Datadog Inc (DDOG) Stock: A Deeper Look at Its True Potential

Stifel has recently reduced Datadog Inc (DDOG) stock to Hold rating, as announced on January 29, 2025, according to Finviz. Earlier, on January 17, 2025, Cantor Fitzgerald had initiated the stock to Overweight, setting a price target of $180. Morgan Stanley also reduced rating with a price target of $143. Additionally, Truist reduced Hold rating on January 7, 2025, with a target price of $150. Macquarie analysts, in their report published on December 12, 2024, also initiated Outperform rating and set a price target of $200 for Datadog Inc’s stock. Analyst ratings are significant because they provide insights into stock performance expectations, influencing investor decisions and market sentiment.

Datadog Inc (DDOG) Stock Trading Recap

On Monday, Datadog Inc (DDOG) stock saw a modest uptick, ending the day at $143.15 which represents a slight increase of $0.44 or 0.31% from the prior close of $142.71. The stock opened at $140.8 and touched a low of $140.24 during the day, reaching a high of $144.41. The volume of shares traded was 5.11 million exceeding the average volume of 4.92 million.


Sponsored

DDOG Stock Performance and Moving Averages

In recent trading, Datadog Inc (DDOG) stock price has shown some volatility, fluctuating 0.70% over the last five trades and 0.19% over the past 30 trades. This represents a notable shift from earlier in the year. Over the last six months, the stock has risen by 26.57%, and it has gained 11.70% in the previous three months. Currently, DDOG is trading at 0.96%, -3.10%, and 12.87% relative to its 20-Day, 50-Day, and 200-Day Simple Moving Averages, respectively.

As of the latest trading close, DDOG, a Technology sector stock, is trading -15.83% below its 52-week high but remains 44.89% above its 52-week low. The Average True Range (ATR) (14 days) of 5.34 highlights the stock’s average volatility, providing insight into how much the price typically fluctuates. This measure is crucial for understanding potential price swings and assessing overall market risk.

Datadog Inc’s Profitability and Valuation Ratios

Datadog Inc’s profitability metrics reveal financial health. The company currently boasts an operating margin of 2.86% and a profit margin of 7.58%, with a gross margin of 26.57%. The profit margin, also known as the revenue ratio or gross profit ratio, measures how efficiently a company converts sales into net income; higher margins indicate greater profitability.

In terms of valuation, Datadog Inc’s market capitalization stands at $48.63 billion. Market cap represents the total value of all outstanding shares and is a key indicator of a company’s market value. The stock’s price-to-earnings (P/E) ratio is 265, assessing the company’s valuation relative to its earnings. The forward P/E ratio, which uses projected earnings for the next financial year, is 70.89. Additionally, the Price-to-Sales Ratio is 19.18, reflecting the market’s valuation of the company’s sales, while the Price-to-Book Ratio is 18.47, comparing the market value to the company’s book value.

Understanding Insider Trading

Investors often prefer to invest in shares held by company insiders, as management is typically more aligned with the company’s success and shareholder interests. Currently, insiders own just 11.34% of Datadog Inc (DDOG)’s shares, while financial institutions hold 77.10%.

Notable insider trades include Pomel Olivier, Chief Executive Officer at Datadog Inc (DDOG), who sold 11195 shares on Jan 27 ’25, at $139.86 each, totaling $1.57 million. On Jan 22 ’25, Agarwal Amit, Director, sold 25000 shares for $139.47 each, amounting to $3.49 million. Additionally, on Jan 15 ’25, Shah Shardul sold 7916 shares at $142.12 each, generating $1.13 million.

Related Posts

Unlock Your Investment Potential: Get Your 100% Free eBook

Best Space Stocks To Buy

A detailed analysis of Three Best Space Stocks to Buy, each selected based on Innovations, Growth Metrics & Achievements

No thanks

Best Space Stocks to Buy!

Unlock Your Investment Potential: Get Your 100% Free eBook

A Detail Analysis of Three Best Space Stocks to Buy, Eash Selected Based on Innovations, Growth Metrics & Achievements