Patton Fund Management Inc. Lowers Stake in Datadog, Inc. $DDOG

Key Points

• Patton Fund Management cut its Datadog stake by 93.8% in Q1, selling 36,166 shares and ending with 2,384 shares valued at about $281,000.
• Datadog reported better-than-expected quarterly results, with EPS of $0.60 versus the $0.51 estimate and revenue of $1.01 billion, up 32.1% year over year.
• Despite some insider selling and one fund’s reduced position, Wall Street remains broadly bullish on DDOG, with an average “Moderate Buy” rating and a $242.09 price target.

Patton Fund Management Inc. reduced its position in Datadog, Inc. (NASDAQ:DDOG - Free Report) by 93.8% during the 1st quarter, according to its most recent filing with the SEC. The firm owned 2,384 shares of the company's stock after selling 36,166 shares during the quarter. Patton Fund Management Inc.'s holdings in Datadog were worth $281,000 as of its most recent filing with the SEC.

Other large investors have also modified their holdings of the company. State Street Corp raised its position in Datadog by 106.8% in the third quarter. State Street Corp now owns 13,732,777 shares of the company's stock worth $1,955,547,000 after acquiring an additional 7,091,075 shares in the last quarter. Norges Bank purchased a new stake in shares of Datadog during the 4th quarter worth $469,461,000. Jennison Associates LLC boosted its position in shares of Datadog by 43.7% during the 4th quarter. Jennison Associates LLC now owns 7,623,993 shares of the company's stock worth $1,036,787,000 after purchasing an additional 2,316,994 shares in the last quarter. Invesco Ltd. grew its stake in shares of Datadog by 119.2% during the 3rd quarter. Invesco Ltd. now owns 4,075,721 shares of the company's stock worth $580,383,000 after purchasing an additional 2,216,402 shares during the period. Finally, Employees Provident Fund Board purchased a new position in shares of Datadog in the 4th quarter valued at about $251,582,000. 78.29% of the stock is owned by hedge funds and other institutional investors.

Datadog Price Performance

DDOG stock opened at $248.66 on Tuesday. The stock's 50 day moving average price is $203.11 and its 200 day moving average price is $152.89. The firm has a market cap of $88.51 billion, a P/E ratio of 654.39, a PEG ratio of 24.38 and a beta of 1.56. The company has a debt-to-equity ratio of 0.25, a quick ratio of 3.40 and a current ratio of 3.40. Datadog, Inc. has a 1 year low of $98.01 and a 1 year high of $278.70.

Datadog (NASDAQ:DDOG - Get Free Report) last released its quarterly earnings results on Thursday, May 7th. The company reported $0.60 earnings per share for the quarter, topping the consensus estimate of $0.51 by $0.09. Datadog had a return on equity of 4.83% and a net margin of 3.69%.The company had revenue of $1.01 billion during the quarter, compared to the consensus estimate of $960.12 million. During the same quarter last year, the business posted $0.46 earnings per share. Datadog's revenue 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. On average, sell-side analysts expect that Datadog, Inc. will post 0.64 earnings per share for the current fiscal year.

Wall Street Analyst Weigh In

A number of analysts recently commented on DDOG shares. Citizens Jmp raised shares of Datadog from a "market perform" rating to an "outperform" rating and set a $225.00 price objective on the stock in a report on Thursday, May 7th. Rothschild & Co Redburn initiated coverage on shares of Datadog in a research report on Thursday, April 23rd. They set a "buy" rating and a $170.00 price target for the company. Capital One Financial lifted their price target on shares of Datadog from $217.00 to $268.00 and gave the company an "overweight" rating in a research report on Wednesday, June 17th. Benchmark boosted their price target on Datadog from $230.00 to $260.00 and gave the stock a "buy" rating in a research note on Thursday, June 11th. Finally, Raymond James Financial upped their price target on Datadog from $170.00 to $220.00 in a report on Thursday, May 7th. One analyst has rated the stock with a Strong Buy rating, forty-one have assigned a Buy rating, two have assigned a Hold rating and one has assigned a Sell rating to the company's stock. Based on data from MarketBeat, the company currently has an average rating of "Moderate Buy" and an average price target of $242.09.

Insider Buying and Selling at Datadog

In other Datadog news, CTO Alexis Le-Quoc sold 43,224 shares of the company's stock in a transaction dated Monday, June 22nd. The shares were sold at an average price of $220.97, for a total value of $9,551,207.28. Following the transaction, the chief technology officer directly owned 509,805 shares in the company, valued at approximately $112,651,610.85. This represents a 7.82% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, General Counsel Kerry Acocella sold 5,371 shares of the firm's stock in a transaction dated Monday, June 15th. The stock was sold at an average price of $233.91, for a total transaction of $1,256,330.61. Following the sale, the general counsel directly owned 127,866 shares in the company, valued at $29,909,136.06. This represents a 4.03% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last quarter, insiders have sold 1,475,364 shares of company stock valued at $310,744,330. 6.48% of the stock is owned by company insiders.

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.

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