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DDOG

💻 Technology

Datadog, Inc.

Conservative #1102Aggressive #1294Moderate RiskLow 4ML↑ 48pt
$110.33+5.65%
Day High$110.84
Day Low$104.43
Volume6.2M
Mkt Cap$38.7B
52W Low $8252W High $202
Market Cap
$40.6B
P/E Ratio
376.7
Sector avg: 87.8
Rev Growth
27.7%
Sector avg: 14.8%
Earnings Growth
-41.4%
Profit Margin
3.1%
Sector avg: -110.0%
Debt/Equity
0.41

Why This Score

DDOG scores 30.4 on the Conservative profile, blending a fundamental score (80% weight, emphasizing quality and stability (84% of fundamental weight)) with a machine-learning signal (20% weight) trained on 82 features across 30 years of data.

Risk Factors
  • Signal divergence: Fundamental and ML signals disagree by a significant margin, reducing confidence.
  • Elevated valuation at 376.7x earnings — requires sustained growth to justify the premium.

Net penalties of -13.3 points significantly impact the ranking. Without these adjustments, DDOG would rank considerably higher.

Score Breakdown

Overall Score30.4
Fundamental Score44.4
ML Score0.0

Score by Horizon

3 Month
77.2
6 Month
86.3
Primary
1 Year
90.8

Quality Assessment

B
Earnings Grade
Solid fundamentals with minor quality concerns
Quality Flags
High accrual ratio (-874.7%) — earnings quality concern

Position Sizing

Suggested Allocation
5%
Confidence
high

Score Composition Waterfall

How each component affects the final score
Backtested Scoring Levers (IC-calibrated from 30y ElasticNet)
Weinstein (12.1%)
0
Declining
Sentiment (2.5%)
72
Positive
Analyst (6.4%)
70
Favorable
Tradability (post-hoc)
99
Grade A
Base
35.5
SHAP
+1.8
Factors
+1.9
Conviction
-4.4
Divergence
-4.4
Final
30.4
Positive adjustment
Negative adjustment
Base blend
Final score

Signal SegmentsComputed from ML features

Fundamental (Valuation, Quality, Growth)33.0
Technical (Momentum, Weinstein, Volatility)51.0
External (Sentiment, Analyst, Macro)86.0
Scores below 50 indicate weakness in that segment relative to the universe.

Data Quality

Score
Features
Confidence
Feature Coverage89%

Growth Estimates

Short-term
-5.2% to +1.2%
Medium-term
-7.8% to +1.8%
Long-term
-10.4% to +2.4%

ML Model Core Features100 trained inputs → ML Score: 0

These features are direct inputs to the machine learning model. The model was trained on these signals alongside 100 features (including 12 momentum/technical indicators) to produce the ML percentile score.

Analyst Intelligence
Consensus Score70.1/100
Target Upside+69.9%
Coverage46 analysts
Market Sentiment
Sentiment Score72.1/100
News Volume1 articles
Technical Stage
Weinstein Stage4 — Declining
12M Momentum+0.1%
6M Momentum-0.1%
Volatility+0.1%
Momentum & Technical
Momentum Acceleration+15.8%
Momentum ConsistencyDivergent (-0.88)
Relative Strength vs Sector+3.8%
Trend Strength (ADX Proxy)Weak (0.8)
Momentum Quality+0.057
Momentum BreadthNarrow
Macro Regime
Bull RegimeYes
High Vol RegimeNo
S&P 500 Return+25.0%
Yield Curve-0.1bp

Sector-Relative AnalysisIn-model features

Value Trap Signal
0%
Low risk
Sector RevGr Rank
P86
Revenue growth vs Technology peers
Sector PE Rank
P2
Valuation vs Technology peers
Sector FCF Rank
P36
Free cash flow vs Technology peers
Growth Deviation
+0.4σ
Z-score vs sector median
Stagnation Flag
NO
Not flagged

Analysis Signals

Scoring Factors
Fundamental score of 46 relative to sector peers46/100
Machine learning model ranks this stock at the 94th percentileP94
ML model weight reduced to 9% due to macro conditions: market in extended rally phase; yield curve inverted (recession indicator); late-cycle economic indicators detected9% ML weight
SHAP feature alignment: +1.8pt (features align with model priorities)—
Blend: 91% fund (45.6) + 9% ML (93.8) + SHAP(+1.8) = 51.7—
Factor quality: +1.9pt (multi-factor composite)—
Risk assessment: moderate. Annualized volatility 9.8%. Max drawdown 23% (-6.0 pts)Moderate
Market cap adjustment: +2.0 points ($40.6B market cap)+2.0 pts
Conviction penalty: -4.4pt (conviction=4)—
Divergence penalty: -5.8pt (ML 48pt higher)—
Risk Factors
Earnings quality grade B: adequate earnings quality with minor concerns. Score adjusted by -5 pointsGrade B
Quality concern: High accrual ratio (-874.7%) — earnings quality concernFlag

Sector Peer Comparison(Technology — Rank #244 of 289 stocks)

StockScoreP/ERev GrowthMarginMkt Cap
DDOG30.4376.727.7%3.1%$40.6B
MPWR84.891.721.2%81.0%$57.1B
ZM84.218.03.1%21.7%$27.7B
NVDA80.645.2114.2%55.8%$4.5T
CRUS79.719.16.0%17.5%$7.4B
ASML77.848.115.6%29.4%$546.0B
IDCC77.431.8-4.0%48.8%$9.7B
CSCO77.127.65.3%18.0%$303.6B
RMBS75.548.320.7%32.3%$11.0B
DBX75.313.91.9%17.7%$6.4B
FSLR75.017.326.7%30.7%$24.2B
SIMO74.79.210.2%13.8%$4.5B
ADI74.374.116.9%20.6%$165.1B
AAPL72.533.16.4%27.0%$3.9T
OLED72.527.012.4%34.3%$5.9B
AMAT72.336.44.4%24.7%$281.7B
Sector Average47.487.814.8%-110.0%—

Market Sentimentvia FMP

Analyst Consensus
Buy46 analysts
Buy: 38Hold: 7Sell: 1
Price Target
$175consensus
Low $105Median $180High $215
+58.7% to consensus target

Company Overviewvia FMP

Datadog, Inc. provides monitoring and analytics platform for developers, information technology operations teams, and business users in the cloud in North America and internationally. The company's SaaS platform integrates and automates infrastructure monitoring, application performance monitoring, log management, and security monitoring to provide real-time observability of its customers technology stack. Its platform also provides user experience monitoring, network performance monitoring, cloud security, developer-focused observability, and incident management, as well as a range of shared features, such as dashboards, analytics, collaboration tools, and alerting capabilities. The company was incorporated in 2010 and is headquartered in New York, New York.

CEO
Olivier Pomel
Employees
6,500
Beta
1.29
Industry
Software - Application
FMP-Identified Peers

Technical Picturecomputed from daily prices

RSI (14)
46.0
Neutral
Trend
Bearish
10-day vs 50-day MA
From 52W High
-45.3%
High: $201.69
From 52W Low
+35.2%
Low: $81.63
Moving Averages
10-Day
$117.70
Below
20-Day
$120.10
Below
50-Day
$128.20
Below
200-Day
$138.80
Below
60-Day Support
$98.01
60-Day Resistance
$163.43
Weinstein Stage Analysisbased on 200-day SMA framework
Stage 4 — DecliningScore: 9/100

Stock is in a downtrend below the 200-day moving average. Price is below both the 50-day and 200-day SMAs, indicating sustained selling pressure.

Unfavorable technical position; wait for Stage 1 basing
Price vs 200 SMA
-20.5%
200 SMA Slope (60d)
+6.12%
Rising
Volume Ratio
1.16x
10d avg vs 50d avg
Days in Stage
19
Confidence: 40%
Recent Gap Down

Financial Statementslast 4 quarters via FMP

MetricQ4 2025Q3 2025Q2 2025Q1 2025
Revenue$953M$886M$827M$762M
Gross Profit$766M$709M$661M$604M
Operating Income$9M$-6M$-36M$-12M
Net Income$47M$34M$3M$25M
EPS (Diluted)$0.13$0.09$0.01$0.07
Gross Margin80.4%80.1%79.9%79.3%
Operating Margin1.0%-0.7%-4.3%-1.6%
Net Margin4.9%3.8%0.3%3.2%

Why This Stock

TechnologyRevenue growth 27.7%

Tradability FilterGrade A — 99/100Score impact: +6.6pt

Volume
100
5.2M avg/day
Dollar Vol
100
$537M/day
Float
100
326M shares
Mkt Cap
93
$40.6B
Range
100
147% spread
Composite Liquidity Score99/100
FDCBA

Multi-Year Range Analysis

Sideways: 0/100
YearLowHighRangeStatus
2021$69.73$199.6896.5%Wide
2022$66.45$184.7094.2%Wide
2023$61.34$124.6968.1%Wide
2024$98.80$170.0853%Wide
2025$81.63$201.6984.8%Wide
3-Year Range
106.7%
Narrow Years
0 / 5
Sideways Penalty
None

Growth Projection Adjustment

0.15x dampening
weinstein declining

Growth estimates have been dampened based on technical and fundamental signals. This is a post-hoc adjustment to prevent overly optimistic projections for stocks showing declining momentum or deteriorating fundamentals.

Free Float
93.0%
Outstanding Shares
351M
Bid-Ask Spread
147.0%
Institutional Tradable
Yes

Scores are generated by a multi-stage ML pipeline combining fundamental analysis, ensemble predictions, and structural risk signals. All data is for research purposes only and does not constitute financial advice. Past performance does not guarantee future results.