Datadog (NASDAQ:DDOG), the cloud monitoring platform company, is set to release its earnings data before the market opens on Thursday, May 4th, and analysts are predicting earnings of $0.23 per share for the quarter. With Q1 guidance at $0.22-0.24 EPS and FY23 guidance at $1.02-1.09 EPS, Datadog is expected to continue its growth trajectory as demand for cloud-based monitoring solutions expands.
Several equities research analysts have given Datadog a “Moderate Buy” rating and the stock currently has a consensus target price of $107.80. Recently, Mizuho decreased their price target on Datadog from $94.00 to $80.00 but reaffirmed their “buy” rating for the stock while Barclays dropped their price target on Datadog from $98.00 to $83.00 and gave it an “overweight” rating.
In insider news, Alexis Le-Quoc sold 71,364 shares of Datadog stock in two transactions totaling over $5 million in February 2022; however, those sales should not negatively impact investor sentiment because insiders only own roughly 16% of the company’s outstanding shares.
Datadog’s cloud monitoring platform has proven indispensable for companies looking to efficiently manage their IT infrastructures with end-to-end visibility across their entire application stack via one intuitive dashboard.
With increasing demand for cloud-based services, Datadog seems well-positioned to ride that wave and continue growing its user base even further in what promises to be another strong year for the tech sector as a whole.
Interested parties can participate in Datadog’s earnings conference call by following this link, which should shed more light on its future prospects after today’s announcement is made public.
In conclusion, if you’re looking for a tech company that has a reputation for delivering results and with significant room to grow, Datadog may be worth keeping an eye on.
Datadog Beats Q4 Earnings Estimates by a Penny and Continues to Surpass Expectations
Datadog Surpasses Q4 Earnings Expectations
Datadog (NASDAQ:DDOG), the cloud-based monitoring and analytics platform for developers, proved to be a profitable bet in the fourth quarter of 2020, beating earnings estimates by a penny. While analysts had predicted that the company’s earnings per share would be at ($0.09), Datadog recorded an EPS of ($0.08) that translated into a revenue of $469.40 million, trumping initial expectations of $447.02 million.
The stock opened at $69.27 on Thursday, following the disclosure of the report, and showed no signs of slowing down thereon. At its current price point and market capitalization hovering over $22 billion, Datadog is undoubtedly one of the few tech stocks that have remained bullish throughout this year.
Despite lagging margins hovering around -2.99% with returns on equity also operating inversely (-2.61%), it appears investors are focusing more on their historical market performance with impressive 52-week highs and lows ranging from $61 to $130 respectively.
Several hedge funds recently upped their stakes in DDOG with Truist Financial Corp growing its position by as much as 11.3%, purchasing an additional 1,408 shares during the final quarter last year; while Captrust Financial Advisors increased their position by 18.8%.
American Trust also acquired new shares worth approximately $208,000 during Q4, while Alliancebernstein L.P’s holdings skyrocketed tenfold from 2,000 shares back in November to well over 220k shares at present.
When considering institutional investors and hedge funds’ cumulative stake in Datadog’s stock exceeding 70%, it appears that DDOG could generate long-term gains even after delivering decent quarterly reports already this year.
However, investors must remain cautious when investing in volatile markets where maintaining long-term stability remains challenging. Despite positive performances in the past quarters, market analysts warn that stock prices’ volatility may undergo rapid changes. As such, investors must perform a comprehensive risk analysis before investing their funds in Datadog or any other financial stock.