Datadog (NASDAQ:DDOG) Upgraded to Buy at Truist Financial

Key Points

• Truist Financial upgraded Datadog to “buy” from “hold” and raised its price target to $300 from $190, implying about 30% upside from the current price.
• Other analysts have also turned more positive on DDOG, with several firms lifting targets; MarketBeat says the stock now has a consensus “Moderate Buy” rating and an average target of $234.14.
• Datadog recently posted strong quarterly results, beating EPS and revenue estimates with 32.1% year-over-year revenue growth, though the article also notes significant insider selling in recent months.

Datadog (NASDAQ:DDOG - Get Free Report) was upgraded by analysts at Truist Financial from a "hold" rating to a "buy" rating in a report released on Monday, MarketBeat reports. The brokerage currently has a $300.00 price target on the stock, up from their prior price target of $190.00. Truist Financial's price target indicates a potential upside of 30.49% from the company's current price.

A number of other research firms also recently commented on DDOG. Wedbush increased their price objective on shares of Datadog from $220.00 to $260.00 and gave the company an "outperform" rating in a report on Wednesday. Jefferies Financial Group set a $210.00 price target on shares of Datadog and gave the stock a "buy" rating in a report on Thursday, May 7th. Rosenblatt Securities raised their price target on shares of Datadog from $178.00 to $220.00 and gave the stock a "buy" rating in a report on Friday, May 8th. Royal Bank Of Canada restated an "outperform" rating and set a $250.00 price target on shares of Datadog in a report on Wednesday, June 10th. Finally, Morgan Stanley raised their target price on Datadog from $180.00 to $225.00 and gave the stock an "overweight" rating in a research note on Friday, May 8th. One equities research analyst has rated the stock with a Strong Buy rating, forty-one have issued a Buy rating, one has issued a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and a consensus target price of $234.14.

Datadog Price Performance

DDOG stock opened at $229.90 on Monday. The company has a market cap of $81.84 billion, a price-to-earnings ratio of 605.02, a PEG ratio of 24.62 and a beta of 1.56. 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 $278.70. The firm has a 50-day moving average of $178.29 and a two-hundred day moving average of $147.30.

Datadog (NASDAQ:DDOG - Get Free Report) last released its quarterly earnings data on Thursday, May 7th. The company reported $0.60 EPS for the quarter, beating analysts' consensus estimates of $0.51 by $0.09. The company had revenue of $1.01 billion during 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%. Datadog's quarterly revenue was up 32.1% on a year-over-year basis. During the same quarter in the prior year, the firm earned $0.46 EPS. 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, analysts forecast that Datadog will post 0.61 earnings per share for the current fiscal year.

Insider Transactions at Datadog

In related news, Director Dev Ittycheria sold 120,000 shares of Datadog stock in a transaction that occurred on Wednesday, June 3rd. The shares were sold at an average price of $248.78, for a total value of $29,853,600.00. Following the completion of the sale, the director owned 39,235 shares in the company, valued at approximately $9,760,883.30. This trade represents a 75.36% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, CFO David M. Obstler sold 75,000 shares of Datadog stock in a transaction that occurred on Monday, June 8th. The shares were sold at an average price of $231.69, for a total transaction of $17,376,750.00. Following the completion of the sale, the chief financial officer owned 434,591 shares of the company's stock, valued at $100,690,388.79. This trade represents a 14.72% 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 1,210,113 shares of company stock worth $244,699,453 in the last three months. Company insiders own 6.48% of the company's stock.

Institutional Trading of Datadog

Several institutional investors have recently added to or reduced their stakes in the stock. Parallel Advisors LLC increased its holdings in Datadog by 12.5% in the 1st quarter. Parallel Advisors LLC now owns 9,730 shares of the company's stock valued at $1,149,000 after purchasing an additional 1,082 shares during the last quarter. Glenmede Trust Co. NA increased its holdings in Datadog by 15.6% in the 1st quarter. Glenmede Trust Co. NA now owns 8,346 shares of the company's stock valued at $985,000 after purchasing an additional 1,126 shares during the last quarter. Groupe la Francaise increased its holdings in Datadog by 20.4% in the 1st quarter. Groupe la Francaise now owns 93,982 shares of the company's stock valued at $11,063,000 after purchasing an additional 15,907 shares during the last quarter. Western Wealth Management LLC acquired a new stake in Datadog in the 1st quarter valued at approximately $65,000. Finally, Janus Henderson Group PLC increased its holdings in Datadog by 22.8% in the 1st quarter. Janus Henderson Group PLC now owns 7,749,569 shares of the company's stock valued at $905,570,000 after purchasing an additional 1,439,082 shares during the last quarter. Institutional investors and hedge funds own 78.29% of the company's stock.

About Datadog

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.