ratio of 551.45, a P/E/G ratio of 61.63 and a beta of 1.20.

Datadog (NASDAQ:DDOG) last issued its quarterly earnings data on Thursday, November 6th. The company reported $0.55 EPS for the quarter, topping the consensus estimate of $0.45 by $0.10. Datadog had a net margin of 4.13% and a return on equity of 5.04%. The business had revenue of $885.65 million during the quarter, compared to analyst estimates of $852.77 million. During the same period last year, the business posted $0.46 earnings per share. Datadog’s quarterly revenue was up 28.4% compared to the same quarter last year. Datadog has set its FY 2025 guidance at 2.000-2.020 EPS. Q4 2025 guidance at 0.54-0.56 EPS. As a group, equities analysts expect that Datadog will post 0.34 EPS for the current fiscal year.

Insider Buying and Selling

In other news, CTO Alexis Le-Quoc sold 41,468 shares of the company’s stock in a transaction that occurred on Wednesday, October 1st. The shares were sold at an average price of $150.94, for a total value of $6,259,179.92. Following the completion of the sale, the chief technology officer owned 438,885 shares of the company’s stock, valued at approximately $66,245,301.90. This represents a 8.63% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, Director Michael James Callahan sold 8,333 shares of the company’s stock in a transaction that occurred on Tuesday, October 14th. The stock was sold at an average price of $160.55, for a total transaction of $1,337,863.15. Following the completion of the sale, the director directly owned 12,496 shares of the company’s stock, valued at $2,006,232.80. The trade was a 40.01% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 1,512,446 shares of company stock worth $207,641,627 over the last 90 days. Corporate insiders own 8.70% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently made changes to their positions in the stock. Brighton Jones LLC acquired a new stake in Datadog during the fourth quarter valued at $209,000. Bison Wealth LLC purchased a new position in Datadog during the fourth quarter valued at $228,000. OneDigital Investment Advisors LLC lifted its holdings in Datadog by 31.7% during the first quarter. OneDigital Investment Advisors LLC now owns 3,338 shares of the company’s stock valued at $331,000 after purchasing an additional 803 shares in the last quarter. Envestnet Asset Management Inc. lifted its holdings in Datadog by 24.7% during the first quarter. Envestnet Asset Management Inc. now owns 787,344 shares of the company’s stock valued at $78,112,000 after purchasing an additional 156,152 shares in the last quarter. Finally, TD Private Client Wealth LLC lifted its holdings in Datadog by 41.2% during the first quarter. TD Private Client Wealth LLC now owns 6,660 shares of the company’s stock valued at $661,000 after purchasing an additional 1,943 shares in the last quarter. Hedge funds and other institutional investors own 78.29% of the company’s stock.

About Datadog

Datadog, Inc operates an observability and security platform for cloud applications in North America and internationally. The company's products comprise infrastructure and application performance monitoring, log management, digital experience monitoring, continuous profiler, database monitoring, data streams and universal service monitoring, network monitoring, incident management, workflow automation, observability pipelines, cloud cost and cloud security management, application security management, cloud SIEM, sensitive data scanner, and CI visibility.