The stock of Datadog Inc. (NASDAQ:DDOG) decreased by -$1.43 on Tuesday to $88.35, down -1.59 percent. The last five days have seen an average of 4,609,260 shares of common stock traded. 17 times new highs were reached in the current year, with a gain of $15.03. The average number of shares traded over the last 20 days was 5,820,635, while the average volume over the last 50 days totaled 4,625,650.
DDOG stock dropped -21.65% since last month. On 08/08/23, the company’s shares reached a one-month low of $83.87. The stock touched a high of $118.02 on 07/25/23, after rallying from a low of $61.34 in 52 weeks. The price of DDOG stock has risen by 20.20% or $15.03 this year, reaching a new high 17 times. Still, the stock price is down -25.14% from the 52-week high.
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Insider Transactions
DDOG stock investors should be aware that Datadog Inc. (DDOG) stock had its last reported insider trading activity 5 days ago on Aug 10. On Aug 10, General Counsel/Corp Secy Acocella Kerry sold 2,777 shares at $89.32 each. This transaction resulted in the insider making $248,046. On Aug 09, Pomel Olivier sold 85,637 shares at a price of US$86.20. After the transaction, the insider now owns 336,486 shares. Chief Financial Officer OBSTLER DAVID M had earlier sold 10,000 shares on Jul 25 for $116.34 a share. The transaction was completed for $1,163,406.
Valuation Metrics
Beta for the stock is 1.00. There are also a few other valuation ratios worth considering, including the trailing price-to-sales (P/S) ratio of 15.20, the price-to-book (PB) ratio of 17.26, and the price-to-cash flow ratio of 68.43.
Financial Health
For the three months ended June 29, Datadog Inc.’s quick ratio was 3.40, while its current ratio was 3.40, indicating its ability to pay off its debt. The company’s long-term debt to equity ratio for the quarter ending June 29 is 0.45, and the total debt to equity ratio is 0.45. As far as profitability goes, gross margin for the trailing twelve months is 79.30% percent. Datadog Inc.’s EBITDA margin for the year ended June 29 was 1.51%, whereas its operating margin stood at -6.50% for the same period. Based on annual data, it had gross profit of $1.33 billion and revenue of $1.68 billion.
Investors will also look at the performance of the company’s management in order to determine the potential profitability of their investment. DDOG’s return on assets (ROA) during the last 12 months has been -2.70%. There was a -3.30% return on investment (ROI) in the past year. In the meantime, the return on equity (ROE) for the last 12 months was -5.70%.
Earnings Surprise
According to Datadog Inc.’s quarterly financial report for the quarter that ended June 29, it had $1.89 billion in cash and short-term investments. A higher net income was reported in the quarter under review than the previous quarter. Net income for the quarter came in at $508.61 million, while revenues rose by 20.15% to $481.71 million. It was predicted that Datadog Inc.’s quarterly earnings would be $0.36, but it ended up being $0.28, beating the consensus by 28.60%. EBITDA was -$9.36 million for the quarter. At the end of Datadog Inc.’s most recent quarter ended June 29, its liabilities totaled 1.66 billion, while its total debt was $885.08 million. Equity owned by shareholders amounts to $325.0 million.
Technical Picture
Here’s a quick look at Datadog Inc.’s (DDOG) price momentum from a technical perspective. As of 14 August, the RSI 9-day stood at 28.63%, suggesting the stock is oversold, with a 96.61% historical volatility rate.
The stochastic %K and %D were 16.14% and 16.40% respectively, while the average true range (ATR) was 5.35. Based on the 14-day stochastic reading of 14.16%, the RSI (14) reading is 34.12%. On the 9-day MACD Oscillator, the stock is at -5.66, and the 14-day reading is at -11.78.
Analyst Ratings
Datadog Inc. (NASDAQ: DDOG) was downgraded by Stifel to a a Hold rating in its latest research report. The stock was previously rated as a a Buy. Analysts have assigned Datadog Inc. (DDOG) an Overweight rating. DDOG is a stock that is recommended for selling by 0 brokerage firms, while 10 companies recommend holding. The stock is underweighted by 0 analysts. Among the analysts who rate the stock, 7 rates it overweight and 22 others recommend it as a buy.
What is DDOG’s price target for the next 12 months?
The current consensus forecast for the stock is between $70.00 and $135.00, with a median target price of $104.00. In analyzing these forecasts, the average price target given by analysts for Datadog Inc. (DDOG) is $106.13.
