Zacks Research Has Bearish Forecast for Datadog Q2 Earnings

Datadog, Inc. (NASDAQ:DDOG) – Equities research analysts at Zacks Research cut their Q2 2025 EPS estimates for Datadog in a research report issued to clients and investors on Tuesday, May 27th. Zacks Research analyst R. Department now forecasts that the company will post earnings of $0.07 per share for the quarter, down from their prior estimate of $0.09. The consensus estimate for Datadog’s current full-year earnings is $0.34 per share. Zacks Research also issued estimates for Datadog’s Q3 2025 earnings at $0.07 EPS, Q4 2025 earnings at $0.08 EPS, FY2025 earnings at $0.32 EPS, Q1 2026 earnings at $0.14 EPS, Q2 2026 earnings at $0.17 EPS, Q3 2026 earnings at $0.19 EPS, Q4 2026 earnings at $0.20 EPS, FY2026 earnings at $0.69 EPS, Q1 2027 earnings at $0.25 EPS and FY2027 earnings at $1.18 EPS.

Other equities research analysts also recently issued research reports about the company. Royal Bank of Canada reissued an “outperform” rating and set a $119.00 price target on shares of Datadog in a research report on Wednesday, May 7th. Citigroup cut their target price on Datadog from $170.00 to $165.00 and set a “buy” rating for the company in a research report on Friday, February 14th. BTIG Research set a $136.00 price target on Datadog and gave the stock a “buy” rating in a research report on Tuesday, May 6th. Truist Financial dropped their price target on Datadog from $140.00 to $120.00 and set a “hold” rating for the company in a research note on Monday, March 31st. Finally, Rosenblatt Securities reduced their price objective on shares of Datadog from $160.00 to $150.00 and set a “buy” rating on the stock in a research note on Monday, May 5th. Seven investment analysts have rated the stock with a hold rating and twenty-three have given a buy rating to the company’s stock. According to MarketBeat.com, Datadog currently has an average rating of “Moderate Buy” and an average price target of $141.04.

Datadog Trading Down 0.1%

Shares of DDOG opened at $116.93 on Friday. Datadog has a 12 month low of $81.63 and a 12 month high of $170.08. The firm’s 50 day moving average is $103.42 and its 200-day moving average is $124.85. The stock has a market capitalization of $40.38 billion, a PE ratio of 229.28, a P/E/G ratio of 44.03 and a beta of 1.12.

Datadog (NASDAQ:DDOG) last issued its quarterly earnings data on Tuesday, May 6th. The company reported $0.46 earnings per share for the quarter, topping the consensus estimate of $0.42 by $0.04. The business had revenue of $761.55 million during the quarter, compared to analysts’ expectations of $741.73 million. Datadog had a net margin of 6.85% and a return on equity of 8.28%. The business’s revenue was up 24.6% on a year-over-year basis. During the same quarter in the previous year, the company earned $0.44 EPS.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently bought and sold shares of the stock. Janney Montgomery Scott LLC raised its position in shares of Datadog by 14.0% during the fourth quarter. Janney Montgomery Scott LLC now owns 6,214 shares of the company’s stock worth $888,000 after acquiring an additional 764 shares during the last quarter. Avior Wealth Management LLC increased its position in Datadog by 55.9% during the 4th quarter. Avior Wealth Management LLC now owns 226 shares of the company’s stock valued at $32,000 after purchasing an additional 81 shares during the period. Brighton Jones LLC bought a new position in Datadog during the 4th quarter worth approximately $209,000. Blue Trust Inc. raised its holdings in Datadog by 521.3% during the 4th quarter. Blue Trust Inc. now owns 3,349 shares of the company’s stock worth $479,000 after purchasing an additional 2,810 shares during the last quarter. Finally, Foundations Investment Advisors LLC lifted its position in shares of Datadog by 20.5% in the 4th quarter. Foundations Investment Advisors LLC now owns 6,518 shares of the company’s stock worth $931,000 after purchasing an additional 1,107 shares during the period. 78.29% of the stock is owned by institutional investors and hedge funds.

Insider Buying and Selling at Datadog

In other news, CEO Olivier Pomel sold 107,365 shares of Datadog stock in a transaction on Monday, April 7th. The shares were sold at an average price of $87.33, for a total transaction of $9,376,185.45. Following the transaction, the chief executive officer now owns 563,598 shares in the company, valued at approximately $49,219,013.34. The trade was a 16.00% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, Director Amit Agarwal sold 25,000 shares of the stock in a transaction on Wednesday, May 14th. The shares were sold at an average price of $118.67, for a total value of $2,966,750.00. Following the completion of the sale, the director now owns 82,324 shares of the company’s stock, valued at $9,769,389.08. The trade was a 23.29% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders sold 609,867 shares of company stock worth $63,443,152. 11.78% of the stock is currently owned by insiders.

About Datadog

Datadog, Inc operates an observability and security platform for cloud applications in North America and internationally. The company's products comprise infrastructure and application performance monitoring, log management, digital experience monitoring, continuous profiler, database monitoring, data streams and universal service monitoring, network monitoring, incident management, workflow automation, observability pipelines, cloud cost and cloud security management, application security management, cloud SIEM, sensitive data scanner, and CI visibility.