Datadog, Inc. (NASDAQ:DDOG) Given Consensus Rating of "Moderate Buy" by Brokerages

Key Points

• Consensus "Moderate Buy" — 43 analysts cover Datadog: 38 buy, 3 hold, 2 sell, with an average 12‑month price target of $180.77.
• Significant insider selling — Director Amit Agarwal and CEO Olivier Pomel executed Rule 10b5‑1 sales, and insiders sold 523,833 shares (about $63.6M) over the past three months.
• Strong quarter but high valuation — Datadog beat estimates with $0.59 EPS vs $0.55 and $953.2M revenue (+29.2% YoY), gave FY26 EPS guidance of 2.08–2.16, yet trades at a P/E of ~356.6 with a market cap near $39B.

Datadog, Inc. (NASDAQ:DDOG - Get Free Report) has been given a consensus recommendation of "Moderate Buy" by the forty-three ratings firms that are presently covering the firm, Marketbeat reports. Two research analysts have rated the stock with a sell recommendation, three have given a hold recommendation and thirty-eight have issued a buy recommendation on the company. The average 12 month price target among analysts that have updated their coverage on the stock in the last year is $180.7692.

Several equities research analysts have recently commented on the company. Moffett Nathanson restated a "buy" rating on shares of Datadog in a research note on Monday, December 29th. Citizens Jmp restated a "market perform" rating on shares of Datadog in a research note on Wednesday, February 11th. Scotiabank cut their price target on Datadog from $180.00 to $160.00 and set a "sector outperform" rating for the company in a research note on Wednesday, February 11th. KeyCorp cut their price target on Datadog from $170.00 to $155.00 and set an "overweight" rating for the company in a research note on Wednesday, February 4th. Finally, Sanford C. Bernstein restated an "outperform" rating on shares of Datadog in a research note on Wednesday, January 21st.

Insider Buying and Selling

In related news, Director Amit Agarwal sold 20,000 shares of the company's stock in a transaction on Wednesday, April 8th. The stock was sold at an average price of $122.28, for a total transaction of $2,445,600.00. Following the transaction, the director owned 1,640 shares of the company's stock, valued at $200,539.20. This represents a 92.42% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Olivier Pomel sold 42,443 shares of the company's stock in a transaction on Thursday, April 9th. The stock was sold at an average price of $111.14, for a total value of $4,717,115.02. Following the transaction, the chief executive officer directly owned 835,679 shares in the company, valued at $92,877,364.06. This represents a 4.83% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 523,833 shares of company stock worth $63,581,080 over the last three months. 6.67% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently bought and sold shares of the business. Rothschild Investment LLC grew its holdings in Datadog by 126.6% during the third quarter. Rothschild Investment LLC now owns 179 shares of the company's stock worth $25,000 after acquiring an additional 100 shares during the period. Physician Wealth Advisors Inc. grew its holdings in Datadog by 315.2% during the third quarter. Physician Wealth Advisors Inc. now owns 191 shares of the company's stock worth $27,000 after acquiring an additional 145 shares during the period. Westside Investment Management Inc. grew its holdings in Datadog by 74.3% during the third quarter. Westside Investment Management Inc. now owns 176 shares of the company's stock worth $27,000 after acquiring an additional 75 shares during the period. JPL Wealth Management LLC acquired a new position in Datadog during the third quarter worth $27,000. Finally, Tripletail Wealth Management LLC acquired a new position in Datadog during the third quarter worth $28,000. Institutional investors and hedge funds own 78.29% of the company's stock.

Datadog Price Performance

Shares of NASDAQ DDOG opened at $110.55 on Wednesday. Datadog has a twelve month low of $87.69 and a twelve month high of $201.69. The company has a current ratio of 3.38, a quick ratio of 3.38 and a debt-to-equity ratio of 0.26. The stock has a 50 day moving average of $119.23 and a two-hundred day moving average of $139.12. The stock has a market cap of $38.98 billion, a P/E ratio of 356.61, a P/E/G ratio of 30.26 and a beta of 1.29.

Datadog (NASDAQ:DDOG - Get Free Report) last released its quarterly earnings results on Tuesday, February 10th. The company reported $0.59 EPS for the quarter, topping the consensus estimate of $0.55 by $0.04. Datadog had a return on equity of 4.14% and a net margin of 3.14%.The business had revenue of $953.19 million during the quarter, compared to analysts' expectations of $916.53 million. During the same quarter in the prior year, the business earned $0.49 earnings per share. The company's quarterly revenue was up 29.2% compared to the same quarter last year. Datadog has set its FY 2026 guidance at 2.080-2.160 EPS and its Q1 2026 guidance at 0.490-0.510 EPS. On average, research analysts forecast that Datadog will post 0.34 earnings per share for the current year.

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.

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