Datadog (NASDAQ:DDOG) Given New $160.00 Price Target at Wolfe Research

Datadog (NASDAQ:DDOG) had its price objective reduced by Wolfe Research from $185.00 to $160.00 in a research report released on Tuesday,MarketScreener reports. They currently have an outperform rating on the stock.

Several other analysts have also issued reports on DDOG. Evercore decreased their price target on shares of Datadog from $215.00 to $175.00 and set an “outperform” rating on the stock in a research report on Monday, February 2nd. Evercore ISI decreased their target price on Datadog from $215.00 to $175.00 and set an “outperform” rating on the stock in a research report on Monday, February 2nd. Bank of America upped their price target on Datadog from $180.00 to $215.00 and gave the company a “buy” rating in a report on Friday, November 7th. Robert W. Baird lifted their price objective on Datadog from $165.00 to $220.00 and gave the stock an “outperform” rating in a report on Friday, November 7th. Finally, Royal Bank Of Canada lowered their price objective on Datadog from $175.00 to $150.00 and set an “outperform” rating on the stock in a research report on Monday. Thirty-seven equities research analysts have rated the stock with a Buy rating, four have assigned a Hold rating and two have assigned a Sell rating to the company. According to data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus price target of $181.88.

Datadog Price Performance

Shares of NASDAQ:DDOG opened at $129.67 on Tuesday. The company has a market cap of $45.47 billion, a price-to-earnings ratio of 418.29, a PEG ratio of 20.37 and a beta of 1.27. The business has a 50 day moving average price of $133.87 and a 200 day moving average price of $144.06. The company has a quick ratio of 3.66, a current ratio of 3.66 and a debt-to-equity ratio of 0.29. Datadog has a twelve month low of $81.63 and a twelve month high of $201.69.

Datadog (NASDAQ:DDOG) last issued its quarterly earnings results on Tuesday, February 10th. The company reported $0.59 EPS for the quarter, topping analysts’ consensus estimates of $0.55 by $0.04. Datadog had a return on equity of 4.14% and a net margin of 3.32%.The company had revenue of $953.19 million during the quarter, compared to analyst estimates of $916.53 million. During the same period in the previous year, the company earned $0.49 earnings per share. The company’s quarterly revenue was up 29.2% compared to the same quarter last year. Datadog has set its FY 2026 guidance at 2.080-2.160 EPS and its Q1 2026 guidance at 0.490-0.510 EPS. Research analysts predict that Datadog will post 0.34 earnings per share for the current year.

Insider Activity at Datadog

In other Datadog news, CTO Alexis Le-Quoc sold 53,912 shares of the company’s stock in a transaction on Monday, December 8th. The stock was sold at an average price of $154.05, for a total value of $8,305,143.60. Following the sale, the chief technology officer directly owned 295,448 shares in the company, valued at $45,513,764.40. This represents a 15.43% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, CEO Olivier Pomel sold 100,754 shares of the company’s stock in a transaction on Monday, November 17th. The shares were sold at an average price of $181.18, for a total value of $18,254,609.72. Following the completion of the sale, the chief executive officer owned 533,358 shares in the company, valued at $96,633,802.44. This trade represents a 15.89% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 538,917 shares of company stock valued at $86,804,288 in the last 90 days. 8.70% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Datadog

A number of hedge funds have recently made changes to their positions in DDOG. Vanguard Group Inc. lifted its stake in shares of Datadog by 30.3% during the third quarter. Vanguard Group Inc. now owns 41,902,227 shares of the company’s stock valued at $5,966,877,000 after acquiring an additional 9,748,738 shares during the period. State Street Corp raised its holdings in Datadog by 106.8% during the 3rd quarter. State Street Corp now owns 13,732,777 shares of the company’s stock worth $1,955,547,000 after purchasing an additional 7,091,075 shares during the last quarter. Geode Capital Management LLC raised its holdings in Datadog by 2.2% during the 4th quarter. Geode Capital Management LLC now owns 9,056,086 shares of the company’s stock worth $1,227,184,000 after purchasing an additional 197,816 shares during the last quarter. Jennison Associates LLC lifted its position in Datadog by 43.7% during the 4th quarter. Jennison Associates LLC now owns 7,623,993 shares of the company’s stock valued at $1,036,787,000 after purchasing an additional 2,316,994 shares during the period. Finally, Brown Advisory Inc. boosted its stake in shares of Datadog by 23.3% in the 2nd quarter. Brown Advisory Inc. now owns 5,983,687 shares of the company’s stock valued at $803,793,000 after purchasing an additional 1,130,675 shares during the last quarter. Institutional investors and hedge funds own 78.29% of the company’s stock.

Datadog News Roundup

Here are the key news stories impacting Datadog this week:

• Positive Sentiment: Q4 beat and strong forward guidance — Datadog posted $953M revenue (+29% YoY) and $0.59 adjusted EPS, topping Street estimates, and raised Q1 and FY2026 guidance well above consensus (Q1 EPS guide 0.49–0.51 vs. ~0.35 estimate; FY EPS guide 2.08–2.16 vs. ~1.60). This is the primary catalyst for the rally. Read More.
• Positive Sentiment: Product and customer momentum — Datadog announced GA launches (Bits AI SRE Agent, Storage Management, Feature Flags, Data Observability) and reported 603 customers with $1M+ ARR (up from 462), supporting recurring revenue durability and AI-led upsell potential. Read More.
• Positive Sentiment: Strong cash flow metrics highlighted — management cited robust operating and free cash flow ($1,050M operating; $915M free cash flow for FY2025), which reduces execution risk and supports valuation debate. Read More.
• Neutral Sentiment: Market context: software rebound and AI narrative — strategists say recent AI-driven sell-off created buying opportunities for high-quality software names, helping DDOG’s recovery alongside broader software strength. Read More.
• Neutral Sentiment: Coverage and media commentary — multiple outlets (Barron’s, Zacks, Proactive, Seeking Alpha transcript) covered the beat and call; coverage can amplify intraday flows but is informational rather than directional. Read More.
• Neutral Sentiment: Short-interest note is not meaningful — filings show effectively zero reported short interest in the latest snapshot, so short-covering likely did not materially drive the move. (Data published 2/10)
• Negative Sentiment: Analyst price-target trims — several firms lowered targets ahead of or after earnings (Needham to $155, Wolfe to $160, RBC/Cantor/Jefferies to ~$150–160) which tempers the near-term valuation narrative despite buy/outperform ratings. Read More.

Datadog Company 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.