Wall Street Zen Downgrades Datadog (NASDAQ:DDOG) to Hold

Datadog (NASDAQ:DDOG) was downgraded by stock analysts at Wall Street Zen from a “buy” rating to a “hold” rating in a research note issued to investors on Saturday.

A number of other research firms also recently weighed in on DDOG. DA Davidson raised their target price on shares of Datadog from $180.00 to $225.00 and gave the company a “buy” rating in a research report on Friday, November 7th. Piper Sandler reduced their price objective on shares of Datadog from $225.00 to $195.00 and set an “overweight” rating for the company in a research note on Monday, January 5th. Macquarie lifted their target price on Datadog from $175.00 to $220.00 and gave the company an “outperform” rating in a research report on Friday, November 7th. Mizuho set a $200.00 target price on Datadog in a report on Tuesday, December 16th. Finally, JPMorgan Chase & Co. increased their price target on Datadog from $140.00 to $200.00 and gave the company an “overweight” rating in a research report on Friday, November 7th. Thirty-four investment analysts have rated the stock with a Buy rating, five have given a Hold rating and two have assigned a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $195.84.

Datadog Stock Down 1.5%

DDOG stock opened at $119.02 on Friday. The company has a debt-to-equity ratio of 0.29, a current ratio of 3.66 and a quick ratio of 3.66. The stock has a market capitalization of $41.74 billion, a P/E ratio of 383.94, a P/E/G ratio of 21.50 and a beta of 1.26. 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 moving average of $149.83 and a 200-day moving average of $146.48.

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

Insiders Place Their Bets

In other news, Director Shardul Shah sold 7,916 shares of Datadog stock in a transaction that occurred on Tuesday, January 13th. The stock was sold at an average price of $124.89, for a total transaction of $988,629.24. Following the completion of the transaction, the director directly owned 340,701 shares in the company, valued at approximately $42,550,147.89. The trade was a 2.27% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, insider Yanbing Li sold 6,715 shares of the business’s stock in a transaction that occurred on Tuesday, December 2nd. The stock was sold at an average price of $158.60, for a total value of $1,064,999.00. Following the transaction, the insider directly owned 199,394 shares in the company, valued at $31,623,888.40. The trade was a 3.26% decrease in their ownership of the stock. 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 three months. Insiders own 8.70% of the company’s stock.

Hedge Funds Weigh In On Datadog

Several institutional investors and hedge funds have recently modified their holdings of the stock. Westside Investment Management Inc. lifted its stake in shares of 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 during the last quarter. Rothschild Investment LLC raised its holdings in Datadog by 126.6% in the 3rd quarter. Rothschild Investment LLC now owns 179 shares of the company’s stock valued at $25,000 after acquiring an additional 100 shares during the period. Tripletail Wealth Management LLC acquired a new stake in Datadog during the third quarter worth approximately $28,000. Physician Wealth Advisors Inc. lifted its position in Datadog by 315.2% during the third quarter. Physician Wealth Advisors Inc. now owns 191 shares of the company’s stock worth $27,000 after acquiring an additional 145 shares during the last quarter. Finally, JPL Wealth Management LLC bought a new stake in shares of Datadog during the third quarter worth approximately $27,000. 78.29% of the stock is currently owned by institutional investors and hedge funds.

More Datadog News

Here are the key news stories impacting Datadog this week:

• Positive Sentiment: KeyCorp reiterated an Overweight rating and a $170 price target while updating quarterly and FY estimates (expects improving EPS into FY2026). That supports the idea of continued fundamental momentum despite near‑term weakness. KeyCorp research / MarketBeat
• Neutral Sentiment: Media coverage highlights strong analyst attention and favorable placement in cloud‑monitoring roundups — useful context but not company‑specific catalysts. MSN analysts watching MSN earnings review
• Neutral Sentiment: Commentary from outlets summarizing Q4 results and analyst reaction provides background for investors but adds no new company guidance. AmericanBankingNews
• Negative Sentiment: Citigroup trimmed its price target to $175 (from $200) but kept a Buy rating — a downgrade in upside that can pressure sentiment even though the target still implies meaningful upside versus today’s level. Benzinga
• Negative Sentiment: BNP Paribas Exane cut its target to $175 from $210 (maintains Outperform) — another sizable target trim that may weigh on short‑term sentiment. MarketScreener
• Negative Sentiment: An insider (Director Shardul Shah) sold ~7,916 shares (~$989k) on Jan. 13, modestly reducing his stake; such sales can be interpreted negatively by traders even if not uncommon. InsiderTrades
• Negative Sentiment: Market commentary (Zacks) noted Datadog recently underperformed the broader market, amplifying near‑term selling pressure. Zacks

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.