Datadog, Inc. $DDOG Stock Sold by VestGen Advisors LLC

Key Points

• VestGen Advisors cut its Datadog position by 96.8% in the third quarter, selling 51,038 shares and retaining 1,664 shares valued at approximately $456,000.
• Datadog insiders sold 892,434 shares worth about $216.7 million over the past three months, including significant sales by the CEO and CTO under pre-arranged Rule 10b5-1 plans.
• Despite insider and institutional selling, Datadog reported quarterly earnings and revenue above estimates, with revenue up 35.6% year over year. Analysts remain broadly bullish, assigning the stock a “Moderate Buy” rating and an average price target of $287.98, though its high valuation remains a key risk.

VestGen Advisors LLC reduced its position in shares of Datadog, Inc. (NASDAQ:DDOG - Free Report) by 96.8% in the third quarter, according to the company in its most recent 13F filing with the SEC. The institutional investor owned 1,664 shares of the company's stock after selling 51,038 shares during the quarter. VestGen Advisors LLC's holdings in Datadog were worth $456,000 as of its most recent SEC filing.

Other hedge funds also recently modified their holdings of the company. EMC Capital Management bought a new position in Datadog during the second quarter valued at about $28,000. Cornerstone Financial Management LLC raised its position in Datadog by 54.9% in the second quarter. Cornerstone Financial Management LLC now owns 127 shares of the company's stock worth $33,000 after acquiring an additional 45 shares in the last quarter. Annis Gardner Whiting Capital Advisors LLC raised its position in Datadog by 341.7% in the first quarter. Annis Gardner Whiting Capital Advisors LLC now owns 318 shares of the company's stock worth $38,000 after acquiring an additional 246 shares in the last quarter. Elevation Wealth Partners LLC raised its position in Datadog by 2,700.0% in the second quarter. Elevation Wealth Partners LLC now owns 168 shares of the company's stock worth $44,000 after acquiring an additional 162 shares in the last quarter. Finally, Armstrong Advisory Group Inc. acquired a new stake in Datadog in the 3rd quarter valued at about $46,000. 78.29% of the stock is currently owned by institutional investors and hedge funds.

Insiders Place Their Bets

In other Datadog news, CTO Alexis Le-Quoc sold 53,912 shares of the business's stock in a transaction dated Monday, August 10th. The stock was sold at an average price of $253.36, for a total value of $13,659,144.32. Following the completion of the sale, the chief technology officer owned 509,805 shares of the company's stock, valued at $129,164,194.80. The trade was a 9.56% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Olivier Pomel sold 127,141 shares of Datadog stock in a transaction that occurred on Wednesday, August 5th. The shares were sold at an average price of $286.71, for a total transaction of $36,452,596.11. Following the completion of the transaction, the chief executive officer directly owned 612,747 shares in the company, valued at approximately $175,680,692.37. This represents a 17.18% 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 892,434 shares of company stock valued at $216,686,144 over the last three months. 6.48% of the stock is currently owned by insiders.

Datadog Price Performance

DDOG opened at $216.10 on Tuesday. The stock has a market cap of $77.60 billion, a price-to-earnings ratio of 456.41, a PEG ratio of 27.18 and a beta of 1.51. Datadog, Inc. has a 1 year low of $98.01 and a 1 year high of $300.68. The company has a current ratio of 3.20, a quick ratio of 3.20 and a debt-to-equity ratio of 0.23. The stock has a fifty day moving average price of $250.88 and a 200 day moving average price of $198.60.

Datadog (NASDAQ:DDOG - Get Free Report) last announced its quarterly earnings results on Thursday, August 6th. The company reported $0.65 EPS for the quarter, beating the consensus estimate of $0.58 by $0.07. The business had revenue of $1.12 billion during the quarter, compared to analysts' expectations of $1.08 billion. Datadog had a return on equity of 5.67% and a net margin of 4.48%. The firm's quarterly revenue was up 35.6% compared to the same quarter last year. During the same quarter in the previous year, the business posted $0.46 EPS. Datadog has set its Q3 2026 guidance at 0.630-0.650 EPS and its FY 2026 guidance at 2.500-2.540 EPS. Analysts forecast that Datadog, Inc. will post 0.70 EPS for the current fiscal year.

Wall Street Analyst Weigh In

Several brokerages have recently issued reports on DDOG. Benchmark reaffirmed a "buy" rating on shares of Datadog in a research note on Tuesday, July 28th. BTIG Research increased their target price on shares of Datadog from $255.00 to $289.00 and gave the company a "buy" rating in a research note on Tuesday, July 28th. Evercore restated an "outperform" rating and set a $300.00 target price on shares of Datadog in a report on Monday. Jefferies Financial Group restated a "hold" rating and issued a $300.00 price target on shares of Datadog in a research report on Sunday, October 11th. Finally, Cantor Fitzgerald upped their price target on Datadog from $226.00 to $327.00 and gave the company an "overweight" rating in a report on Monday, August 3rd. Three equities research analysts have rated the stock with a Strong Buy rating, forty have issued a Buy rating, three have assigned a Hold rating and one has issued a Sell rating to the company's stock. According to data from MarketBeat, Datadog currently has an average rating of "Moderate Buy" and an average target price of $287.98.

Trending Headlines about Datadog

Here are the key news stories impacting Datadog this week:

• Positive Sentiment: Evercore ISI raised its price target to $300, signaling confidence that Datadog’s AI-related demand and platform expansion can support further upside. Datadog PT Raised to $300 at Evercore ISI
• Positive Sentiment: Wedbush expects another “beat-and-raise” quarter, which could support the stock if Datadog exceeds forecasts and increases its outlook. Analysts expect third-quarter revenue growth of approximately 28.9%, driven by AI demand and adoption of multiple products. Datadog Likely to Deliver Another Beat-and-Raise Quarter
• Neutral Sentiment: Datadog’s October decline appears to reflect a broader reset in risk appetite for cloud software and AI spending rather than a clear deterioration in its business. The stock remains strongly higher over the longer term, but investors are reassessing fair value. Datadog Fell in October, Where Does Fair Value Sit Now?
• Negative Sentiment: Valuation remains a major risk. A forward P/E near 79 times and EV-to-sales of about 15.5 times leave little room for an earnings or guidance miss, particularly as software-sector growth decelerates. A major customer’s usage reduction is another concern heading into earnings. Datadog: Good AI Story, But I Still Need Proof
• Negative Sentiment: Reports of insider selling pressured sentiment, with the shares moving below their 50-day moving average. This adds technical and confidence-related headwinds ahead of the results. Datadog Shares Down on Insider Selling

About Datadog

Datadog, Inc is a technology company that provides a cloud-based monitoring and security platform for applications, infrastructure and other technology environments. Its platform helps organizations collect, analyze and visualize data from servers, databases, containers, cloud services, applications and user interactions in a unified environment.

Datadog's products include infrastructure monitoring, application performance monitoring, log management, real user monitoring, synthetic monitoring, network performance monitoring, cloud security, software delivery tools and incident-management capabilities.

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