DDOG Valuation

Datadog Inc

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130.330

+1.26(0.976%)1D

Overview
Forecast
Valuation
Earnings

DDOG Relative Valuation

DDOG's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, DDOG is overvalued; if below, it's undervalued.

Historical Valuation

Datadog Inc (DDOG) is now in the Fair zone, suggesting that its current forward PS ratio of 12.23 is considered Fairly compared with the five-year average of 193.68. The fair price of Datadog Inc (DDOG) is between 111.26 to 284.06 according to relative valuation methord.

Relative Value

Fair Zone

111.26-284.06

Current Price：128.31

Fair

67.49

Trailing

Forward

49.64

EV/EBITDA

Datadog Inc. (DDOG) has a current EV/EBITDA of 49.64. The 5-year average EV/EBITDA is 140.04. The thresholds are as follows: Strongly Undervalued below -157.82, Undervalued between -157.82 and -8.89, Fairly Valued between 288.98 and -8.89, Overvalued between 288.98 and 437.91, and Strongly Overvalued above 437.91. The current Forward EV/EBITDA of 49.64 falls within the Historic Trend Line -Fairly Valued range.

54.28

EV/EBIT

Datadog Inc. (DDOG) has a current EV/EBIT of 54.28. The 5-year average EV/EBIT is 178.76. The thresholds are as follows: Strongly Undervalued below -238.32, Undervalued between -238.32 and -29.78, Fairly Valued between 387.30 and -29.78, Overvalued between 387.30 and 595.84, and Strongly Overvalued above 595.84. The current Forward EV/EBIT of 54.28 falls within the Historic Trend Line -Fairly Valued range.

12.23

Datadog Inc. (DDOG) has a current PS of 12.23. The 5-year average PS is 20.73. The thresholds are as follows: Strongly Undervalued below 0.16, Undervalued between 0.16 and 10.44, Fairly Valued between 31.01 and 10.44, Overvalued between 31.01 and 41.30, and Strongly Overvalued above 41.30. The current Forward PS of 12.23 falls within the Historic Trend Line -Fairly Valued range.

43.73

P/OCF

Datadog Inc. (DDOG) has a current P/OCF of 43.73. The 5-year average P/OCF is 112.23. The thresholds are as follows: Strongly Undervalued below -94.33, Undervalued between -94.33 and 8.95, Fairly Valued between 215.52 and 8.95, Overvalued between 215.52 and 318.80, and Strongly Overvalued above 318.80. The current Forward P/OCF of 43.73 falls within the Historic Trend Line -Fairly Valued range.

50.37

P/FCF

Datadog Inc. (DDOG) has a current P/FCF of 50.37. The 5-year average P/FCF is 153.34. The thresholds are as follows: Strongly Undervalued below -204.06, Undervalued between -204.06 and -25.36, Fairly Valued between 332.03 and -25.36, Overvalued between 332.03 and 510.73, and Strongly Overvalued above 510.73. The current Forward P/FCF of 50.37 falls within the Historic Trend Line -Fairly Valued range.

Datadog Inc (DDOG) has a current Price-to-Book (P/B) ratio of 13.88. Compared to its 3-year average P/B ratio of 17.93 , the current P/B ratio is approximately -22.59% higher. Relative to its 5-year average P/B ratio of 25.71, the current P/B ratio is about -46.01% higher. Datadog Inc (DDOG) has a Forward Free Cash Flow (FCF) yield of approximately 2.09%. Compared to its 3-year average FCF yield of 1.69%, the current FCF yield is approximately 23.44% lower. Relative to its 5-year average FCF yield of 1.23% , the current FCF yield is about 70.16% lower.

14.08

P/B

Median3y

17.93

Median5y

25.71

2.09

FCF Yield

Median3y

1.69

Median5y

1.23

Competitors Valuation Multiple

The average P/S ratio for DDOG's competitors is 9.74, providing a benchmark for relative valuation. Datadog Inc Corp (DDOG) exhibits a P/S ratio of 12.23, which is 25.61% above the industry average. Given its robust revenue growth of 28.12%, this premium appears sustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

P/S

Revenue Growth

Market Cap

Take-Two Interactive Software Inc

Performance Decomposition

Market capitalization of DDOG increased by 11.02% over the past 1 year. The primary factor behind the change was an increase in P/E Change from 198.74 to 354.13.

The secondary factor is the Revenue Growth, contributed 28.12%to the performance.

Overall, the performance of DDOG in the past 1 year is driven by P/E Change. Which is more unsustainable.

28.12%

645.28M → 826.76M

Revenue Growth

-95.29%

6.79 → 0.32

Margin Expansion

78.19%

198.74 → 354.13

P/E Change

11.02%