Datadog (DDOG) Competitors

Datadog (NASDAQ:DDOG) and Shopify (NYSE:SHOP) are both large-cap computer and technology companies, but which is the superior investment? We will compare the two businesses based on the strength of their institutional ownership, community ranking, risk, analyst recommendations, media sentiment, dividends, profitability, valuation and earnings.

Do institutionals & insiders have more ownership in DDOG or SHOP?

78.3% of Datadog shares are owned by institutional investors. Comparatively, 69.3% of Shopify shares are owned by institutional investors. 11.8% of Datadog shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Do analysts prefer DDOG or SHOP?

Datadog presently has a consensus target price of $150.33, suggesting a potential upside of 50.64%. Shopify has a consensus target price of $118.83, suggesting a potential upside of 28.06%. Given Datadog's stronger consensus rating and higher probable upside, research analysts clearly believe Datadog is more favorable than Shopify.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Datadog	0 Sell rating(s)	7 Hold rating(s)	22 Buy rating(s)	2 Strong Buy rating(s)	2.84
Shopify	1 Sell rating(s)	14 Hold rating(s)	25 Buy rating(s)	1 Strong Buy rating(s)	2.63

Which has more risk and volatility, DDOG or SHOP?

Datadog has a beta of 1.2, suggesting that its share price is 20% more volatile than the S&P 500. Comparatively, Shopify has a beta of 2.82, suggesting that its share price is 182% more volatile than the S&P 500.

Does the media refer more to DDOG or SHOP?

In the previous week, Shopify had 13 more articles in the media than Datadog. MarketBeat recorded 44 mentions for Shopify and 31 mentions for Datadog. Datadog's average media sentiment score of 1.10 beat Shopify's score of 0.65 indicating that Datadog is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Datadog	22 Very Positive mention(s)	2 Positive mention(s)	6 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
Shopify	24 Very Positive mention(s)	3 Positive mention(s)	5 Neutral mention(s)	5 Negative mention(s)	0 Very Negative mention(s)	Positive

Which has higher earnings and valuation, DDOG or SHOP?

Shopify has higher revenue and earnings than Datadog. Shopify is trading at a lower price-to-earnings ratio than Datadog, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Datadog	$2.68B	12.74	$183.75M	$0.51	195.67
Shopify	$8.88B	13.53	$2.02B	$1.55	59.87

Is DDOG or SHOP more profitable?

Shopify has a net margin of 22.74% compared to Datadog's net margin of 6.85%. Shopify's return on equity of 12.00% beat Datadog's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Datadog	6.85%	8.28%	4.55%
Shopify	22.74%	12.00%	9.79%

Does the MarketBeat Community prefer DDOG or SHOP?

Shopify received 1106 more outperform votes than Datadog when rated by MarketBeat users. Likewise, 66.37% of users gave Shopify an outperform vote while only 66.32% of users gave Datadog an outperform vote.

Company	Underperform	Outperform
Datadog	Outperform Votes 317 66.32%	Underperform Votes 161 33.68%
Shopify	Outperform Votes 1423 66.37%	Underperform Votes 721 33.63%

Summary

Shopify beats Datadog on 12 of the 19 factors compared between the two stocks.