Datadog (NASDAQ:DDOG) Shares Gap Down – Here’s Why

Datadog, Inc. (NASDAQ:DDOG)’s stock price gapped down before the market opened on Thursday . The stock had previously closed at $140.95, but opened at $137.51. Datadog shares last traded at $138.13, with a volume of 436,844 shares changing hands.

Analyst Upgrades and Downgrades

DDOG has been the subject of several recent analyst reports. TD Cowen restated a “buy” rating and set a $165.00 target price on shares of Datadog in a research note on Tuesday, November 19th. Morgan Stanley reiterated an “equal weight” rating and issued a $143.00 price objective on shares of Datadog in a research report on Thursday. Barclays raised their price objective on Datadog from $155.00 to $187.00 and gave the stock an “overweight” rating in a research report on Friday, December 6th. Loop Capital raised their price objective on Datadog from $160.00 to $200.00 and gave the stock a “buy” rating in a research report on Monday, December 23rd. Finally, Macquarie initiated coverage on Datadog in a research report on Thursday, December 12th. They issued an “outperform” rating and a $200.00 price objective for the company. One research analyst has rated the stock with a sell rating, three have assigned a hold rating, twenty-six have given a buy rating and two have assigned a strong buy rating to the company’s stock. According to MarketBeat.com, Datadog currently has a consensus rating of “Moderate Buy” and a consensus target price of $156.97.

Datadog Stock Performance

The stock has a market capitalization of $46.28 billion, a P/E ratio of 257.06, a price-to-earnings-growth ratio of 16.31 and a beta of 1.14. The stock has a 50-day simple moving average of $145.36 and a 200 day simple moving average of $128.42.

Insider Buying and Selling at Datadog

In other Datadog news, CEO Olivier Pomel sold 178,723 shares of the stock in a transaction on Monday, December 9th. The stock was sold at an average price of $161.28, for a total value of $28,824,445.44. Following the transaction, the chief executive officer now directly owns 379,693 shares in the company, valued at approximately $61,236,887.04. This trade represents a 32.01 % decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, General Counsel Kerry Acocella sold 2,488 shares of the firm’s stock in a transaction on Wednesday, December 4th. The stock was sold at an average price of $158.04, for a total value of $393,203.52. Following the completion of the transaction, the general counsel now owns 68,758 shares in the company, valued at $10,866,514.32. This represents a 3.49 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last ninety days, insiders have sold 609,763 shares of company stock worth $87,543,649. Insiders own 11.78% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently made changes to their positions in the stock. Los Angeles Capital Management LLC boosted its position in shares of Datadog by 172.2% in the 3rd quarter. Los Angeles Capital Management LLC now owns 38,841 shares of the company’s stock worth $4,469,000 after purchasing an additional 24,574 shares during the last quarter. Heritage Investors Management Corp bought a new position in shares of Datadog in the 3rd quarter worth $1,157,000. Atom Investors LP bought a new position in shares of Datadog in the 3rd quarter worth $1,112,000. Jennison Associates LLC boosted its position in shares of Datadog by 2.1% in the 3rd quarter. Jennison Associates LLC now owns 6,273,348 shares of the company’s stock worth $721,811,000 after purchasing an additional 126,613 shares during the last quarter. Finally, Parnassus Investments LLC lifted its holdings in Datadog by 28.4% during the third quarter. Parnassus Investments LLC now owns 185,329 shares of the company’s stock worth $21,324,000 after acquiring an additional 40,952 shares in the last quarter. 78.29% of the stock is currently owned by institutional investors.

Datadog Company Profile

Datadog, Inc operates an observability and security platform for cloud applications in North America and internationally. The company's products comprise infrastructure and application performance monitoring, log management, digital experience monitoring, continuous profiler, database monitoring, data streams and universal service monitoring, network monitoring, incident management, workflow automation, observability pipelines, cloud cost and cloud security management, application security management, cloud SIEM, sensitive data scanner, and CI visibility.