Datadog (NASDAQ:DDOG) Shares Gap Down Following Weak Earnings

Datadog, Inc. (NASDAQ:DDOG)’s share price gapped down prior to trading on Thursday after the company announced weaker than expected quarterly earnings. The stock had previously closed at $148.09, but opened at $136.55. Datadog shares last traded at $132.25, with a volume of 6,484,784 shares traded.

The company reported $0.13 EPS for the quarter, missing analysts’ consensus estimates of $0.44 by ($0.31). Datadog had a return on equity of 9.41% and a net margin of 7.58%.

Analyst Upgrades and Downgrades

Several equities analysts recently weighed in on the stock. Needham & Company LLC restated a “buy” rating and set a $160.00 target price on shares of Datadog in a report on Friday. Rosenblatt Securities raised their price objective on Datadog from $148.00 to $160.00 and gave the company a “buy” rating in a research report on Wednesday. Robert W. Baird upped their target price on Datadog from $140.00 to $150.00 and gave the stock an “outperform” rating in a research report on Friday, November 8th. JMP Securities reissued a “market perform” rating on shares of Datadog in a research report on Friday. Finally, Loop Capital upped their price target on Datadog from $160.00 to $200.00 and gave the stock a “buy” rating in a report on Monday, December 23rd. One analyst has rated the stock with a sell rating, six have given a hold rating, twenty-three have issued a buy rating and two have issued a strong buy rating to the company’s stock. According to MarketBeat.com, Datadog has a consensus rating of “Moderate Buy” and a consensus price target of $158.39.

Insider Buying and Selling at Datadog

In other Datadog news, CRO Sean Michael Walters sold 4,244 shares of the firm’s stock in a transaction on Wednesday, November 20th. The stock was sold at an average price of $135.00, for a total value of $572,940.00. Following the sale, the executive now directly owns 179,367 shares in the company, valued at approximately $24,214,545. This trade represents a 2.31 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through this link. Also, CEO Olivier Pomel sold 178,723 shares of the company’s stock in a transaction dated Monday, December 9th. The stock was sold at an average price of $161.28, for a total transaction of $28,824,445.44. Following the transaction, the chief executive officer now owns 379,693 shares of the company’s stock, valued at $61,236,887.04. This represents a 32.01 % decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 627,586 shares of company stock worth $92,540,479 over the last ninety days. Company insiders own 11.78% of the company’s stock.

Hedge Funds Weigh In On Datadog

Hedge funds and other institutional investors have recently made changes to their positions in the business. Retirement Wealth Solutions LLC bought a new stake in Datadog during the 4th quarter valued at $30,000. Avior Wealth Management LLC increased its holdings in shares of Datadog by 55.9% during the fourth quarter. Avior Wealth Management LLC now owns 226 shares of the company’s stock valued at $32,000 after purchasing an additional 81 shares during the period. True Wealth Design LLC raised its stake in shares of Datadog by 12,000.0% during the third quarter. True Wealth Design LLC now owns 242 shares of the company’s stock valued at $28,000 after purchasing an additional 240 shares in the last quarter. Coppell Advisory Solutions LLC lifted its holdings in Datadog by 178.8% in the fourth quarter. Coppell Advisory Solutions LLC now owns 276 shares of the company’s stock worth $40,000 after purchasing an additional 177 shares during the period. Finally, Meeder Asset Management Inc. grew its position in Datadog by 66.5% in the 3rd quarter. Meeder Asset Management Inc. now owns 288 shares of the company’s stock valued at $33,000 after buying an additional 115 shares in the last quarter. 78.29% of the stock is currently owned by institutional investors and hedge funds.

Datadog Stock Performance

The stock has a market cap of $44.51 billion, a price-to-earnings ratio of 247.19, a PEG ratio of 16.83 and a beta of 1.15. The company’s 50 day simple moving average is $145.85 and its 200 day simple moving average is $130.93.

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.