Ritholtz Wealth Management Takes Position in Datadog, Inc. $DDOG

Ritholtz Wealth Management purchased a new stake in shares of Datadog, Inc. (NASDAQ:DDOG) during the 1st quarter, according to its most recent 13F filing with the Securities & Exchange Commission. The fund purchased 3,077 shares of the company’s stock, valued at approximately $363,000.

Several other hedge funds and other institutional investors also recently added to or reduced their stakes in DDOG. Brighton Jones LLC purchased a new stake in shares of Datadog in the 4th quarter worth about $209,000. Bison Wealth LLC purchased a new position in Datadog during the 4th quarter valued at about $228,000. Empowered Funds LLC boosted its stake in Datadog by 7.0% during the first quarter. Empowered Funds LLC now owns 10,313 shares of the company’s stock worth $1,023,000 after acquiring an additional 672 shares in the last quarter. Geneos Wealth Management Inc. boosted its stake in Datadog by 17.6% during the first quarter. Geneos Wealth Management Inc. now owns 769 shares of the company’s stock worth $76,000 after acquiring an additional 115 shares in the last quarter. Finally, Sivia Capital Partners LLC purchased a new stake in Datadog in the second quarter worth about $509,000. 78.29% of the stock is owned by hedge funds and other institutional investors.

Datadog News Roundup

Here are the key news stories impacting Datadog this week:

• Positive Sentiment: Datadog announced it acquired Adaptive ML, a reinforcement-learning startup, to expand its AI research efforts and build out RLOps capabilities for enterprise AI agents and models. Datadog Acquires Adaptive ML to Accelerate Its Investment in AI Research and Development
• Positive Sentiment: Analyst coverage remains broadly constructive, with Bernstein reiterating an outperform rating and several other firms recently raising price targets, reinforcing investor confidence in Datadog’s growth outlook.
• Positive Sentiment: The stock has also benefited from broader strength in software names, with recent commentary highlighting Datadog as a possible winner as investors look past AI-disruption fears in SaaS.
• Neutral Sentiment: Recent insider sales by directors Michael James Callahan and Amit Agarwal were disclosed, but both were made under pre-arranged 10b5-1 trading plans, which makes them less likely to signal a change in fundamentals.
• Neutral Sentiment: Datadog’s latest earnings report was solid, with revenue and EPS both beating estimates and revenue growing 32.1% year over year, but this information is already well known and is not the main new catalyst today.

Analysts Set New Price Targets

A number of equities analysts have weighed in on the stock. UBS Group raised their target price on shares of Datadog from $195.00 to $220.00 and gave the company a “buy” rating in a research note on Friday, May 8th. Rothschild & Co Redburn initiated coverage on Datadog in a research note on Thursday, April 23rd. They issued a “buy” rating and a $170.00 price target on the stock. Wolfe Research reaffirmed an “outperform” rating and set a $295.00 price objective on shares of Datadog in a research report on Thursday, June 11th. Weiss Ratings lowered Datadog from a “hold (c-)” rating to a “sell (d+)” rating in a research report on Monday. Finally, Cantor Fitzgerald reiterated an “overweight” rating and set a $226.00 price objective on shares of Datadog in a research note on Thursday, June 11th. One investment analyst has rated the stock with a Strong Buy rating, forty-one have assigned a Buy rating, one has given a Hold rating and two have issued a Sell rating to the company. Based on data from MarketBeat, the company currently has an average rating of “Moderate Buy” and an average target price of $242.09.

Insider Activity

In related news, CEO Olivier Pomel sold 84,698 shares of the business’s stock in a transaction that occurred on Tuesday, June 16th. The shares were sold at an average price of $232.30, for a total transaction of $19,675,345.40. Following the completion of the sale, the chief executive officer directly owned 612,747 shares in the company, valued at approximately $142,341,128.10. The trade was a 12.14% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Michael James Callahan sold 12,500 shares of the business’s stock in a transaction that occurred on Monday, June 29th. The shares were sold at an average price of $247.47, for a total transaction of $3,093,375.00. Following the sale, the director owned 14,996 shares of the company’s stock, valued at $3,711,060.12. This trade represents a 45.46% 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 ninety days, insiders have sold 1,467,864 shares of company stock worth $311,427,105. Company insiders own 6.48% of the company’s stock.

Datadog Stock Performance

DDOG stock opened at $264.48 on Thursday. The company has a debt-to-equity ratio of 0.25, a current ratio of 3.40 and a quick ratio of 3.40. Datadog, Inc. has a 1 year low of $98.01 and a 1 year high of $278.70. The company has a market cap of $94.14 billion, a P/E ratio of 696.02, a price-to-earnings-growth ratio of 26.47 and a beta of 1.54. The stock’s fifty day moving average price is $208.48 and its 200-day moving average price is $154.46.

Datadog (NASDAQ:DDOG) last posted its quarterly earnings data on Thursday, May 7th. The company reported $0.60 EPS for the quarter, beating analysts’ consensus estimates 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 analysts’ expectations of $960.12 million. During the same quarter in the prior year, the business earned $0.46 earnings per share. Datadog’s revenue for the quarter 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, equities analysts forecast that Datadog, Inc. will post 0.64 earnings per share for the current year.

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.