Wolfe Research Cuts Datadog (NASDAQ:DDOG) Price Target to $160.00

Datadog (NASDAQ:DDOG) had its target price 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.

A number of other equities research analysts have also recently commented on DDOG. Daiwa Securities Group initiated coverage on shares of Datadog in a research report on Tuesday, January 27th. They set a “buy” rating and a $190.00 target price for the company. Needham & Company LLC increased their price objective on Datadog from $175.00 to $220.00 and gave the company a “buy” rating in a report on Thursday, November 6th. Piper Sandler dropped their target price on Datadog from $225.00 to $195.00 and set an “overweight” rating on the stock in a research note on Monday, January 5th. Citigroup decreased their price target on Datadog from $200.00 to $175.00 and set a “buy” rating for the company in a research note on Friday, January 16th. Finally, KeyCorp lowered their price target on Datadog from $170.00 to $155.00 and set an “overweight” rating for the company in a report on Wednesday, February 4th. Thirty-seven analysts have rated the stock with a Buy rating, five have given a Hold rating and two have given a Sell rating to the company. Based on data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average price target of $179.50.

Datadog Trading Down 0.9%

NASDAQ DDOG opened at $126.13 on Tuesday. Datadog has a one year low of $81.63 and a one year high of $201.69. The company has a debt-to-equity ratio of 0.26, a quick ratio of 3.66 and a current ratio of 3.38. The company has a market capitalization of $44.23 billion, a price-to-earnings ratio of 406.87, a price-to-earnings-growth ratio of 22.75 and a beta of 1.27. The company’s 50-day simple moving average is $132.76 and its two-hundred day simple moving average is $143.82.

Datadog (NASDAQ:DDOG) last announced its quarterly earnings results on Tuesday, February 10th. The company reported $0.59 earnings per share for the quarter, topping the consensus estimate 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 company’s revenue was up 29.2% compared to the same quarter last year. During the same quarter in the prior year, the company earned $0.49 EPS. 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 analysts forecast that Datadog will post 0.34 EPS for the current fiscal year.

Insider Buying and Selling

In other Datadog news, CTO Alexis Le-Quoc sold 53,912 shares of Datadog stock in a transaction dated Monday, December 8th. The stock was sold at an average price of $154.05, for a total transaction of $8,305,143.60. Following the completion of the transaction, the chief technology officer owned 295,448 shares in the company, valued at approximately $45,513,764.40. This trade represents a 15.43% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through this link. Also, CEO Olivier Pomel sold 100,754 shares of the company’s stock in a transaction dated Monday, November 17th. The stock was 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. The trade was a 15.89% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 538,917 shares of company stock valued at $86,804,288 over the last three months. 8.70% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Datadog

Hedge funds have recently bought and sold shares of the business. Rothschild Investment LLC increased its stake in shares of Datadog by 126.6% during the third quarter. Rothschild Investment LLC now owns 179 shares of the company’s stock worth $25,000 after purchasing an additional 100 shares in the last quarter. Physician Wealth Advisors Inc. boosted its holdings in Datadog by 315.2% in the 3rd quarter. Physician Wealth Advisors Inc. now owns 191 shares of the company’s stock worth $27,000 after buying an additional 145 shares during the last quarter. Westside Investment Management Inc. increased its stake in Datadog by 74.3% during the 3rd quarter. Westside Investment Management Inc. now owns 176 shares of the company’s stock worth $27,000 after buying an additional 75 shares in the last quarter. JPL Wealth Management LLC acquired a new position in shares of Datadog during the third quarter valued at approximately $27,000. Finally, Tripletail Wealth Management LLC purchased a new position in shares of Datadog in the third quarter valued at approximately $28,000. Hedge funds and other 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.