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

Datadog, Inc. (NASDAQ:DDOG) has received an average rating of “Moderate Buy” from the forty-six research firms that are currently covering the company, Marketbeat.com reports. One equities research analyst has rated the stock with a sell recommendation, four have issued a hold recommendation, thirty-eight have assigned a buy recommendation and three have issued a strong buy recommendation on the company. The average twelve-month target price among brokerages that have issued ratings on the stock in the last year is $279.40.

A number of equities research analysts have recently issued reports on DDOG shares. Needham & Company LLC upped their price target on Datadog from $260.00 to $300.00 and gave the company a “buy” rating in a research report on Friday, August 7th. BTIG Research increased their price target on Datadog from $255.00 to $289.00 and gave the company a “buy” rating in a report on Tuesday, July 28th. The Goldman Sachs Group reiterated a “sell” rating and set a $158.00 price objective on shares of Datadog in a research report on Friday, August 7th. Rosenblatt Securities boosted their price objective on Datadog from $220.00 to $305.00 and gave the stock a “buy” rating in a research note on Tuesday, August 4th. Finally, FBN Securities began coverage on Datadog in a research note on Friday, October 2nd. They set an “outperform” rating and a $325.00 price objective on the stock.

Datadog Stock Performance

DDOG opened at $293.26 on Wednesday. Datadog has a twelve month low of $98.01 and a twelve month high of $294.00. The firm has a market capitalization of $105.30 billion, a PE ratio of 598.50, a PEG ratio of 28.62 and a beta of 1.51. The company has a current ratio of 3.20, a quick ratio of 3.20 and a debt-to-equity ratio of 0.23. The firm’s 50-day moving average price is $245.78 and its 200 day moving average price is $216.70.

Datadog (NASDAQ:DDOG) last released its quarterly earnings data on Thursday, August 6th. The company reported $0.65 EPS for the quarter, beating analysts’ consensus estimates of $0.58 by $0.07. Datadog had a net margin of 4.48% and a return on equity of 5.67%. The company had revenue of $1.12 billion during the quarter, compared to the consensus estimate of $1.08 billion. During the same quarter in the prior year, the firm earned $0.46 EPS. Datadog’s quarterly revenue was up 35.6% on a year-over-year basis. 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, sell-side analysts expect that Datadog will post 0.70 EPS for the current fiscal year.

Insiders Place Their Bets

In other news, insider Yanbing Li sold 12,700 shares of Datadog stock in a transaction on Friday, September 11th. The stock was sold at an average price of $221.26, for a total transaction of $2,810,002.00. Following the transaction, the insider owned 250,446 shares in the company, valued at $55,413,681.96. The trade was a 4.83% decrease in their position. The transaction was disclosed in a legal 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 business’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 ninety days, insiders sold 991,988 shares of company stock worth $241,440,796. 6.48% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Datadog

A number of institutional investors have recently bought and sold shares of the company. EMC Capital Management purchased a new position in shares of Datadog in the second quarter valued at approximately $28,000. Cornerstone Financial Management LLC grew its holdings in shares of Datadog by 54.9% in the second quarter. Cornerstone Financial Management LLC now owns 127 shares of the company’s stock valued at $33,000 after purchasing an additional 45 shares in the last quarter. Annis Gardner Whiting Capital Advisors LLC grew its holdings in shares of Datadog by 341.7% in the first quarter. Annis Gardner Whiting Capital Advisors LLC now owns 318 shares of the company’s stock valued at $38,000 after purchasing an additional 246 shares in the last quarter. Elevation Wealth Partners LLC increased its stake in Datadog by 2,700.0% during the 2nd quarter. Elevation Wealth Partners LLC now owns 168 shares of the company’s stock worth $44,000 after buying an additional 162 shares during the period. Finally, Armstrong Advisory Group Inc. purchased a new stake in Datadog during the 3rd quarter worth approximately $46,000. 78.29% of the stock is owned by hedge funds and other institutional investors.

Trending Headlines about Datadog

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.