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Nervous markets await NvidiaThis summary was created by AI, based on 9 opinions in the last 12 months.
Datadog, Inc. (DDOG-Q) has garnered a range of perspectives from experts, reflecting both its strengths and concerns. Analysts praise its strong technology and the effective integration within the cloud landscape, particularly appreciated by hyperscalers, helping it maintain steady revenues. However, there are apprehensions about the competitive nature of the commercial software market and the company's historically high valuation, leading some to exercise caution despite the long-term potential. Notably, recent earnings surpassed estimates, hinting at a positive growth momentum. There are indications of increasing AI workloads and a growing focus on enterprise customers, which could further propel revenue growth, yet some experts recommend waiting for better entry points while acknowledging its current profitability and strategic positioning.
Traditionally, company has had very high valuation. Technology is strong, but difficult to justify investment at this time. Cloud technology not going away, and demand will continue to rise. Business model also allows for steady revenues. Good for long term investors, not good for short term investors.
EPS was 44c vs estimates of 35c; revenue of $611M beat estimates of $590.7M. Datadog's better-than-expected 1Q revenue momentum is positive, and as the company garners additional share from rivals sidetracked by M&A, prospects for upward revenue revisions can't be overlooked. The signs of improving workloads witnessed in April, a multi-product push, growing AI workloads and large-enterprise customer focus could continue to fuel Datadog's revenue growth. Rising investments into sales and marketing initiatives may provide further impetus. The re-accelerating cloud revenue growth reported by hyperscalers in the recent quarter should also be constructive for observability vendors. The stock slipped on the earnings, but it is up 49% in a year. The concern was likely more due to the president stepping down and a less-than-perfect forecast. But we would still see it as an accumulate (buy over time, but with no rush).
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DDOG is a monitoring and analytics platform used by companies to keep track of their applications and systems. It helps businesses understand how their software applications are performing in real-time. Datadog collects data from various sources like servers, databases, cloud services, and applications, then analyzes and visualizes this data to provide insights into performance, availability, and security. The software that DDOG sells can be broadly classified as 'observability software.' DDOG has significantly integrated AI into it's product offering and this alone is fuelling it's current and future growth. We think that DDOG has significant room to grow on the back of AI tailwinds and forecasts are calling for 20%+ revenue growth over the next three years.
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Datadog, Inc. is a American stock, trading under the symbol DDOG-Q on the NASDAQ (DDOG). It is usually referred to as NASDAQ:DDOG or DDOG-Q
In the last year, 8 stock analysts published opinions about DDOG-Q. 6 analysts recommended to BUY the stock. 1 analyst recommended to SELL the stock. The latest stock analyst recommendation is . Read the latest stock experts' ratings for Datadog, Inc..
Datadog, Inc. was recommended as a Top Pick by on . Read the latest stock experts ratings for Datadog, Inc..
Earnings reports or recent company news can cause the stock price to drop. Read stock experts’ recommendations for help on deciding if you should buy, sell or hold the stock.
8 stock analysts on Stockchase covered Datadog, Inc. In the last year. It is a trending stock that is worth watching.
On 2025-04-25, Datadog, Inc. (DDOG-Q) stock closed at a price of $101.52.
Trims every once in a while. 12-month price target of $148. Like the lifeguard in the cloud pool, makes sure everyone plays well together. Hyperscalers love these guys, because the hyperscalers don't have to worry about the hardware and software not being compatible. No dividend.
(Analysts’ price target is $151.43)