DA Davidson Reiterates “Buy” Rating for Datadog (NASDAQ:DDOG)

Datadog (NASDAQ:DDOG)‘s stock had its “buy” rating reiterated by equities research analysts at DA Davidson in a report released on Wednesday,Benzinga reports. They presently have a $225.00 target price on the stock. DA Davidson’s price objective indicates a potential upside of 78.39% from the company’s previous close.

A number of other equities analysts have also recently weighed in on DDOG. Capital One Financial lifted their price target on Datadog from $156.00 to $157.00 and gave the stock an “overweight” rating in a research note on Wednesday. Bank of America raised their target price on shares of Datadog from $180.00 to $215.00 and gave the stock a “buy” rating in a report on Friday, November 7th. UBS Group set a $195.00 target price on shares of Datadog in a research report on Monday. KeyCorp reduced their price target on shares of Datadog from $170.00 to $155.00 and set an “overweight” rating for the company in a research report on Wednesday, February 4th. Finally, Wall Street Zen lowered shares of Datadog from a “buy” rating to a “hold” rating in a research note on Saturday, January 17th. Thirty-seven analysts have rated the stock with a Buy rating, five have issued a Hold rating and two have given a Sell rating to the company. Based on data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and an average target price of $179.50.

Datadog Stock Performance

Shares of DDOG opened at $126.13 on Wednesday. The company has a debt-to-equity ratio of 0.26, a current ratio of 3.38 and a quick ratio of 3.66. The firm’s 50 day moving average is $132.76 and its 200-day moving average is $143.82. Datadog has a 12-month low of $81.63 and a 12-month high of $201.69. The stock has a market capitalization of $44.23 billion, a P/E ratio of 406.87, a P/E/G ratio of 22.75 and a beta of 1.27.

Datadog (NASDAQ:DDOG) last issued its earnings results on Tuesday, February 10th. The company reported $0.59 earnings per share for the quarter, topping analysts’ consensus estimates of $0.55 by $0.04. The firm had revenue of $953.19 million during the quarter, compared to analysts’ expectations of $916.53 million. Datadog had a net margin of 3.14% and a return on equity of 4.14%. The firm’s revenue for the quarter was up 29.2% compared to the same quarter last year. During the same period last year, the firm posted $0.49 earnings per share. Datadog has set its FY 2026 guidance at 2.080-2.160 EPS and its Q1 2026 guidance at 0.490-0.510 EPS. Equities research analysts anticipate that Datadog will post 0.34 EPS for the current fiscal year.

Insider Activity at Datadog

In other news, CEO Olivier Pomel sold 11,195 shares of the company’s stock in a transaction on Wednesday, December 17th. The shares were sold at an average price of $137.93, for a total value of $1,544,126.35. Following the transaction, the chief executive officer directly owned 518,133 shares of the company’s stock, valued at approximately $71,466,084.69. This represents a 2.11% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, CTO Alexis Le-Quoc sold 32,418 shares of Datadog stock in a transaction on Wednesday, January 28th. The shares were sold at an average price of $140.99, for a total value of $4,570,613.82. Following the sale, the chief technology officer directly owned 301,458 shares of the company’s stock, valued at approximately $42,502,563.42. The trade was a 9.71% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last 90 days, insiders sold 538,917 shares of company stock worth $86,804,288. Corporate insiders own 8.70% of the company’s stock.

Institutional Investors Weigh In On Datadog

Several large investors have recently made changes to their positions in DDOG. Westside Investment Management Inc. lifted its stake in Datadog by 74.3% in the third quarter. Westside Investment Management Inc. now owns 176 shares of the company’s stock valued at $27,000 after acquiring an additional 75 shares during the last quarter. Rothschild Investment LLC raised its holdings in shares of Datadog by 126.6% during the 3rd quarter. Rothschild Investment LLC now owns 179 shares of the company’s stock valued at $25,000 after purchasing an additional 100 shares in the last quarter. Tripletail Wealth Management LLC bought a new position in shares of Datadog during the 3rd quarter valued at $28,000. Physician Wealth Advisors Inc. lifted its stake in shares of Datadog by 315.2% in the 3rd quarter. Physician Wealth Advisors Inc. now owns 191 shares of the company’s stock valued at $27,000 after purchasing an additional 145 shares during the last quarter. Finally, JPL Wealth Management LLC bought a new stake in Datadog in the third quarter worth $27,000. Institutional investors own 78.29% of the company’s stock.

Key Headlines Impacting Datadog

Here are the key news stories impacting Datadog this week:

• Positive Sentiment: Q4 results beat consensus — revenue, EPS and ARR growth topped estimates and management highlighted AI-driven demand; the print triggered an immediate rally earlier in the week. Datadog beats quarterly estimates on AI-driven demand; shares rise
• Positive Sentiment: Multiple analysts reiterated or raised bullish ratings/targets (DA Davidson buy with $225 PT; Rosenblatt reaffirmed buy at $185; Capital One nudged its target higher to $157), supporting upside expectations. Capital One adjusts price target on Datadog to $157
• Neutral Sentiment: Short-interest data reported as a large increase appears to be a data error (0 shares / NaN); current days-to-cover is reported as ~0 — this is unreliable and likely not a true market signal. (internal data entry)
• Neutral Sentiment: Some shops issued mixed/market‑perform notes (Citizens Jmp reaffirmed market perform) — the street is divided, which can produce volatility but not a clear directional signal. Citizens Jmp market perform note
• Negative Sentiment: Analyst and media caution: several pieces warn about slowing 2026 growth, rising costs and a premium valuation despite the beat — these critiques are pressuring the multiple. 3 Reasons to Stay Away From Datadog Stock Despite Q4 Earnings Beat
• Negative Sentiment: Competitive/comparative pieces argue other cloud names (eg. MongoDB) may be better buys as AI/Atlas exposure looks stronger — increased competition and capital allocation trade-offs are a headwind narrative. MongoDB vs. Datadog: Which Cloud Software Stock is a Better Buy Now?

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.