Citigroup Has Lowered Expectations for Datadog (NASDAQ:DDOG) Stock Price

Datadog (NASDAQ:DDOG) had its price target decreased by equities research analysts at Citigroup from $200.00 to $175.00 in a report released on Friday,Benzinga reports. The firm presently has a “buy” rating on the stock. Citigroup’s price objective would suggest a potential upside of 47.26% from the stock’s current price.

Several other equities research analysts have also issued reports on the company. JPMorgan Chase & Co. lifted their price target on Datadog from $140.00 to $200.00 and gave the company an “overweight” rating in a report on Friday, November 7th. Mizuho set a $200.00 target price on shares of Datadog in a research note on Tuesday, December 16th. Robert W. Baird boosted their target price on shares of Datadog from $165.00 to $220.00 and gave the stock an “outperform” rating in a research report on Friday, November 7th. Guggenheim set a $105.00 price objective on shares of Datadog in a research note on Thursday, November 6th. Finally, Wolfe Research lowered their target price on shares of Datadog from $240.00 to $185.00 and set an “outperform” rating on the stock in a research report on Monday, December 15th. Thirty-three research 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’s stock. According to MarketBeat, Datadog has a consensus rating of “Moderate Buy” and an average price target of $196.45.

Datadog Trading Down 1.7%

Shares of DDOG traded down $2.03 during midday trading on Friday, hitting $118.84. The stock had a trading volume of 2,992,956 shares, compared to its average volume of 4,928,944. Datadog has a fifty-two week low of $81.63 and a fifty-two week high of $201.69. The business has a 50-day simple moving average of $151.27 and a two-hundred day simple moving average of $146.41. The company has a current ratio of 3.66, a quick ratio of 3.66 and a debt-to-equity ratio of 0.29. The firm has a market cap of $41.67 billion, a P/E ratio of 382.75, a price-to-earnings-growth ratio of 22.11 and a beta of 1.26.

Datadog (NASDAQ:DDOG) last issued its quarterly earnings results on Thursday, November 6th. The company reported $0.55 earnings per share for the quarter, beating analysts’ consensus estimates of $0.45 by $0.10. The business had revenue of $885.65 million for the quarter, compared to the consensus estimate of $852.77 million. Datadog had a return on equity of 4.14% and a net margin of 3.32%.Datadog’s revenue for the quarter was up 28.4% compared to the same quarter last year. During the same quarter in the previous year, the company posted $0.46 earnings per share. Datadog has set its FY 2025 guidance at 2.000-2.020 EPS and its Q4 2025 guidance at 0.54-0.56 EPS. As a group, equities analysts forecast that Datadog will post 0.34 EPS for the current year.

Insider Activity at Datadog

In other news, CTO Alexis Le-Quoc sold 53,912 shares of the business’s stock in a transaction dated Tuesday, November 11th. The shares were sold at an average price of $197.99, for a total transaction of $10,674,036.88. Following the transaction, the chief technology officer owned 395,661 shares in the company, valued at approximately $78,336,921.39. The trade was a 11.99% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, Director Matthew Jacobson sold 404,306 shares of the company’s stock in a transaction dated Monday, November 10th. The shares were sold at an average price of $199.60, for a total transaction of $80,699,477.60. Following the transaction, the director directly owned 12,859 shares of the company’s stock, valued at $2,566,656.40. This represents a 96.92% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 1,082,904 shares of company stock worth $194,318,545 in the last ninety days. 8.70% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Datadog

Several large investors have recently added to or reduced their stakes in DDOG. Callan Family Office LLC raised its stake in shares of Datadog by 145.6% in the 2nd quarter. Callan Family Office LLC now owns 22,680 shares of the company’s stock valued at $3,047,000 after purchasing an additional 13,445 shares in the last quarter. PKO Investment Management Joint Stock Co bought a new position in Datadog during the third quarter valued at approximately $1,709,000. Munro Partners bought a new position in shares of Datadog in the third quarter worth about $7,120,000. Vanguard Personalized Indexing Management LLC increased its stake in shares of Datadog by 30.4% in the second quarter. Vanguard Personalized Indexing Management LLC now owns 24,062 shares of the company’s stock valued at $3,232,000 after buying an additional 5,609 shares in the last quarter. Finally, Yousif Capital Management LLC lifted its position in Datadog by 869.3% in the 3rd quarter. Yousif Capital Management LLC now owns 36,777 shares of the company’s stock valued at $5,237,000 after acquiring an additional 32,983 shares in the last quarter. Institutional investors and hedge funds own 78.29% of the company’s stock.

Datadog News Summary

Here are the key news stories impacting Datadog this week:

• Positive Sentiment: KeyCorp reiterated an Overweight rating and refreshed quarterly and FY estimates (raising FY2025/FY2026 EPS outlook), which supports upside versus current levels. KeyCorp Comments
• Neutral Sentiment: Media/analyst roundups note continued attention on Datadog’s strong positioning in cloud monitoring and its favorable product mix — useful context but not new company guidance. MSN analysts watching MSN earnings review
• Negative Sentiment: BNP Paribas Exane cut its price target from $210 to $175 (keeps Outperform) — a sizable reduction that can pressure sentiment even though the rating remains positive. MarketScreener
• Negative Sentiment: A Datadog director (Shardul Shah) sold ~7,916 shares (~$988k) on Jan 13; while not large vs. his remaining stake, insider selling can contribute to short‑term weakness. SEC Form 4
• Negative Sentiment: Commentary from Zacks flagged that Datadog recently underperformed the broader market, amplifying selling pressure amid profit‑taking after a prior run higher. Zacks

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.