AXQ Capital LP Makes New Investment in Datadog, Inc. $DDOG

Key Points

• AXQ Capital LP initiated a new position in Datadog during the fourth quarter, buying 4,151 shares valued at about $564,000.
• Institutional interest in Datadog remains high, with hedge funds and other investors owning 78.29% of the company; large holders such as Vanguard also increased their stakes, while Norges Bank disclosed a very large new position.
• Datadog reported strong quarterly results, with EPS of $0.60 versus the $0.51 estimate and revenue of $1.01 billion, up 32.1% year over year; analysts currently rate the stock a Moderate Buy with an average price target of $219.69.

AXQ Capital LP acquired a new stake in shares of Datadog, Inc. (NASDAQ:DDOG - Free Report) during the 4th quarter, according to its most recent disclosure with the SEC. The fund acquired 4,151 shares of the company's stock, valued at approximately $564,000.

A number of other hedge funds and other institutional investors have also recently made changes to their positions in DDOG. Hartford Investment Management Co. bought a new position in shares of Datadog during the third quarter valued at approximately $2,689,000. Norges Bank bought a new stake in shares of Datadog in the 4th quarter worth approximately $469,461,000. MUFG Securities EMEA plc boosted its position in shares of Datadog by 115.6% in the 4th quarter. MUFG Securities EMEA plc now owns 13,342 shares of the company's stock worth $1,814,000 after purchasing an additional 7,154 shares in the last quarter. IQ EQ FUND MANAGEMENT IRELAND Ltd grew its stake in shares of Datadog by 134.5% in the 3rd quarter. IQ EQ FUND MANAGEMENT IRELAND Ltd now owns 31,142 shares of the company's stock worth $4,435,000 after buying an additional 17,860 shares during the last quarter. Finally, Vanguard Group Inc. grew its stake in shares of Datadog by 30.3% in the 3rd quarter. Vanguard Group Inc. now owns 41,902,227 shares of the company's stock worth $5,966,877,000 after buying an additional 9,748,738 shares during the last quarter. Hedge funds and other institutional investors own 78.29% of the company's stock.

Insider Buying and Selling

In related news, Director Julie Richardson sold 1,930 shares of Datadog stock in a transaction on Friday, May 8th. The stock was sold at an average price of $185.82, for a total value of $358,632.60. Following the completion of the sale, the director owned 2,106 shares of the company's stock, valued at $391,336.92. The trade was a 47.82% 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 84,698 shares of the company's stock in a transaction on Tuesday, May 26th. The shares were sold at an average price of $223.58, for a total value of $18,936,778.84. Following the sale, the chief executive officer owned 750,981 shares of the company's stock, valued at approximately $167,904,331.98. This trade represents a 10.14% 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. Insiders have sold a total of 923,616 shares of company stock valued at $155,773,338 over the last ninety days. 6.48% of the stock is owned by insiders.

Datadog Stock Performance

Shares of DDOG stock opened at $250.33 on Thursday. The company has a quick ratio of 3.40, a current ratio of 3.40 and a debt-to-equity ratio of 0.25. The company has a 50 day moving average price of $162.46 and a 200-day moving average price of $144.24. Datadog, Inc. has a 52 week low of $98.01 and a 52 week high of $278.70. The firm has a market capitalization of $89.11 billion, a PE ratio of 658.78, a P/E/G ratio of 28.82 and a beta of 1.56.

Datadog (NASDAQ:DDOG - Get Free Report) last issued its quarterly earnings data on Thursday, May 7th. The company reported $0.60 earnings per share for the quarter, beating analysts' consensus estimates of $0.51 by $0.09. Datadog had a net margin of 3.69% and a return on equity of 4.83%. The company had revenue of $1.01 billion for the quarter, compared to the consensus estimate of $960.12 million. During the same quarter in the prior year, the firm earned $0.46 earnings per share. The firm's revenue for the quarter was up 32.1% compared to the same quarter last year. 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 research analysts expect that Datadog, Inc. will post 0.61 earnings per share for the current year.

Wall Street Analyst Weigh In

DDOG has been the subject of a number of recent research reports. Wedbush lifted their price objective on Datadog from $190.00 to $220.00 and gave the company an "outperform" rating in a research note on Thursday, May 7th. Capital One Financial cut their target price on Datadog from $157.00 to $135.00 and set an "overweight" rating on the stock in a research note on Thursday, April 16th. Benchmark restated a "buy" rating on shares of Datadog in a report on Thursday, May 7th. Monness Crespi & Hardt lifted their price target on Datadog from $255.00 to $270.00 in a research report on Thursday, May 7th. Finally, Mizuho upped their price target on shares of Datadog from $145.00 to $220.00 and gave the stock an "outperform" rating in a research note on Friday, May 8th. One equities research analyst has rated the stock with a Strong Buy rating, forty have given a Buy rating, one has given a Hold rating and two have issued a Sell rating to the company's stock. According to MarketBeat.com, Datadog presently has an average rating of "Moderate Buy" and an average price target of $219.69.

Datadog 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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