Datadog (NASDAQ:DDOG) Issues Q1 2026 Earnings Guidance

Datadog (NASDAQ:DDOG) updated its first quarter 2026 earnings guidance on Tuesday. The company provided earnings per share guidance of 0.490-0.510 for the period, compared to the consensus earnings per share estimate of 0.350. The company issued revenue guidance of $951.0 million-$961.0 million, compared to the consensus revenue estimate of $932.3 million. Datadog also updated its FY 2026 guidance to 2.080-2.160 EPS.

Datadog Trading Up 2.1%

Datadog stock opened at $114.01 on Tuesday. Datadog has a 12-month low of $81.63 and a 12-month high of $201.69. The company has a debt-to-equity ratio of 0.29, a current ratio of 3.66 and a quick ratio of 3.66. The stock has a market capitalization of $39.98 billion, a PE ratio of 367.77, a price-to-earnings-growth ratio of 19.95 and a beta of 1.27. The firm has a 50 day simple moving average of $134.40 and a 200-day simple moving average of $144.20.

Datadog (NASDAQ:DDOG) last released its earnings results on Tuesday, February 10th. The company reported $0.59 earnings per share for the quarter, topping analysts’ consensus estimates of $0.55 by $0.04. The firm had revenue of $953.19 million during the quarter, compared to the consensus estimate of $916.53 million. Datadog had a return on equity of 4.14% and a net margin of 3.32%.Datadog has set its FY 2026 guidance at 2.080-2.160 EPS and its Q1 2026 guidance at 0.490-0.510 EPS. As a group, equities research analysts expect that Datadog will post 0.34 EPS for the current fiscal year.

Analysts Set New Price Targets

Several analysts recently commented on the stock. BTIG Research increased their target price on shares of Datadog from $184.00 to $221.00 and gave the company a “buy” rating in a research note on Thursday, November 6th. Wall Street Zen lowered Datadog from a “buy” rating to a “hold” rating in a research note on Saturday, January 17th. Jefferies Financial Group cut their target price on Datadog from $180.00 to $160.00 and set a “buy” rating on the stock in a research report on Friday. Bank of America increased their price target on Datadog from $180.00 to $215.00 and gave the company a “buy” rating in a research report on Friday, November 7th. Finally, Cantor Fitzgerald dropped their target price on shares of Datadog from $220.00 to $150.00 and set an “overweight” rating on the stock in a research report on Friday. Thirty-six equities research analysts have rated the stock with a Buy rating, four have assigned a Hold rating and two have assigned a Sell rating to the company’s stock. According to MarketBeat, the company has a consensus rating of “Moderate Buy” and an average target price of $185.00.

Insider Transactions at Datadog

In other news, COO Adam Blitzer sold 8,023 shares of the firm’s stock in a transaction dated Wednesday, December 3rd. The shares were sold at an average price of $154.61, for a total transaction of $1,240,436.03. Following the completion of the transaction, the chief operating officer directly owned 165,197 shares of the company’s stock, valued at approximately $25,541,108.17. This trade represents a 4.63% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CTO Alexis Le-Quoc sold 32,418 shares of the firm’s stock in a transaction dated Wednesday, January 28th. The stock was sold at an average price of $140.99, for a total transaction of $4,570,613.82. Following the transaction, the chief technology officer owned 301,458 shares of the company’s stock, valued at approximately $42,502,563.42. This represents a 9.71% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold 538,917 shares of company stock valued at $86,804,288 in the last ninety days. 8.70% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Datadog

Large investors have recently made changes to their positions in the company. State Street Corp lifted its holdings in Datadog by 106.8% during the 3rd quarter. State Street Corp now owns 13,732,777 shares of the company’s stock valued at $1,955,547,000 after purchasing an additional 7,091,075 shares during the last quarter. Invesco Ltd. increased its holdings in shares of Datadog by 119.2% during the third quarter. Invesco Ltd. now owns 4,075,721 shares of the company’s stock worth $580,383,000 after buying an additional 2,216,402 shares in the last quarter. AQR Capital Management LLC increased its holdings in shares of Datadog by 99.8% during the second quarter. AQR Capital Management LLC now owns 1,847,722 shares of the company’s stock worth $247,983,000 after buying an additional 923,038 shares in the last quarter. Northern Trust Corp raised its stake in shares of Datadog by 45.0% in the third quarter. Northern Trust Corp now owns 2,707,291 shares of the company’s stock valued at $385,518,000 after acquiring an additional 840,633 shares during the last quarter. Finally, Ameriprise Financial Inc. boosted its holdings in shares of Datadog by 57.7% in the 2nd quarter. Ameriprise Financial Inc. now owns 1,769,943 shares of the company’s stock worth $237,758,000 after acquiring an additional 647,623 shares in the last quarter. Institutional investors own 78.29% of the company’s stock.

About Datadog

Datadog (NASDAQ: DDOG) is a cloud-based monitoring and observability platform that helps organizations monitor, troubleshoot and secure their applications and infrastructure at scale. Its software-as-a-service offering collects and analyzes metrics, traces and logs from servers, containers, cloud services and applications to provide real-time visibility into system performance and health. Datadog’s platform is widely used by engineering, operations and security teams to reduce downtime, accelerate incident response and improve application reliability.

The company’s product suite includes infrastructure monitoring, application performance monitoring (APM), log management, real user monitoring (RUM), synthetic monitoring and network performance monitoring, along with security-focused products such as security monitoring and cloud SIEM.