Datadog anticipates robust fourth-quarter earnings fueled by demand for AI-driven security solutions.
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Nov 06 2025
0mins
Source: Reuters
Strong Q4 Forecast: Datadog anticipates fourth-quarter earnings exceeding Wall Street estimates, driven by high demand for its cloud-security products amid increasing adoption of artificial intelligence technology.
Stock Performance: The company's shares have risen 8.5% this year and saw a nearly 10% increase in premarket trading following the earnings forecast.
Revenue Growth: Datadog reported a 28% increase in revenue for the third quarter, reaching $885.65 million, surpassing analyst expectations.
Customer Base and Market Position: The company, which joined the S&P 500 in July, serves notable clients like Shell, PayPal, and Comcast, highlighting its strong market presence.
Analyst Views on DDOG
Wall Street analysts forecast DDOG stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for DDOG is 207.39 USD with a low forecast of 140.00 USD and a high forecast of 255.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
33 Analyst Rating
30 Buy
3 Hold
0 Sell
Strong Buy
Current: 131.250
Low
140.00
Averages
207.39
High
255.00
Current: 131.250
Low
140.00
Averages
207.39
High
255.00
About DDOG
Datadog, Inc. provides an observability and security platform for cloud applications. The Company’s SaaS platform integrates and automates infrastructure monitoring, application performance monitoring, log management, user experience monitoring, cloud security and many other capabilities to provide unified, real-time observability and security for its customers’ entire technology stack. Its platform consists of products that can be used individually or as a unified solution and includes a marketplace where customers can access products built by its partners on top of the Datadog platform. Its products include Infrastructure Monitoring, Application Performance Monitoring, Log Management, Digital Experience Monitoring, Continuous Profiler, Database Monitoring, Data Observability, Universal Service Monitoring, Network Monitoring and others. It owns Metaplane, an end-to-end data observability platform that provides advanced machine learning-powered monitoring and column-level lineage.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
