Datadog (NASDAQ:DDOG) Updates FY 2025 Earnings Guidance

Datadog (NASDAQ:DDOG) issued an update on its FY 2025 earnings guidance on Tuesday morning. The company provided earnings per share guidance of 1.670-1.710 for the period, compared to the consensus earnings per share estimate of 1.710. The company issued revenue guidance of $3.2 billion-$3.2 billion, compared to the consensus revenue estimate of $3.2 billion. Datadog also updated its Q2 2025 guidance to 0.400-0.420 EPS.

Datadog Price Performance

DDOG stock traded up $1.42 during midday trading on Tuesday, reaching $107.12. 8,892,398 shares of the company were exchanged, compared to its average volume of 4,401,096. Datadog has a one year low of $81.63 and a one year high of $170.08. The firm has a market capitalization of $36.72 billion, a price-to-earnings ratio of 209.71, a price-to-earnings-growth ratio of 44.03 and a beta of 1.12. The business has a 50-day moving average price of $100.79 and a two-hundred day moving average price of $126.32.

Datadog (NASDAQ:DDOG) last released its quarterly earnings results on Tuesday, May 6th. The company reported $0.46 earnings per share for the quarter, beating the consensus estimate of $0.42 by $0.04. Datadog had a net margin of 6.85% and a return on equity of 8.28%. The firm had revenue of $761.55 million for the quarter, compared to analysts’ expectations of $741.73 million. During the same period in the prior year, the firm earned $0.44 EPS. The business’s revenue was up 24.6% on a year-over-year basis. As a group, analysts anticipate that Datadog will post 0.34 earnings per share for the current fiscal year.

Analyst Ratings Changes

DDOG has been the topic of several recent research reports. Citigroup lowered their price objective on Datadog from $170.00 to $165.00 and set a “buy” rating on the stock in a research report on Friday, February 14th. Scotiabank dropped their price objective on shares of Datadog from $155.00 to $125.00 and set a “sector outperform” rating for the company in a research note on Tuesday, April 15th. Jefferies Financial Group restated a “buy” rating and set a $135.00 target price (down previously from $150.00) on shares of Datadog in a research report on Monday, April 7th. DA Davidson lifted their price target on shares of Datadog from $115.00 to $125.00 and gave the company a “buy” rating in a research report on Monday. Finally, Morgan Stanley reduced their price target on Datadog from $143.00 to $115.00 and set an “equal weight” rating on the stock in a research report on Wednesday, April 16th. Seven analysts have rated the stock with a hold rating, twenty-two have given a buy rating and two have assigned a strong buy rating to the stock. Based on data from MarketBeat.com, the company presently has an average rating of “Moderate Buy” and an average price target of $150.33.

Insiders Place Their Bets

In related news, CRO Sean Michael Walters sold 8,454 shares of the company’s stock in a transaction that occurred on Tuesday, March 11th. The stock was sold at an average price of $102.04, for a total transaction of $862,646.16. Following the transaction, the executive now directly owns 185,871 shares of the company’s stock, valued at approximately $18,966,276.84. This represents a 4.35 % decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CEO Olivier Pomel sold 107,365 shares of Datadog stock in a transaction dated 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 of the company’s stock, valued at $49,219,013.34. This represents a 16.00 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders have sold 385,456 shares of company stock valued at $39,018,715. 11.78% of the stock is currently owned by company insiders.

Institutional Trading of Datadog

A hedge fund recently bought a new stake in Datadog stock. Brighton Jones LLC acquired a new stake in Datadog, Inc. (NASDAQ:DDOG) in the 4th quarter, according to the company in its most recent filing with the SEC. The firm acquired 1,465 shares of the company’s stock, valued at approximately $209,000. 78.29% of the stock is owned by institutional investors and hedge funds.

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.