Datadog (NASDAQ:DDOG) Stock Price Expected to Rise, Wells Fargo & Company Analyst Says

Datadog (NASDAQ:DDOG) had its price target lifted by analysts at Wells Fargo & Company from $230.00 to $295.00 in a research report issued to clients and investors on Monday,Benzinga reports. The brokerage presently has an “overweight” rating on the stock. Wells Fargo & Company‘s price objective suggests a potential upside of 15.78% from the company’s previous close.

DDOG has been the topic of a number of other reports. BMO Capital Markets reissued an “outperform” rating and issued a $260.00 price objective on shares of Datadog in a research note on Friday, June 12th. Citizens Jmp raised shares of Datadog from a “market perform” rating to an “outperform” rating and set a $225.00 price target on the stock in a report on Thursday, May 7th. Rothschild & Co Redburn began coverage on shares of Datadog in a report on Thursday, April 23rd. They issued a “buy” rating and a $170.00 price target on the stock. Craig Hallum initiated coverage on shares of Datadog in a research report on Monday, June 15th. They issued a “buy” rating on the stock. Finally, Jefferies Financial Group raised shares of Datadog from a “buy” rating to a “buy” rating in a research note on Monday, June 15th. Two investment analysts have rated the stock with a Strong Buy rating, thirty-eight have assigned a Buy rating, five have issued a Hold rating and one has given 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 target price of $259.07.

Datadog Stock Down 3.2%

DDOG opened at $254.79 on Monday. The company has a debt-to-equity ratio of 0.25, a quick ratio of 3.40 and a current ratio of 3.40. The company has a market cap of $90.70 billion, a price-to-earnings ratio of 670.52, a PEG ratio of 26.76 and a beta of 1.54. Datadog has a one year low of $98.01 and a one year high of $278.70. The business’s fifty day moving average is $238.98 and its two-hundred day moving average is $166.45.

Datadog (NASDAQ:DDOG) last announced its quarterly earnings results on Thursday, May 7th. The company reported $0.60 earnings per share for the quarter, beating analysts’ consensus estimates of $0.51 by $0.09. The business had revenue of $1.01 billion during the quarter, compared to analysts’ expectations of $960.12 million. Datadog had a return on equity of 4.83% and a net margin of 3.69%.The business’s revenue for the quarter was up 32.1% on a year-over-year basis. During the same quarter last year, the business posted $0.46 earnings per share. Datadog has set its FY 2026 guidance at 2.360-2.440 EPS and its Q2 2026 guidance at 0.570-0.590 EPS. Analysts anticipate that Datadog will post 0.64 EPS for the current fiscal year.

Insider Activity at Datadog

In other news, CTO Alexis Le-Quoc sold 53,912 shares of the company’s stock in a transaction on Monday, June 1st. The stock was sold at an average price of $271.05, for a total transaction of $14,612,847.60. Following the completion of the sale, the chief technology officer directly owned 531,311 shares in the company, valued at $144,011,846.55. This represents a 9.21% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, Director Dev Ittycheria sold 120,000 shares of the company’s stock in a transaction on Wednesday, June 3rd. The stock was sold at an average price of $248.78, for a total value of $29,853,600.00. Following the sale, the director owned 39,235 shares of the company’s stock, valued at approximately $9,760,883.30. The trade was a 75.36% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 1,396,309 shares of company stock valued at $317,712,002 over the last 90 days. 6.48% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Datadog

A number of institutional investors have recently added to or reduced their stakes in DDOG. Nomura Asset Management Co. Ltd. raised its holdings in Datadog by 8.0% in the fourth quarter. Nomura Asset Management Co. Ltd. now owns 152,674 shares of the company’s stock valued at $20,762,000 after buying an additional 11,348 shares during the period. Norges Bank purchased a new position in Datadog in the 4th quarter valued at about $469,461,000. MUFG Securities EMEA plc boosted its holdings in Datadog by 115.6% in the fourth quarter. MUFG Securities EMEA plc now owns 13,342 shares of the company’s stock valued at $1,814,000 after purchasing an additional 7,154 shares during the last quarter. BNP Paribas grew its stake in Datadog by 18.4% during the 4th quarter. BNP Paribas now owns 41,280 shares of the company’s stock valued at $5,614,000 after purchasing an additional 6,403 shares in the last quarter. Finally, Patton Fund Management Inc. grew its stake in Datadog by 1,964.8% during the 4th quarter. Patton Fund Management Inc. now owns 38,550 shares of the company’s stock valued at $5,242,000 after purchasing an additional 36,683 shares in the last quarter. Hedge funds and other institutional investors own 78.29% of the company’s stock.

Datadog News Roundup

Here are the key news stories impacting Datadog this week:

• Positive Sentiment: Multiple analysts raised their price targets on Datadog, including Citizens JMP to $311, Wells Fargo to $295, and Oppenheimer to $300, all while maintaining bullish ratings. Read More
• Positive Sentiment: JMP Securities said infrastructure software remains in a stronger position than application software and called Datadog a top performer in its coverage, reinforcing optimism around the company’s cloud monitoring business. Article Title
• Neutral Sentiment: Datadog has surged sharply year to date, which has led some analysts to say the stock may have less room to run and could be vulnerable if upcoming results disappoint. Article Title
• Neutral Sentiment: Morgan Stanley said sentiment across software stocks has become too negative, suggesting some names could rebound, but the call was broad-based rather than specific to Datadog. Article Title
• Negative Sentiment: Investors are also digesting a headline noting that DDOG stock fell in the latest session, reflecting some profit-taking after its recent rally. Article Title

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.