Datadog (NASDAQ:DDOG) Price Target Cut to $170.00 by Analysts at BTIG Research

Datadog (NASDAQ:DDOG) had its target price trimmed by BTIG Research from $221.00 to $170.00 in a research note released on Tuesday,Benzinga reports. The brokerage currently has a buy rating on the stock.

Several other analysts have also recently issued reports on the stock. Macquarie Infrastructure upped their price target on shares of Datadog from $175.00 to $220.00 and gave the company an “outperform” rating in a report on Friday, November 7th. Needham & Company LLC cut their target price on shares of Datadog from $220.00 to $155.00 and set a “buy” rating on the stock in a research note on Tuesday. Weiss Ratings reaffirmed a “sell (d+)” rating on shares of Datadog in a research report on Wednesday, January 21st. Piper Sandler lowered their price objective on Datadog from $225.00 to $195.00 and set an “overweight” rating for the company in a report on Monday, January 5th. Finally, KeyCorp cut their price objective on Datadog from $170.00 to $155.00 and set an “overweight” rating on the stock in a research note on Wednesday, February 4th. Thirty-seven equities research analysts have rated the stock with a Buy rating, five have assigned a Hold rating and two have issued a Sell rating to the company’s stock. According to MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and a consensus price target of $179.50.

Datadog Stock Down 3.5%

Shares of NASDAQ DDOG traded down $4.50 on Tuesday, hitting $125.18. The company had a trading volume of 4,436,198 shares, compared to its average volume of 6,591,801. The company has a quick ratio of 3.66, a current ratio of 3.66 and a debt-to-equity ratio of 0.29. Datadog has a 12-month low of $81.63 and a 12-month high of $201.69. The firm has a market capitalization of $43.90 billion, a P/E ratio of 403.82, a PEG ratio of 20.37 and a beta of 1.27. The business has a 50 day moving average of $133.87 and a two-hundred day moving average of $144.06.

Datadog (NASDAQ:DDOG) last released its quarterly earnings results on Tuesday, February 10th. The company reported $0.59 earnings per share for the quarter, beating analysts’ consensus estimates of $0.55 by $0.04. The business had revenue of $953.19 million during the quarter, compared to analyst estimates of $916.53 million. Datadog had a net margin of 3.32% and a return on equity of 4.14%. The business’s revenue was up 29.2% on a year-over-year basis. During the same period last year, the business earned $0.49 EPS. Datadog has set its FY 2026 guidance at 2.080-2.160 EPS and its Q1 2026 guidance at 0.490-0.510 EPS. As a group, equities research analysts forecast that Datadog will post 0.34 earnings per share for the current fiscal year.

Insiders Place Their Bets

In related news, CTO Alexis Le-Quoc sold 53,912 shares of the company’s stock in a transaction dated Monday, December 8th. The shares were sold at an average price of $154.05, for a total value of $8,305,143.60. Following the completion of the sale, the chief technology officer owned 295,448 shares of the company’s stock, valued at $45,513,764.40. This represents a 15.43% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through the SEC website. Also, CEO Olivier Pomel sold 100,754 shares of the firm’s stock in a transaction dated Monday, November 17th. The shares were sold at an average price of $181.18, for a total transaction of $18,254,609.72. Following the transaction, the chief executive officer directly owned 533,358 shares in the company, valued at approximately $96,633,802.44. The trade was a 15.89% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold a total of 538,917 shares of company stock valued at $86,804,288 in the last quarter. 8.70% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Datadog

Institutional investors and hedge funds have recently bought and sold shares of the business. Fiera Capital Corp lifted its stake in Datadog by 50.0% during the fourth quarter. Fiera Capital Corp now owns 310,883 shares of the company’s stock valued at $42,277,000 after purchasing an additional 103,682 shares during the last quarter. Syon Capital LLC lifted its position in shares of Datadog by 13.5% during the 4th quarter. Syon Capital LLC now owns 5,027 shares of the company’s stock valued at $684,000 after acquiring an additional 598 shares during the last quarter. ING Groep NV boosted its stake in shares of Datadog by 697.3% during the 4th quarter. ING Groep NV now owns 37,519 shares of the company’s stock worth $5,102,000 after acquiring an additional 32,813 shares in the last quarter. Cookson Peirce & Co. Inc. acquired a new position in shares of Datadog in the 4th quarter worth $4,523,000. Finally, Havemeyer Place LP acquired a new stake in shares of Datadog during the fourth quarter worth $1,626,000. 78.29% of the stock is owned by institutional investors and hedge funds.

Key Datadog News

Here are the key news stories impacting Datadog this week:

• Positive Sentiment: Q4 beat and upbeat guidance: Datadog reported $953M revenue and $0.59 EPS, topped estimates, and issued strong Q1 and FY‑2026 guidance (Q1 EPS 0.49–0.51; FY EPS 2.08–2.16). This is the primary fundamental reason the stock rallied after the print. Datadog beats quarterly estimates Press release
• Positive Sentiment: Post‑earnings rally: DDOG jumped ~16% after the results and new AI features/releases (Bits AI SRE Agent, Storage Management, Feature Flags, Data Observability) and strong cash flow metrics were highlighted. Shares surge after Q4 beat
• Positive Sentiment: Analyst lift: Capital One raised its target slightly to $157 and kept an overweight rating, signaling some continued analyst confidence. Capital One raises target
• Neutral Sentiment: Reaffirmations without upgrades: Some firms (e.g., Citizens JMP, Rosenblatt) reaffirmed ratings (market perform / buy) but the headlines lacked significant upgrades that would offset price‑target cuts. Analyst notes
• Negative Sentiment: Cluster of price‑target reductions: Multiple firms cut targets (Barclays 195→165, Scotiabank 180→160, Wolfe 185→160, Needham 220→155, BTIG 221→170). Those cuts, even while maintaining constructive ratings, likely pressured the stock after the initial earnings pop. Barclays/Scotiabank cuts Wolfe Research
• Negative Sentiment: High valuation and short‑term volatility: After the earnings‑driven spike, DDOG’s rich multiples and recent volatility make it vulnerable to profit‑taking and headline-driven downgrades (analysts trimming targets magnified the pullback). Barron’s on earnings surge

Datadog Company Profile

Datadog (NASDAQ: DDOG) is a cloud-based monitoring and observability platform that helps organizations monitor, troubleshoot and secure their applications and infrastructure at scale. Its software-as-a-service offering collects and analyzes metrics, traces and logs from servers, containers, cloud services and applications to provide real-time visibility into system performance and health. Datadog’s platform is widely used by engineering, operations and security teams to reduce downtime, accelerate incident response and improve application reliability.

The company’s product suite includes infrastructure monitoring, application performance monitoring (APM), log management, real user monitoring (RUM), synthetic monitoring and network performance monitoring, along with security-focused products such as security monitoring and cloud SIEM.