(DDOG) Datadog - Overview
Sector: Technology | Industry: Software - Application | Exchange: NASDAQ (USA) | Market Cap: 80.176m USD | Total Return: 92.3% in 12m
Avg Turnover: 1.25B
EPS Trend: 82.5%
Qual. Beats: 9
Rev. Trend: 100.0%
Qual. Beats: 16
Warnings
P/E ratio 592.7
Tailwinds
Rs Leader, Idiosyncratic Leader, Pead, Tailwind, Confidence
Datadog, Inc. provides a comprehensive observability and security platform designed to monitor cloud-scale applications. Its product suite integrates infrastructure monitoring, application performance monitoring (APM), and log management into a unified interface to improve operational efficiency and uptime.
The company operates within the Application Software sub-industry, utilizing a Software-as-a-Service (SaaS) business model that generates recurring revenue through tiered subscription plans. As enterprises migrate to multi-cloud and hybrid environments, the demand for unified telemetry data across disparate systems has become a critical driver for the observability sector.
Recent expansions in the Datadog portfolio include specialized tools for LLM observability and cloud security, reflecting the industry-wide shift toward integrating artificial intelligence and DevSecOps workflows. For a deeper analysis of these market trends, you may want to explore the data available on ValueRay.
Headquartered in New York, Datadog serves a global client base, offering automated incident response and workflow tools that assist engineers in identifying and resolving system bottlenecks. The platforms ability to ingest and analyze massive volumes of real-time data allows organizations to maintain visibility over complex, distributed digital architectures.
- Cloud migration velocity and enterprise digital transformation drive platform consumption revenue
- Multi-product adoption and cross-selling increase net revenue retention across enterprise customers
- Expansion of AI observability and LLM monitoring tools captures emerging software demand
- High infrastructure spending sensitivity to macroeconomic conditions impacts short-term growth rates
- Competitive pricing pressure in the observability market affects long-term operating margins
| Net Income: 135.7m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.16 > 0.02 and ΔFCF/TA 0.66 > 1.0 |
| NWC/Revenue: 108.1% < 20% (prev 113.7%; Δ -5.56% < -1%) |
| CFO/TA 0.16 > 3% & CFO 1.11b > Net Income 135.7m |
| Net Debt (-3.17b) to EBITDA (228.6m): -13.88 < 3 |
| Current Ratio: 3.40 > 1.5 & < 3 |
| Outstanding Shares: last quarter (364.7m) vs 12m ago 0.46% < -2% |
| Gross Margin: 79.89% > 18% (prev 80.14%; Δ -0.25% > 0.5%) |
| Asset Turnover: 56.66% > 50% (prev 47.16%; Δ 9.50% > 0%) |
| Interest Coverage Ratio: 7.13 > 6 (EBIT TTM 166.1m / Interest Expense TTM 23.3m) |
| A: 0.57 (Total Current Assets 5.63b - Total Current Liabilities 1.66b) / Total Assets 6.95b |
| B: 0.03 (Retained Earnings 190.4m / Total Assets 6.95b) |
| C: 0.03 (EBIT TTM 166.1m / Avg Total Assets 6.48b) |
| D: 1.35 (Book Value of Equity 3.99b / Total Liabilities 2.96b) |
| Altman-Z'' = 5.42 = AAA |
| DSRI: 1.07 (Receivables 680.4m/490.2m, Revenue 3.67b/2.83b) |
| GMI: 1.00 (GM 80.14% / 79.89%) |
| AQI: 1.32 (AQ_t 0.11 / AQ_t-1 0.08) |
| SGI: 1.30 (Revenue 3.67b / 2.83b) |
| TATA: -0.14 (NI 135.7m - CFO 1.11b) / TA 6.95b) |
| Beneish M = -2.58 (Cap -4..+1) = A |
As of June 08, 2026, the stock is trading at USD 234.11 with a total of 6,734,918 shares traded.
Over the past week, the price has changed by -5.35%,
over one month by +60.65%,
over three months by +91.33% and
over the past year by +92.29%.
Datadog has received a consensus analysts rating of 4.37. Therefore, it is recommended to buy DDOG.
- StrongBuy: 26
- Buy: 11
- Hold: 9
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 224.7 | -4% |
P/E Trailing = 592.7369
P/E Forward = 93.4579
P/S = 21.8344
P/B = 20.1033
P/EG = 1.406
Revenue TTM = 3.67b USD
EBIT TTM = 166.1m USD
EBITDA TTM = 228.6m USD
Long Term Debt = 984.5m USD (from longTermDebt, last quarter)
Short Term Debt = 41.4m USD (from shortTermDebt, last quarter)
Debt = 1.59b USD (from shortLongTermDebtTotal, last quarter) + Leases 300.6m
Net Debt = -3.17b USD (calculated: Debt 1.59b - CCE 4.76b)
Enterprise Value = 77.0b USD (80.2b + Debt 1.59b - CCE 4.76b)
Interest Coverage Ratio = 7.13 (Ebit TTM 166.1m / Interest Expense TTM 23.3m)
EV/FCF = 71.34x (Enterprise Value 77.0b / FCF TTM 1.08b)
FCF Yield = 1.40% (FCF TTM 1.08b / Enterprise Value 77.0b)
FCF Margin = 29.40% (FCF TTM 1.08b / Revenue TTM 3.67b)
Net Margin = 3.69% (Net Income TTM 135.7m / Revenue TTM 3.67b)
Gross Margin = 79.89% ((Revenue TTM 3.67b - Cost of Revenue TTM 738.6m) / Revenue TTM)
Gross Margin QoQ = 79.21% (prev 80.39%)
Tobins Q-Ratio = 11.08 (Enterprise Value 77.0b / Total Assets 6.95b)
Interest Expense / Debt = 1.47% (Interest Expense 23.3m / Debt 1.59b)
Taxrate = 11.99% (18.5m / 154.2m)
NOPAT = 146.2m (EBIT 166.1m * (1 - 11.99%))
Current Ratio = 3.40 (Total Current Assets 5.63b / Total Current Liabilities 1.66b)
Debt / Equity = 0.40 (Debt 1.59b / totalStockholderEquity, last quarter 3.99b)
Debt / EBITDA = -13.88 (Net Debt -3.17b / EBITDA 228.6m)
Debt / FCF = -2.94 (Net Debt -3.17b / FCF TTM 1.08b)
Total Stockholder Equity = 3.59b (last 4 quarters mean from totalStockholderEquity)
RoA = 2.09% (Net Income 135.7m / Total Assets 6.95b)
RoE = 3.78% (Net Income TTM 135.7m / Total Stockholder Equity 3.59b)
RoCE = 3.63% (EBIT 166.1m / Capital Employed (Equity 3.59b + L.T.Debt 984.5m))
RoIC = 2.84% (NOPAT 146.2m / Invested Capital 5.15b)
WACC = 11.21% (E(80.2b)/V(81.8b) * Re(11.41%) + D(1.59b)/V(81.8b) * Rd(1.47%) * (1-Tc(0.12)))
Discount Rate = 11.41% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: 86.67 | Cagr: 1.48%
[DCF] Terminal Value 69.29% ; FCFF base≈1.01b ; Y1≈1.15b ; Y5≈1.70b
[DCF] Fair Price = 60.74 (EV 16.9b - Net Debt -3.17b = Equity 20.1b / Shares 330.8m; r=11.21% [WACC]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: 82.53 | EPS CAGR: 16.66% | SUE: 4.0 | # QB: 9
Revenue Correlation: 99.97 | Revenue CAGR: 26.78% | SUE: 4.0 | # QB: 16
EPS current Quarter (2026-06-30): EPS=0.58 | Chg30d=+16.42% | Revisions=+90% | Analysts=40
EPS next Quarter (2026-09-30): EPS=0.61 | Chg30d=+10.46% | Revisions=+90% | Analysts=38
EPS current Year (2026-12-31): EPS=2.42 | Chg30d=+11.37% | Revisions=+91% | GrowthEPS=+18.1% | GrowthRev=+26.9%
EPS next Year (2027-12-31): EPS=2.85 | Chg30d=+7.59% | Revisions=+87% | GrowthEPS=+17.6% | GrowthRev=+20.5%
[Analyst] Revisions Ratio: +91%