DATADOG INC - CLASS A (DDOG) Fundamental Analysis & Valuation

NASDAQ:DDOG • US23804L1035

118.33 USD
+6.56 (+5.87%)
At close: Mar 4, 2026
118.96 USD
+0.63 (+0.53%)
After Hours: 3/4/2026, 8:19:21 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Forecast Earnings Financials Ownership News

This DDOG fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

Fundamental Rating

5

Overall DDOG gets a fundamental rating of 5 out of 10. We evaluated DDOG against 276 industry peers in the Software industry. While DDOG has a great health rating, its profitability is only average at the moment. DDOG is valued quite expensively, but it does show have an excellent growth rating.


Dividend Valuation Growth Profitability Health

4

1. DDOG Profitability Analysis

1.1 Basic Checks

  • DDOG had positive earnings in the past year.
  • DDOG had a positive operating cash flow in the past year.
  • The reported net income has been mixed in the past 5 years: DDOG reported negative net income in multiple years.
  • In the past 5 years DDOG always reported a positive cash flow from operatings.
DDOG Yearly Net Income VS EBIT VS OCF VS FCFDDOG Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 200M 400M 600M 800M 1B

1.2 Ratios

  • DDOG has a Return On Assets of 1.62%. This is in the better half of the industry: DDOG outperforms 63.04% of its industry peers.
  • The Return On Equity of DDOG (2.89%) is better than 63.41% of its industry peers.
Industry RankSector Rank
ROA 1.62%
ROE 2.89%
ROIC N/A
ROA(3y)2.01%
ROA(5y)0.7%
ROE(3y)4.02%
ROE(5y)1.3%
ROIC(3y)N/A
ROIC(5y)N/A
DDOG Yearly ROA, ROE, ROICDDOG Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 5 -5 -10 -15

1.3 Margins

  • The Profit Margin of DDOG (3.14%) is better than 61.96% of its industry peers.
  • Looking at the Gross Margin, with a value of 79.96%, DDOG belongs to the top of the industry, outperforming 80.43% of the companies in the same industry.
  • In the last couple of years the Gross Margin of DDOG has remained more or less at the same level.
Industry RankSector Rank
OM N/A
PM (TTM) 3.14%
GM 79.96%
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.27%
GM growth 5Y0.39%
DDOG Yearly Profit, Operating, Gross MarginsDDOG Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 20 40 60 80

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7

2. DDOG Health Analysis

2.1 Basic Checks

  • DDOG does not have a ROIC to compare to the WACC, probably because it is not profitable.
  • Compared to 1 year ago, DDOG has more shares outstanding
  • The number of shares outstanding for DDOG has been increased compared to 5 years ago.
  • Compared to 1 year ago, DDOG has an improved debt to assets ratio.
DDOG Yearly Shares OutstandingDDOG Yearly Shares OutstandingYearly Shares Outstanding 2017 2018 2019 2020 2021 2022 2023 2024 2025 100M 200M 300M
DDOG Yearly Total Debt VS Total AssetsDDOG Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B

2.2 Solvency

  • An Altman-Z score of 9.28 indicates that DDOG is not in any danger for bankruptcy at the moment.
  • DDOG has a Altman-Z score of 9.28. This is amongst the best in the industry. DDOG outperforms 90.94% of its industry peers.
  • DDOG has a debt to FCF ratio of 1.08. This is a very positive value and a sign of high solvency as it would only need 1.08 years to pay back of all of its debts.
  • DDOG's Debt to FCF ratio of 1.08 is fine compared to the rest of the industry. DDOG outperforms 73.55% of its industry peers.
  • DDOG has a Debt/Equity ratio of 0.26. This is a healthy value indicating a solid balance between debt and equity.
  • DDOG has a Debt to Equity ratio (0.26) which is comparable to the rest of the industry.
Industry RankSector Rank
Debt/Equity 0.26
Debt/FCF 1.08
Altman-Z 9.28
ROIC/WACCN/A
WACC10.95%
DDOG Yearly LT Debt VS Equity VS FCFDDOG Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 1B 2B 3B

2.3 Liquidity

  • A Current Ratio of 3.38 indicates that DDOG has no problem at all paying its short term obligations.
  • The Current ratio of DDOG (3.38) is better than 75.72% of its industry peers.
  • A Quick Ratio of 3.38 indicates that DDOG has no problem at all paying its short term obligations.
  • Looking at the Quick ratio, with a value of 3.38, DDOG is in the better half of the industry, outperforming 76.09% of the companies in the same industry.
Industry RankSector Rank
Current Ratio 3.38
Quick Ratio 3.38
DDOG Yearly Current Assets VS Current LiabilitesDDOG Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2017 2018 2019 2020 2021 2022 2023 2024 2025 1B 2B 3B 4B 5B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

8

3. DDOG Growth Analysis

3.1 Past

  • DDOG shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 13.19%, which is quite good.
  • Measured over the past years, DDOG shows a very strong growth in Earnings Per Share. The EPS has been growing by 56.42% on average per year.
  • The Revenue has grown by 27.68% in the past year. This is a very strong growth!
  • DDOG shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 41.53% yearly.
EPS 1Y (TTM)13.19%
EPS 3Y28.54%
EPS 5Y56.42%
EPS Q2Q%20.41%
Revenue 1Y (TTM)27.68%
Revenue growth 3Y26.95%
Revenue growth 5Y41.53%
Sales Q2Q%29.21%

3.2 Future

  • The Earnings Per Share is expected to grow by 20.52% on average over the next years. This is a very strong growth
  • The Revenue is expected to grow by 19.64% on average over the next years. This is quite good.
EPS Next Y17.06%
EPS Next 2Y19.52%
EPS Next 3Y22.33%
EPS Next 5Y20.52%
Revenue Next Year21.61%
Revenue Next 2Y20.46%
Revenue Next 3Y20.13%
Revenue Next 5Y19.64%

3.3 Evolution

  • Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
  • Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
DDOG Yearly Revenue VS EstimatesDDOG Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 5B 10B
DDOG Yearly EPS VS EstimatesDDOG Yearly EPS VS EstimatesYearly EPS VS Estimates 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 0 2 4 6 8 10

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Find the best growth stocksShow best growing peers

2

4. DDOG Valuation Analysis

4.1 Price/Earnings Ratio

  • DDOG is valuated quite expensively with a Price/Earnings ratio of 57.44.
  • The rest of the industry has a similar Price/Earnings ratio as DDOG.
  • When comparing the Price/Earnings ratio of DDOG to the average of the S&P500 Index (27.03), we can say DDOG is valued expensively.
  • DDOG is valuated quite expensively with a Price/Forward Earnings ratio of 49.07.
  • DDOG's Price/Forward Earnings is on the same level as the industry average.
  • The average S&P500 Price/Forward Earnings ratio is at 25.11. DDOG is valued rather expensively when compared to this.
Industry RankSector Rank
PE 57.44
Fwd PE 49.07
DDOG Price Earnings VS Forward Price EarningsDDOG Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30 40 50

4.2 Price Multiples

  • Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of DDOG is on the same level as its industry peers.
  • DDOG's Price/Free Cash Flow ratio is in line with the industry average.
Industry RankSector Rank
P/FCF 45.36
EV/EBITDA 2479.58
DDOG Per share dataDDOG EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 2 4 6 8 10

4.3 Compensation for Growth

  • The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates DDOG does not grow enough to justify the current Price/Earnings ratio.
  • A more expensive valuation may be justified as DDOG's earnings are expected to grow with 22.33% in the coming years.
PEG (NY)3.37
PEG (5Y)1.02
EPS Next 2Y19.52%
EPS Next 3Y22.33%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

0

5. DDOG Dividend Analysis

5.1 Amount

  • DDOG does not give a dividend.
Industry RankSector Rank
Dividend Yield 0%

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Find the best dividend stocksShow peers with best dividend

DDOG Fundamentals: All Metrics, Ratios and Statistics

DATADOG INC - CLASS A

NASDAQ:DDOG (3/4/2026, 8:19:21 PM)

After market: 118.96 +0.63 (+0.53%)

118.33

+6.56 (+5.87%)

Chartmill FA Rating
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)02-10
Earnings (Next)05-04
Inst Owners93.36%
Inst Owner Change1.04%
Ins Owners0.82%
Ins Owner Change14.29%
Market Cap41.49B
Revenue(TTM)3.43B
Net Income(TTM)107.74M
Analysts83.02
Price Target186.04 (57.22%)
Short Float %2.77%
Short Ratio1.51
Dividend
Industry RankSector Rank
Dividend Yield 0%
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)10.07%
Min EPS beat(2)4.29%
Max EPS beat(2)15.86%
EPS beat(4)4
Avg EPS beat(4)8.15%
Min EPS beat(4)4.29%
Max EPS beat(4)15.86%
EPS beat(8)8
Avg EPS beat(8)11.75%
EPS beat(12)11
Avg EPS beat(12)13.58%
EPS beat(16)15
Avg EPS beat(16)24.22%
Revenue beat(2)2
Avg Revenue beat(2)1.89%
Min Revenue beat(2)1.82%
Max Revenue beat(2)1.96%
Revenue beat(4)4
Avg Revenue beat(4)1.73%
Min Revenue beat(4)0.69%
Max Revenue beat(4)2.46%
Revenue beat(8)8
Avg Revenue beat(8)1.58%
Revenue beat(12)11
Avg Revenue beat(12)1.44%
Revenue beat(16)15
Avg Revenue beat(16)2.06%
PT rev (1m)-10.54%
PT rev (3m)-14.11%
EPS NQ rev (1m)-3.82%
EPS NQ rev (3m)-4.13%
EPS NY rev (1m)0.21%
EPS NY rev (3m)7.8%
Revenue NQ rev (1m)2.69%
Revenue NQ rev (3m)2.65%
Revenue NY rev (1m)0.45%
Revenue NY rev (3m)3.64%
Valuation
Industry RankSector Rank
PE 57.44
Fwd PE 49.07
P/S 12.11
P/FCF 45.36
P/OCF 39.51
P/B 11.12
P/tB 13.02
EV/EBITDA 2479.58
EPS(TTM)2.06
EY1.74%
EPS(NY)2.41
Fwd EY2.04%
FCF(TTM)2.61
FCFY2.2%
OCF(TTM)2.99
OCFY2.53%
SpS9.77
BVpS10.64
TBVpS9.09
PEG (NY)3.37
PEG (5Y)1.02
Graham Number22.21
Profitability
Industry RankSector Rank
ROA 1.62%
ROE 2.89%
ROCE N/A
ROIC N/A
ROICexc N/A
ROICexgc N/A
OM N/A
PM (TTM) 3.14%
GM 79.96%
FCFM 26.69%
ROA(3y)2.01%
ROA(5y)0.7%
ROE(3y)4.02%
ROE(5y)1.3%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.27%
GM growth 5Y0.39%
F-Score6
Asset Turnover0.52
Health
Industry RankSector Rank
Debt/Equity 0.26
Debt/FCF 1.08
Debt/EBITDA 77.1
Cap/Depr 242.88%
Cap/Sales 3.95%
Interest Coverage N/A
Cash Conversion 8232.48%
Profit Quality 849%
Current Ratio 3.38
Quick Ratio 3.38
Altman-Z 9.28
F-Score6
WACC10.95%
ROIC/WACCN/A
Cap/Depr(3y)185.69%
Cap/Depr(5y)180.37%
Cap/Sales(3y)3.48%
Cap/Sales(5y)3.56%
Profit Quality(3y)833.72%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)13.19%
EPS 3Y28.54%
EPS 5Y56.42%
EPS Q2Q%20.41%
EPS Next Y17.06%
EPS Next 2Y19.52%
EPS Next 3Y22.33%
EPS Next 5Y20.52%
Revenue 1Y (TTM)27.68%
Revenue growth 3Y26.95%
Revenue growth 5Y41.53%
Sales Q2Q%29.21%
Revenue Next Year21.61%
Revenue Next 2Y20.46%
Revenue Next 3Y20.13%
Revenue Next 5Y19.64%
EBIT growth 1Y-179.21%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year30.14%
EBIT Next 3Y26.37%
EBIT Next 5Y23.68%
FCF growth 1Y18.01%
FCF growth 3Y37.29%
FCF growth 5Y61.52%
OCF growth 1Y20.62%
OCF growth 3Y35.9%
OCF growth 5Y57.28%

DATADOG INC - CLASS A / DDOG FAQ

What is the fundamental rating for DDOG stock?

ChartMill assigns a fundamental rating of 5 / 10 to DDOG.


What is the valuation status of DATADOG INC - CLASS A (DDOG) stock?

ChartMill assigns a valuation rating of 2 / 10 to DATADOG INC - CLASS A (DDOG). This can be considered as Overvalued.


What is the profitability of DDOG stock?

DATADOG INC - CLASS A (DDOG) has a profitability rating of 4 / 10.


What is the expected EPS growth for DATADOG INC - CLASS A (DDOG) stock?

The Earnings per Share (EPS) of DATADOG INC - CLASS A (DDOG) is expected to grow by 17.06% in the next year.