Datadog (NASDAQ:DDOG) Releases FY 2026 Earnings Guidance

Posted by Chris Copeland on Feb 10th, 2026

Datadog (NASDAQ:DDOG – Get Free Report) updated its FY 2026 earnings guidance on Tuesday. The company provided earnings per share (EPS) guidance of 2.080-2.160 for the period, compared to the consensus estimate of 1.600. The company issued revenue guidance of $4.1 billion-$4.1 billion, compared to the consensus revenue estimate of $4.1 billion. Datadog also updated its Q1 2026 guidance to 0.490-0.510 EPS.

Wall Street Analysts Forecast Growth

A number of analysts have recently commented on DDOG shares. Daiwa Securities Group began coverage on Datadog in a research report on Tuesday, January 27th. They set a “buy” rating and a $190.00 target price on the stock. Piper Sandler dropped their price target on Datadog from $225.00 to $195.00 and set an “overweight” rating on the stock in a research report on Monday, January 5th. Needham & Company LLC increased their price objective on Datadog from $175.00 to $220.00 and gave the stock a “buy” rating in a research report on Thursday, November 6th. Guggenheim set a $105.00 target price on Datadog in a report on Thursday, November 6th. Finally, KeyCorp lowered their price objective on shares of Datadog from $170.00 to $155.00 and set an “overweight” rating on the stock in a research report on Wednesday, February 4th. Thirty-six analysts have rated the stock with a Buy rating, four have issued a Hold rating and two have given a Sell rating to the company. According to MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus price target of $184.38.

View Our Latest Analysis on DDOG

Datadog Price Performance

DDOG stock opened at $130.28 on Tuesday. Datadog has a 1 year low of $81.63 and a 1 year high of $201.69. The company has a debt-to-equity ratio of 0.29, a quick ratio of 3.66 and a current ratio of 3.66. The firm has a market cap of $45.69 billion, a P/E ratio of 419.03, a price-to-earnings-growth ratio of 19.95 and a beta of 1.27. The stock has a 50-day simple moving average of $134.40 and a 200-day simple moving average of $144.20.

Datadog (NASDAQ:DDOG – Get Free Report) last released its 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 company had revenue of $953.19 million during the quarter, compared to the consensus estimate of $916.53 million. Datadog had a net margin of 3.32% and a return on equity of 4.14%. The company’s revenue was up 29.2% on a year-over-year basis. During the same quarter in the previous year, the firm 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. On average, equities analysts predict that Datadog will post 0.34 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other Datadog news, CTO Alexis Le-Quoc sold 53,912 shares of the stock in a transaction on Monday, December 8th. The stock was sold at an average price of $154.05, for a total value of $8,305,143.60. Following the sale, the chief technology officer directly owned 295,448 shares of the company’s stock, valued at $45,513,764.40. This trade represents a 15.43% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at 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 transaction of $18,254,609.72. Following the completion of the transaction, the chief executive officer owned 533,358 shares of the company’s stock, valued at approximately $96,633,802.44. This trade represents a 15.89% decrease in their position. The SEC filing for this sale provides additional information. Over the last 90 days, insiders have sold 538,917 shares of company stock valued at $86,804,288. 8.70% of the stock is owned by company insiders.

Key Datadog News

Here are the key news stories impacting Datadog this week:

Positive Sentiment: Q4 results beat consensus — Datadog reported $0.59 EPS vs. $0.55 expected and revenue of ~$953M, above estimates, showing ~29% y/y revenue growth. Datadog (DDOG) Surpasses Q4 Earnings and Revenue Estimates
Positive Sentiment: Outlook materially raised — Datadog guided Q1 EPS to $0.490–0.510 (vs. street ~$0.35) and FY26 EPS to $2.080–2.160 (vs. consensus ~1.60), and gave revenue targets above expectations; that upside guidance is the main catalyst. Datadog Stock Surges After Earnings. Software Gets Some Rare Good News.
Positive Sentiment: Operational strength and product momentum — Datadog reported strong cash flow ($1,050M operating, $915M free cash flow FY25), growth in large customers (603 $1M+ ARR customers vs. 462 a year ago), and GA launches (Bits AI SRE Agent, Storage Management, Feature Flags, Data Observability). Datadog Announces Fourth Quarter and Fiscal Year 2025 Financial Results
Neutral Sentiment: Positive media coverage amplifies investor attention — major outlets highlighted the beat-and-raise, helping sentiment and flow into software names. Datadog Stock Surges After Earnings. Software Gets Some Rare Good News.
Neutral Sentiment: Broader market tailwinds for software stocks (improving investor sentiment/Fear & Greed index) likely amplified the move, rather than company-specific news alone. Nasdaq Jumps Over 200 Points As Software Stocks Rebound
Neutral Sentiment: Competitive/technology risks noted — analysis on AI agents suggests potential pressure on Datadog’s model over time; worth monitoring but not an immediate headwind to guidance-driven move. AI Agents Challenge Datadog’s Model While Valuation Signals Potential Upside
Negative Sentiment: Some analysts trimmed price targets ahead of earnings (RBC, Cantor Fitzgerald, Jefferies lowered targets to ~$150–160); these cuts reflect valuation concerns and temper upside at current levels. RBC cuts price target on Datadog

Institutional Inflows and Outflows

Several institutional investors have recently bought and sold shares of DDOG. Sivia Capital Partners LLC acquired a new position in Datadog in the 2nd quarter valued at approximately $509,000. Bison Wealth LLC bought a new position in shares of Datadog during the fourth quarter valued at $228,000. Brighton Jones LLC acquired a new position in Datadog in the fourth quarter valued at about $209,000. L2 Asset Management LLC acquired a new position in shares of Datadog in the 3rd quarter worth approximately $209,000. Finally, Laird Norton Wetherby Wealth Management LLC bought a new position in Datadog in the 3rd quarter valued at $241,000. Institutional investors own 78.29% of the company’s stock.

Datadog Company Profile

(Get Free Report)

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.