Datadog (NASDAQ:DDOG) Given New $260.00 Price Target at Bank of America

Key Points

• Bank of America raised Datadog’s price target from $225 to $260, implying about 15% upside from the current share price.
• Datadog’s latest earnings beat expectations, with EPS of $0.60 versus $0.51 expected and revenue of $1.01 billion topping estimates, while revenue rose 32.1% year over year.
• Analyst sentiment remains broadly positive, with a consensus rating of “Moderate Buy” and a consensus price target of $218.95, despite recent insider share sales by the CEO and a director.

Datadog (NASDAQ:DDOG - Get Free Report) had its price target hoisted by investment analysts at Bank of America from $225.00 to $260.00 in a report released on Thursday,MarketScreener reports. Bank of America's target price points to a potential upside of 15.05% from the company's current price.

Other research analysts have also recently issued research reports about the company. Benchmark reissued a "buy" rating on shares of Datadog in a research note on Thursday, May 7th. Scotiabank upped their price target on shares of Datadog from $160.00 to $225.00 and gave the stock an "outperform" rating in a report on Friday, May 8th. UBS Group increased their price target on Datadog from $195.00 to $220.00 and gave the company a "buy" rating in a research note on Friday, May 8th. The Goldman Sachs Group boosted their price objective on Datadog from $121.00 to $139.00 and gave the stock a "sell" rating in a research report on Tuesday, May 12th. Finally, Barclays upped their target price on Datadog from $148.00 to $215.00 and gave the stock an "overweight" rating in a report on Friday, May 8th. One investment analyst has rated the stock with a Strong Buy rating, forty have issued a Buy rating, one has given a Hold rating and two have given a Sell rating to the company. According to MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and a consensus price target of $218.95.

Datadog Stock Performance

NASDAQ DDOG traded up $4.17 during trading on Thursday, reaching $225.98. The company's stock had a trading volume of 1,442,358 shares, compared to its average volume of 5,796,750. The company has a current ratio of 3.40, a quick ratio of 3.40 and a debt-to-equity ratio of 0.25. Datadog has a 12 month low of $98.01 and a 12 month high of $235.00. The firm has a 50 day moving average price of $149.96 and a 200 day moving average price of $142.10. The firm has a market capitalization of $80.44 billion, a price-to-earnings ratio of 592.22, a price-to-earnings-growth ratio of 41.91 and a beta of 1.30.

Datadog (NASDAQ:DDOG - Get Free Report) last announced its quarterly earnings data on Thursday, May 7th. The company reported $0.60 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.51 by $0.09. The firm had revenue of $1.01 billion for the quarter, compared to the consensus estimate of $960.12 million. Datadog had a net margin of 3.69% and a return on equity of 4.83%. The business's revenue for the quarter was up 32.1% on a year-over-year basis. During the same period in the prior year, the company posted $0.46 earnings per share. Datadog has set its FY 2026 guidance at 2.360-2.440 EPS and its Q2 2026 guidance at 0.570-0.590 EPS. As a group, equities analysts anticipate that Datadog will post 0.61 EPS for the current fiscal year.

Insider Buying and Selling

In other news, Director Amit Agarwal sold 20,000 shares of the stock in a transaction dated Monday, May 11th. The shares were sold at an average price of $200.13, for a total transaction of $4,002,600.00. Following the transaction, the director owned 1,640 shares of the company's stock, valued at $328,213.20. This represents a 92.42% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Olivier Pomel sold 127,141 shares of the firm's stock in a transaction dated Monday, May 11th. The shares were sold at an average price of $199.84, for a total value of $25,407,857.44. Following the completion of the sale, the chief executive officer owned 835,679 shares of the company's stock, valued at approximately $167,002,091.36. This represents a 13.21% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 885,963 shares of company stock worth $130,015,444 over the last ninety days. 6.48% of the stock is owned by company insiders.

Hedge Funds Weigh In On Datadog

Large investors have recently modified their holdings of the company. Rothschild Investment LLC raised its holdings in shares of Datadog by 126.6% in the 3rd quarter. Rothschild Investment LLC now owns 179 shares of the company's stock worth $25,000 after acquiring an additional 100 shares during the last quarter. Physician Wealth Advisors Inc. boosted its stake in Datadog by 315.2% during the 3rd quarter. Physician Wealth Advisors Inc. now owns 191 shares of the company's stock valued at $27,000 after purchasing an additional 145 shares during the last quarter. Westside Investment Management Inc. increased its holdings in Datadog by 74.3% during the 3rd quarter. Westside Investment Management Inc. now owns 176 shares of the company's stock worth $27,000 after purchasing an additional 75 shares in the last quarter. JPL Wealth Management LLC bought a new stake in Datadog during the 3rd quarter worth approximately $27,000. Finally, Hazlett Burt & Watson Inc. purchased a new stake in shares of Datadog in the third quarter worth approximately $28,000. 78.29% of the stock is currently owned by institutional investors.

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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