WallStSmart

Datadog Inc (DDOG) Stock Analysis — PE Ratio, PS Ratio, Intrinsic Value & 2030 Price Target

Datadog Inc stock (DDOG) is currently trading at $123.29. Datadog Inc PE ratio is 395.39. Datadog Inc PS ratio (Price-to-Sales) is 12.66. Analyst consensus price target for DDOG is $182.43. WallStSmart rates DDOG as Sell.

Datadog Inc (DDOG) stock price prediction for 2030: Base case $33.20. Bull case $41.50. Bear case $24.90. See full DDOG 2030 price forecast and methodology on WallStSmart.

  • DDOG PE ratio analysis and historical PE chart
  • DDOG PS ratio (Price-to-Sales) history and trend
  • DDOG intrinsic value — DCF, Graham Number, EPV models
  • DDOG stock price prediction 2025 2026 2027 2028 2029 2030
  • DDOG fair value vs current price
  • DDOG insider transactions and insider buying
  • Is DDOG undervalued or overvalued?
  • Datadog Inc financial analysis — revenue, earnings, cash flow
  • DDOG Piotroski F-Score and Altman Z-Score
  • DDOG analyst price target and Smart Rating
DDOG

Datadog Inc

NASDAQTECHNOLOGY
$123.29
$0.72 (0.59%)
52W$81.63
$201.69
Target$182.43+48.0%

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IV

DDOG Intrinsic Value Analysis for Value Investors

Benjamin Graham Formula · Datadog Inc (DDOG)

Margin of Safety
-5934.6%
Significantly Overvalued
DDOG Fair Value
$2.11
Graham Formula
Current Price
$123.29
$121.18 above fair value
Undervalued
Fair: $2.11
Overvalued
Price $123.29
Graham IV $2.11
Analyst $182.43

DDOG trades 5935% above its Graham fair value of $2.11, indicating the stock may be overvalued at current levels.

Based on Benjamin Graham Formula. Growth rate capped at 25%. For informational purposes only. Not financial advice.

WallStSmart

Smart Analysis

Datadog Inc (DDOG) · 10 metrics scored

Smart Score

41
out of 100
Grade: D
Hold
Investment Rating

Category Performance

WallStSmart pulls financial metrics like revenue growth, profit margins, and valuation ratios and scores each one from 0 to 10 based on how strong or weak it is. Those 10 scores are grouped into 4 categories: Growth, Profitability, Valuation, and Quality — which form the 4 axes of the spider chart you see. The categories are then combined into a final score out of 100, but not equally. Growth and Profitability together count for 60% of the total, because a fast-growing profitable business matters more than just a cheap one. That final number maps to a rating (Strong Buy, Buy, Hold, Avoid) and a letter grade, giving you one clear Stock Rating.

Investment Thesis

Strong fundamentals in market cap, peg ratio, revenue growth. Concerns around return on equity and operating margin. Mixed signals suggest waiting for clearer direction before acting.

Datadog Inc (DDOG) Key Strengths (4)

Avg Score: 9.3/10
PEG RatioValuation
0.9410/10

Growing significantly faster than its price suggests

Institutional Own.Quality
91.07%10/10

91.07% of shares held by major funds and institutions

Market CapQuality
$43.37B9/10

Large-cap company with substantial market presence

Revenue GrowthGrowth
29.20%8/10

Strong revenue growth at 29.20% annually

Supporting Valuation Data

DDOG Target Price
$182.43
49% Upside

Datadog Inc (DDOG) Areas to Watch (6)

Avg Score: 1.3/10
EPS GrowthGrowth
-3.30%0/10

Earnings declining -3.30%, profits shrinking

Return on EquityProfitability
3.34%1/10

Very low returns on shareholder equity

Operating MarginProfitability
1.00%1/10

Near-zero operating margins, business under pressure

Price/SalesValuation
12.662/10

Very expensive at 12.7x annual revenue

Price/BookValuation
11.862/10

Very expensive at 11.9x book value

Profit MarginProfitability
3.14%2/10

Very thin margins, barely profitable

Supporting Valuation Data

P/E Ratio
395.39
Overvalued
Forward P/E
58.48
Expensive
Trailing P/E
395.39
Overvalued
Price/Sales (TTM)
12.66
Premium
EV/Revenue
11.98
Premium

Datadog Inc (DDOG) Detailed Analysis Report

Overall Assessment

This company scores 41/100 in our Smart Analysis, earning a D grade. Out of 10 metrics analyzed, 4 register as strengths (avg 9.3/10) while 6 fall into concern territory (avg 1.3/10). The category breakdown reveals uneven performance, with some areas requiring attention.

The Bull Case

The strongest argument centers on PEG Ratio, Institutional Own., Market Cap. Valuation metrics including PEG Ratio (0.94) suggest the stock is attractively priced. Growth metrics are encouraging with Revenue Growth at 29.20%.

The Bear Case

The primary concerns are EPS Growth, Return on Equity, Operating Margin. Some valuation metrics including Price/Sales (12.66), Price/Book (11.86) suggest expensive pricing. Growth concerns include EPS Growth at -3.30%, which may limit upside. Profitability pressure is visible in Return on Equity at 3.34%, Operating Margin at 1.00%, Profit Margin at 3.14%.

Key Dynamics to Monitor

Three factors to monitor going forward. First, whether EPS Growth improves, as this is the primary drag on the overall score. Second, margin trajectory, with Return on Equity at 3.34% needing improvement to support the investment thesis. Third, growth sustainability, with Revenue Growth at 29.20% strong but requiring continuation.

Risk Considerations

Based on the metric profile, this is a higher risk investment. There are more areas of concern than strength, warranting a more conservative position size. Investors should size positions according to their risk tolerance and maintain diversification.

Bottom Line

Fundamental challenges outweigh strengths at current levels. EPS Growth and Return on Equity are the primary drags. Consider waiting for meaningful improvement before committing capital.

Disclaimer: Smart Analysis is a scoring system developed by WallStSmart Team. Scores update daily using multi-model valuation framework. Always conduct your own research and consult with financial advisors before making investment decisions.

DDOG Price-to-Sales(PS) Ratio Chart

Historical valuation based on market cap ÷ trailing 12-month revenue

DDOG's Price-to-Sales ratio of 12.66x trades at a deep discount to its historical average of 28.18x (5th percentile). The current valuation is 81% below its historical high of 65.33x set in Jun 2020, and 9% above its historical low of 11.61x in Mar 2020.

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WallStSmart Analysis Synopsis

Data-driven financial summary for Datadog Inc (DDOG) · TECHNOLOGYSOFTWARE - APPLICATION

The Big Picture

Datadog Inc is a strong growth company balancing expansion with improving profitability. Revenue reached 3.4B with 29% growth year-over-year. Profit margins are strong at 314.0%, reflecting pricing power and operational efficiency.

Key Findings

Strong Revenue Growth

Revenue growing at 29% YoY, reaching 3.4B. This pace significantly outperforms most SOFTWARE - APPLICATION peers.

Excellent Capital Efficiency

ROE of 334.0% means the company generates strong returns on shareholder equity. Above 20% is considered top-tier.

Misleading Earnings Decline

Earnings fell 330% YoY while revenue grew 29%. This gap usually reflects one-time items (tax benefits, write-offs) in the prior period, not an operational decline.

What to Watch Next

Growth sustainability: can Datadog Inc maintain 29%+ revenue growth, or will competition slow it down?

Valuation compression risk at a P/E of 395.4x. Any growth miss could trigger a sharp correction.

Debt management: total debt of 1.5B is significantly higher than cash (401M). Monitor refinancing risk.

Sector dynamics: monitor SOFTWARE - APPLICATION industry trends, competitive moves, and regulatory changes that could impact Datadog Inc.

Bottom Line

Datadog Inc offers an attractive blend of growth (29% revenue expansion) and improving fundamentals. The company is transitioning from pure growth to profitable growth, a critical inflection point. Watch for sustained margin expansion as the key signal.

This synopsis is generated from publicly available financial data. It is not financial advice. Always conduct your own research and consult a qualified financial advisor before making investment decisions.

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About Datadog Inc(DDOG)

Exchange

NASDAQ

Sector

TECHNOLOGY

Industry

SOFTWARE - APPLICATION

Country

USA

Datadog, Inc. provides an analytics and monitoring platform for developers, information technology operations teams, and business users in the cloud in North America and internationally. The company is headquartered in New York, New York.

Visit Datadog Inc (DDOG) Website
620 8TH AVENUE, NEW YORK, NY, UNITED STATES, 10018