Datadog Inc. (DDOG) Stock

Datadog Inc. trades at a P/E ratio of 275.17, which is above the market average of approximately 20. This premium valuation suggests investors expect above-average growth or the company has competitive advantages justifying the higher multiple. Looking ahead, the forward P/E of 69.93 is lower than the current P/E, indicating analysts expect earnings to grow over the next year. The PEG ratio of 2.27 indicates a premium valuation even accounting for growth.

With a beta of 1.00, Datadog Inc. is roughly as volatile as the market, moving in line with broad market trends. This moderate beta suggests the stock offers market-level returns without excessive volatility. The price-to-book ratio of 15.64 shows investors value the company above its book value, which often reflects intangible assets or growth prospects.

Datadog Inc. achieves a profit margin of 5.85%, meaning it retains $5.85 from every $100 in revenue after all expenses. This relatively low margin suggests the company operates in a competitive environment or high-cost industry where profitability is challenging. The operating margin of -1.63% reveals how efficiently the company runs its core business operations before interest and taxes. With ROE at 6.48% and ROA at 0.37%, the company achieves moderate returns on invested capital.

Datadog Inc.'s revenue grew by 24.60% year-over-year, representing robust expansion that significantly outpaces typical market growth rates. This strong top-line performance suggests the company is successfully capturing market share or benefiting from favorable industry trends. Earnings decreased by 41.70% year-over-year, reflecting the bottom-line impact of business performance. These growth metrics should be evaluated against SERVICES-PREPACKAGED SOFTWARE industry averages for proper context.

Datadog Inc. has a market capitalization of $45.61B, classifying it as a large-cap stock ($10B-$200B). Large-caps are typically industry leaders with established business models, offering a balance of stability and growth potential. They often provide dividend income and are core holdings in institutional portfolios. With 319.50M shares outstanding, the company's ownership is relatively concentrated. As a participant in the SERVICES-PREPACKAGED SOFTWARE industry, it competes with other firms in this sector.

Datadog Inc.'s book value per share is $8.46, while the current stock price is $143.39, resulting in a price-to-book (P/B) ratio of 16.95. This high P/B ratio indicates significant intangible assets, strong brand value, or high growth expectations. Technology and consumer brand companies often trade at elevated P/B ratios due to intellectual property and competitive advantages not reflected on the balance sheet. As a common stock, this represents equity ownership with voting rights.

46 analysts cover DDOG with 80% recommending buy/strong buy ratings. Analyst predictions have mixed reliability - studies show consensus rarely beats market returns consistently. The strong bullish consensus may already be priced in. The consensus target of $139.28 implies -2.9% downside, but targets are often adjusted to follow price moves rather than predict them.

Current analyst recommendations:11 Strong Buy, 26 Buy, 9 Hold, 00The bullish tilt suggests optimism about future prospects, though investors should conduct independent research.Remember that analyst opinions often lag price movements and can be influenced by investment banking relationships.

RSI data is not available for this stock.

MACD and moving average data are not available for this stock.