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Datadog (DDOG) Dips More Than Broader Markets: What You Should Know
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In the latest trading session, Datadog (DDOG - Free Report) closed at $108.53, marking a -0.6% move from the previous day. This move lagged the S&P 500's daily loss of 0.1%. Meanwhile, the Dow gained 0.33%, and the Nasdaq, a tech-heavy index, lost 5.8%.
Coming into today, shares of the data analytics and cloud monitoring company had gained 11.2% in the past month. In that same time, the Computer and Technology sector gained 3.39%, while the S&P 500 gained 3.39%.
Datadog will be looking to display strength as it nears its next earnings release, which is expected to be August 8, 2023. The company is expected to report EPS of $0.28, up 16.67% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $500.37 million, up 23.2% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $1.17 per share and revenue of $2.09 billion, which would represent changes of +19.39% and +24.92%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for Datadog. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. Datadog is holding a Zacks Rank of #2 (Buy) right now.
Digging into valuation, Datadog currently has a Forward P/E ratio of 93.5. This valuation marks a premium compared to its industry's average Forward P/E of 43.82.
Meanwhile, DDOG's PEG ratio is currently 3.48. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Internet - Software stocks are, on average, holding a PEG ratio of 1.78 based on yesterday's closing prices.
The Internet - Software industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 60, putting it in the top 24% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Datadog (DDOG) Dips More Than Broader Markets: What You Should Know
In the latest trading session, Datadog (DDOG - Free Report) closed at $108.53, marking a -0.6% move from the previous day. This move lagged the S&P 500's daily loss of 0.1%. Meanwhile, the Dow gained 0.33%, and the Nasdaq, a tech-heavy index, lost 5.8%.
Coming into today, shares of the data analytics and cloud monitoring company had gained 11.2% in the past month. In that same time, the Computer and Technology sector gained 3.39%, while the S&P 500 gained 3.39%.
Datadog will be looking to display strength as it nears its next earnings release, which is expected to be August 8, 2023. The company is expected to report EPS of $0.28, up 16.67% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $500.37 million, up 23.2% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $1.17 per share and revenue of $2.09 billion, which would represent changes of +19.39% and +24.92%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for Datadog. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. Datadog is holding a Zacks Rank of #2 (Buy) right now.
Digging into valuation, Datadog currently has a Forward P/E ratio of 93.5. This valuation marks a premium compared to its industry's average Forward P/E of 43.82.
Meanwhile, DDOG's PEG ratio is currently 3.48. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Internet - Software stocks are, on average, holding a PEG ratio of 1.78 based on yesterday's closing prices.
The Internet - Software industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 60, putting it in the top 24% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.