Capital One Financial Forecasts Strong Price Appreciation for Datadog (NASDAQ:DDOG) Stock

Key Points

• Capital One Financial has raised its target price for Datadog stock from $149.00 to $179.00, indicating a potential upside of 9.87% based on the stock's previous close.
• Analysts' ratings for Datadog are largely positive, with 24 analysts rated as "Buy" and a consensus target price of $160.21.
• Datadog's recent earnings report showed a net revenue of $826.76 million for the quarter, exceeding analyst estimates and reflecting a year-over-year revenue growth of 28.1%.

Datadog (NASDAQ:DDOG - Get Free Report) had its target price upped by equities research analysts at Capital One Financial from $149.00 to $179.00 in a note issued to investors on Thursday,MarketScreener reports. Capital One Financial's target price suggests a potential upside of 9.87% from the stock's previous close.

Several other brokerages have also recently commented on DDOG. Sanford C. Bernstein boosted their price target on Datadog from $147.00 to $170.00 and gave the stock an "outperform" rating in a research report on Wednesday, October 8th. Needham & Company LLC reiterated a "buy" rating and issued a $175.00 target price on shares of Datadog in a research report on Thursday, August 14th. Guggenheim restated a "sell" rating and set a $105.00 price target on shares of Datadog in a research report on Tuesday, July 8th. Citigroup increased their price objective on shares of Datadog from $165.00 to $170.00 and gave the company a "buy" rating in a report on Monday, August 18th. Finally, Monness Crespi & Hardt upped their price target on Datadog from $160.00 to $185.00 and gave the company a "buy" rating in a research report on Thursday, August 7th. Twenty-four analysts have rated the stock with a Buy rating, four have issued a Hold rating and two have given a Sell rating to the company's stock. According to data from MarketBeat.com, the stock currently has a consensus rating of "Moderate Buy" and a consensus target price of $160.21.

Datadog Price Performance

Datadog stock opened at $162.91 on Thursday. The company has a debt-to-equity ratio of 0.31, a quick ratio of 3.43 and a current ratio of 3.43. The company's fifty day moving average price is $139.58 and its 200 day moving average price is $126.40. The stock has a market capitalization of $56.82 billion, a P/E ratio of 458.88, a P/E/G ratio of 62.94 and a beta of 1.21. Datadog has a 1 year low of $81.63 and a 1 year high of $170.08.

Datadog (NASDAQ:DDOG - Get Free Report) last announced its earnings results on Thursday, August 7th. The company reported $0.46 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.41 by $0.05. The business had revenue of $826.76 million for the quarter, compared to analyst estimates of $791.72 million. Datadog had a net margin of 4.13% and a return on equity of 5.04%. The company's revenue for the quarter was up 28.1% compared to the same quarter last year. During the same quarter last year, the business earned $0.43 earnings per share. Datadog has set its Q3 2025 guidance at 0.440-0.460 EPS. FY 2025 guidance at 1.800-1.830 EPS. As a group, equities research analysts anticipate that Datadog will post 0.34 earnings per share for the current fiscal year.

Insider Transactions at Datadog

In other Datadog news, Director Michael James Callahan sold 91,667 shares of the business's stock in a transaction on Monday, October 6th. The shares were sold at an average price of $157.60, for a total value of $14,446,719.20. Following the completion of the transaction, the director owned 12,496 shares in the company, valued at $1,969,369.60. The trade was a 88.00% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at the SEC website. Also, CEO Olivier Pomel sold 63,939 shares of the business's stock in a transaction on Thursday, October 9th. The stock was sold at an average price of $165.02, for a total value of $10,551,213.78. Following the transaction, the chief executive officer directly owned 533,358 shares of the company's stock, valued at $88,014,737.16. The trade was a 10.70% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last 90 days, insiders sold 1,482,899 shares of company stock worth $201,566,868. 8.70% of the stock is owned by company insiders.

Institutional Investors Weigh In On Datadog

Several institutional investors have recently modified their holdings of the company. Covea Finance grew its stake in shares of Datadog by 5.9% during the third quarter. Covea Finance now owns 43,000 shares of the company's stock worth $6,123,000 after purchasing an additional 2,400 shares in the last quarter. CWM LLC boosted its position in shares of Datadog by 10.6% during the 3rd quarter. CWM LLC now owns 61,577 shares of the company's stock worth $8,769,000 after acquiring an additional 5,897 shares in the last quarter. Pacer Advisors Inc. increased its holdings in shares of Datadog by 195.0% in the 3rd quarter. Pacer Advisors Inc. now owns 284,395 shares of the company's stock valued at $40,498,000 after acquiring an additional 187,998 shares during the last quarter. Founders Financial Securities LLC acquired a new stake in shares of Datadog during the 3rd quarter worth about $205,000. Finally, Optas LLC raised its position in shares of Datadog by 23.1% during the 3rd quarter. Optas LLC now owns 3,118 shares of the company's stock worth $444,000 after acquiring an additional 586 shares in the last quarter. 78.29% of the stock is owned by hedge funds and other institutional investors.

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.

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