DDOG

Company Overview — What Does Datadog, Inc. Do?

Datadog, Inc. provides monitoring and analytics platform for developers, information technology operations teams, and business users in the cloud in North America and internationally. The company's SaaS platform integrates and automates infrastructure monitoring, application performance monitoring, log management, and security monitoring to provide real-time observability of its customers technology stack. Its platform also provides user experience monitoring, network performance monitoring, cloud security, developer-focused observability, and incident management, as well as a range of shared features, such as dashboards, analytics, collaboration tools, and alerting capabilities. The company was incorporated in 2010 and is headquartered in New York, New York. Datadog, Inc. (DDOG) is classified as a large-cap stock in the Technology sector, specifically within the Computer Software industry. The company is led by CEO Olivier Pomel and employs approximately 4,800 people. With a market capitalization of $42.0B, DDOG is one of the prominent companies in the Technology sector.

Datadog, Inc. (DDOG) Stock Rating — Reduce (April 2026)

As of April 2026, Datadog, Inc. receives a Reduce rating with a composite score of 37.7/100 and 2 out of 5 stars from the Blank Capital Research quantitative model.DDOG ranks #2,989 out of 4,446 stocks in our coverage universe. Within the Technology sector, Datadog, Inc. ranks #340 of 584 stocks, placing it in the lower half of its Technology peers. The rating is generated by a multi-factor model that weighs quality (30%), momentum (25%), value (15%), investment (10%), stability (10%), and short interest (10%).

DDOG Stock Price and 52-Week Range

Datadog, Inc. (DDOG) currently trades at $105.89. The stock lost $3.09 (2.8%) in the most recent trading session. The 52-week high for DDOG is $201.69, which means the stock is currently trading -47.5% from its annual peak. The 52-week low is $81.63, putting the stock 29.7% above its annual trough. Recent trading volume was 7.7M shares, reflecting moderate market activity.

Is DDOG Overvalued or Undervalued? — Valuation Analysis

Datadog, Inc. (DDOG) carries a value factor score of 38/100 in the Blank Capital model, signaling premium valuation that prices in significant future growth. The trailing price-to-earnings ratio is 365.35x, compared to the Technology sector average of 45.27x — a premium of 707%. The price-to-book ratio stands at 11.05x, versus the sector average of 3.16x. The price-to-sales ratio is 13.03x, compared to 1.06x for the average Technology stock. On an enterprise value basis, DDOG trades at 2107.63x EV/EBITDA, versus 12.79x for the sector.

At current multiples, Datadog, Inc. trades at a premium to most Technology peers. This elevated valuation may be justified if the company can sustain above-average growth rates and profitability, but it also creates downside risk if earnings disappoint expectations.

Datadog, Inc. Profitability — ROE, Margins, and Quality Score

Datadog, Inc. (DDOG) earns a quality factor score of 43/100, signaling below-average profitability metrics relative to the broader market. The return on equity (ROE) is 3.0%, compared to the Technology sector average of -1.4%, which is below typical expectations for high-quality companies. Return on assets (ROA) comes in at 1.7% versus the sector average of -1.0%.

On a margin basis, Datadog, Inc. reports gross margins of 79.8%, compared to 50.9% for the sector. The operating margin is -0.9% (sector: -0.5%). Net profit margin stands at 3.7%, versus -1.5% for the average Technology stock. Revenue growth is running at 37.3% on a trailing basis, compared to 14.2% for the sector. Profitability is below benchmark levels, which may reflect industry headwinds, elevated reinvestment, or structural challenges.

DDOG Debt, Balance Sheet, and Financial Health

Datadog, Inc. has a debt-to-equity ratio of 78.0%, compared to the Technology sector average of 43.0%. Leverage is within a manageable range for the industry, though investors should monitor debt trends over time. The current ratio is 3.38x, indicating strong short-term liquidity. Total debt on the balance sheet is $982M. Cash and equivalents stand at $541M.

DDOG has a beta of 1.28, meaning it is more volatile than the broader market — a $10,000 investment in DDOG would be expected to move 27.6% more than the S&P 500 on any given day. The stability factor score for Datadog, Inc. is 41/100, reflecting average volatility within the normal range for its sector.

Datadog, Inc. Revenue and Earnings History — Quarterly Trend

In TTM 2026, Datadog, Inc. reported revenue of $3.16B and earnings per share (EPS) of $0.31. Net income for the quarter was $113M. Gross margin was 79.8%. Operating income came in at $-33M.

In FY 2025, Datadog, Inc. reported revenue of $3.43B and earnings per share (EPS) of $0.31. Net income for the quarter was $108M. Gross margin was 80.0%. Revenue grew 27.7% year-over-year compared to FY 2024. Operating income came in at $-44M.

In Q3 2025, Datadog, Inc. reported revenue of $886M and earnings per share (EPS) of $0.10. Net income for the quarter was $34M. Gross margin was 80.1%. Revenue grew 28.4% year-over-year compared to Q3 2024. Operating income came in at $-6M.

In Q2 2025, Datadog, Inc. reported revenue of $827M and earnings per share (EPS) of $0.01. Net income for the quarter was $3M. Gross margin was 79.9%. Revenue grew 28.1% year-over-year compared to Q2 2024. Operating income came in at $-36M.

Over the past 8 quarters, Datadog, Inc. has demonstrated a growth trajectory, with revenue expanding from $645M to $3.16B. Investors analyzing DDOG stock should weigh these quarterly trends alongside the valuation and quality metrics discussed above.

DDOG Dividend Yield and Income Analysis

Datadog, Inc. (DDOG) does not currently pay a dividend. This is common among growth-oriented companies in the Computer Software industry that prefer to reinvest cash flows into business expansion rather than returning capital to shareholders. Income-focused investors looking for Technology dividend stocks may want to explore other Technology stocks or use the stock screener to filter by dividend yield.

DDOG Momentum and Technical Analysis Profile

Datadog, Inc. (DDOG) has a momentum factor score of 38/100, signaling weak relative price performance. Stocks with low momentum scores have historically tended to continue underperforming in the near term. The investment factor score is 23/100, which measures capital allocation efficiency and asset growth patterns. The short interest score of 32/100 signals elevated short interest, which can indicate bearish sentiment among institutional investors.

DDOG vs Competitors — Technology Sector Ranking and Peer Comparison

Within the Technology sector, Datadog, Inc. (DDOG) ranks #340 out of 584 stocks based on the Blank Capital composite score. This places DDOG in the lower half of all Technology stocks in our coverage universe. Key competitors and sector peers include IHS Holding Ltd (IHS) with a score of 55.0/100, VERISIGN INC/CA (VRSN) with a score of 56.0/100, ESCO TECHNOLOGIES INC (ESE) with a score of 51.7/100, CareCloud, Inc. (CCLD) with a score of 46.9/100, and MMTec, Inc. (MTC) with a score of 47.4/100.

Comparing DDOG against the S&P 500 benchmark is also instructive for understanding relative performance. Investors can view the full DDOG vs S&P 500 (SPY) comparison to assess how Datadog, Inc. stacks up against the broader market across all factor dimensions.

DDOG Next Earnings Date

No upcoming earnings date has been announced for Datadog, Inc. (DDOG) at this time. Check the earnings calendar for the latest scheduling updates across all stocks in our coverage universe.

Should You Buy DDOG? — Investment Thesis Summary

The quantitative profile for Datadog, Inc. suggests caution. The value score of 38/100 indicates premium valuation. Momentum is weak at 38/100, a headwind for near-term performance.

In summary, Datadog, Inc. (DDOG) earns a Reduce rating with a composite score of 37.7/100 as of April 2026. The rating is derived from the Blank Capital Research methodology, which combines six factor dimensions into a single quantitative ranking. Investors should consider these quantitative signals alongside their own fundamental research, risk tolerance, and investment time horizon before making buy or sell decisions on DDOG stock.

Related Resources for DDOG Investors

Explore more research and tools: DDOG vs S&P 500 comparison, top Technology stocks, stock screener, our methodology, quality factor explained, value factor explained, momentum factor explained. Compare DDOG head-to-head with peers: DDOG vs IHS, DDOG vs VRSN, DDOG vs ESE.