DDOG

ACCE-researched
Datadog Inc. Class A Common Stock
Technology · Software - Application · NASDAQ · United States
$229.92-2.58%
Market cap $82.6BNext earnings 2026-11-05Updated Sep 19, 2026
FAIR VALUE · CONSENSUS
$229.92+0.0%
confidence-weighted across 2 of 6 models
Now $229.92
$229.92
$8.22$28.39
AvoidSilver67
Price vs fair value
1096.1% above
-91.6% to fair value
ACCE score
67
out of 100
Analysts
92% buy
48 covering
P/E
450.8x
forward 77.3x
1-year return
+68.1%
Dividend yield
0.00%
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Overview

ACCE thesis

Datadog operates a cloud monitoring platform that tracks application performance, infrastructure health, and security threats across 27,000+ customers including Airbnb, Samsung, and The New York Times. The company benefits from the structural shift toward cloud-native architectures where visibility becomes exponentially more complex as organizations deploy hundreds of microservices across multiple cloud providers. Management expects to cross $2 billion in ARR by 2025, driven by expanding use cases per customer as they add new products like CI/CD visibility and cloud cost management. Despite trading at 20x forward sales, the land-and-expand model delivers 130%+ net revenue retention while gross margins hold steady at 80%. The recent Azure partnership and AI observability features position DDOG to capture more wallet share as enterprises accelerate their digital transformation spend.

Written Apr 17, 2026
⚠ Investor warnings · 4 flags
  • severe
    Extreme valuation vs fair value
    Current price $268.11 is 2.8x ACCE fair value of $95.00 (range $87.40-$102.60); P/E 667x and EV/EBITDA 386x leave no margin of safety.
  • high
    Heavy insider selling
    Insiders sold $87.70M with zero buys in last 10 disclosed transactions, despite 64.6% insider ownership concentration.
  • high
    Near-zero operating margin
    Operating margin is only 0.8% on $92.6B market cap; net margin 3.7% relies on non-operating items, not core business profitability.
  • moderate
    Valuation score collapse risk
    ACCE Valuation sub-score is 15/100, the weakest component; any growth deceleration from 32.2% YoY could trigger sharp re-rating.
Reports in 45 days, last quarter beat by 0.4%.

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Price

+66.2% · 1Y

Valuation

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Full valuation engine INVESTOR FEATURE

Six independent models converge on one confidence-weighted fair value, with full methodology and editable assumptions.

  • +All six models: DCF, P/E and EV/EBITDA comps, Graham, dividend discount, residual income
  • +Scenario bands, sensitivity tornado, and the 5-year historical valuation range
  • +Editable DCF workbench with saved scenarios

Quality

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The full quality picture: conviction breakdown, earnings quality, score history, and backtested returns.

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  • +Growth / value / quality / momentum component scores
  • +90-day score history and score-threshold backtests

Analysts

Wall Street consensus

Bullish92% buy · 48 covering analysts
● Strong buy 34● Buy 10● Hold 2● Sell 1● Strong sell 1
Analyst intelligence INVESTOR FEATURE

The full analyst picture: the price-target distribution against the current price, forward consensus estimates, and how ACCE's own models compare.

  • +Price-target low / average / high vs the current price, with implied upside
  • +Forward revenue and EPS consensus by fiscal year
  • +ACCE fair-value models lined up against the Street

Smart Money

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Smart money tracking PRO FEATURE

Follow the institutions: 13F position changes, insider trades, and active 13D activist filings.

  • +Quarter-over-quarter institutional position changes
  • +Recent open-market insider transactions
  • +Active 13D activist filings and top holders

Compare

Where it sits vs peers

This stock Peer Peer median weaker → stronger
P/Ebetter than 0% of peers
low 0.0x450.8xhigh 450.8x
ROEbetter than 33% of peers
low -64%5%high 72%
Div yieldbetter than 67% of peers
low 0.0%0.0%high 2.5%

Algorithmic peers (6)

TickerCompanyMcapP/EROED/EYieldQuality
INTUIntuit Inc. Common Stock$81.0B18.423.6%0.401.8%-Compare
CDNSCadence Design Systems Inc. Common Stock$77.9B56.123.2%0.450.0%-Compare
ADBEAdobe Inc. Common Stock$98.9B13.961.9%0.540.0%-Compare
ADPAutomatic Data Processing Inc. Common Stock$107.7B24.872.2%0.822.5%-Compare
MSTRStrategy Inc Common Stock Class A$61.1B--63.6%0.160.0%-Compare
SNOWSnowflake Inc. Common Stock$117.3B--48.1%1.210.0%-Compare

Sector report card

Where DDOG ranks against its sector peers on each metric.

Computing percentiles…

News and Record

Reports in 45 days, last quarter beat by 0.4%.

Press releases mentioning this company

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Recent performance

1 week
+3.9%
1 month
-1.5%
3 months
+3.1%
6 months
+83.8%
YTD
+69.1%
1 year
+68.1%

SEC filings

40 filings
September 2026
Sep 16
Form 4Insider transactionPeriod 2026-09-14
Sep 16
Form 4Insider transactionPeriod 2026-09-14
Sep 16
Form 4Insider transactionPeriod 2026-09-14
37 more filings + AI summaries on Investor+.INVESTOR