DATADOG INC - CLASS A (DDOG) Stock Fundamental Analysis
USA - NASDAQ:DDOG - US23804L1035 - Common Stock
134.59 USD
-4.06 (-2.93%)
134.1 USD
-0.49 (-0.36%)
Overall DDOG gets a fundamental rating of 5 out of 10. We evaluated DDOG against 280 industry peers in the Software industry. DDOG is in great health and has no worries on liquidiy or solvency at all, but the profibility rating is only average. DDOG shows excellent growth, but is valued quite expensive already.
1. Profitability
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.
1.2 Ratios
The Return On Assets of DDOG (2.14%) is better than 66.07% of its industry peers.
Looking at the Return On Equity, with a value of 3.90%, DDOG is in the better half of the industry, outperforming 66.79% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.14% | ||
| ROE | 3.9% | ||
| ROIC | N/A |
ROA(3y)0.91%
ROA(5y)0.11%
ROE(3y)1.87%
ROE(5y)0.21%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
With a decent Profit Margin value of 4.13%, DDOG is doing good in the industry, outperforming 66.43% of the companies in the same industry.
DDOG's Gross Margin of 79.92% is amongst the best of the industry. DDOG outperforms 81.07% of its industry peers.
In the last couple of years the Gross Margin of DDOG has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | 4.13% | ||
| GM | 79.92% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.52%
GM growth 5Y1.37%
2. Health
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
DDOG has more shares outstanding than it did 5 years ago.
The debt/assets ratio for DDOG is higher compared to a year ago.
2.2 Solvency
DDOG has an Altman-Z score of 11.92. This indicates that DDOG is financially healthy and has little risk of bankruptcy at the moment.
With an excellent Altman-Z score value of 11.92, DDOG belongs to the best of the industry, outperforming 89.29% of the companies in the same industry.
The Debt to FCF ratio of DDOG is 1.15, which is an excellent value as it means it would take DDOG, only 1.15 years of fcf income to pay off all of its debts.
With a decent Debt to FCF ratio value of 1.15, DDOG is doing good in the industry, outperforming 73.93% of the companies in the same industry.
A Debt/Equity ratio of 0.31 indicates that DDOG is not too dependend on debt financing.
DDOG has a Debt to Equity ratio (0.31) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.31 | ||
| Debt/FCF | 1.15 | ||
| Altman-Z | 11.92 |
ROIC/WACCN/A
WACC10.98%
2.3 Liquidity
A Current Ratio of 3.43 indicates that DDOG has no problem at all paying its short term obligations.
The Current ratio of DDOG (3.43) is better than 81.07% of its industry peers.
A Quick Ratio of 3.43 indicates that DDOG has no problem at all paying its short term obligations.
DDOG has a better Quick ratio (3.43) than 81.43% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.43 | ||
| Quick Ratio | 3.43 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 0.00% over the past year.
Measured over the past years, DDOG shows a very strong growth in Earnings Per Share. The EPS has been growing by 54.87% on average per year.
DDOG shows a strong growth in Revenue. In the last year, the Revenue has grown by 26.00%.
DDOG shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 49.22% yearly.
EPS 1Y (TTM)0%
EPS 3Y54.87%
EPS 5YN/A
EPS Q2Q%6.98%
Revenue 1Y (TTM)26%
Revenue growth 3Y37.67%
Revenue growth 5Y49.22%
Sales Q2Q%28.12%
3.2 Future
Based on estimates for the next years, DDOG will show a quite strong growth in Earnings Per Share. The EPS will grow by 17.37% on average per year.
DDOG is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 19.64% yearly.
EPS Next Y2.89%
EPS Next 2Y10.63%
EPS Next 3Y15.61%
EPS Next 5Y17.37%
Revenue Next Year25.06%
Revenue Next 2Y22.22%
Revenue Next 3Y21.73%
Revenue Next 5Y19.64%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in 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.
4. Valuation
4.1 Price/Earnings Ratio
DDOG is valuated quite expensively with a Price/Earnings ratio of 71.97.
DDOG's Price/Earnings is on the same level as the industry average.
DDOG's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 27.20.
The Price/Forward Earnings ratio is 60.43, which means the current valuation is very expensive for DDOG.
DDOG's Price/Forward Earnings is on the same level as the industry average.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.71, DDOG is valued quite expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 71.97 | ||
| Fwd PE | 60.43 |
4.2 Price Multiples
DDOG's Enterprise Value to EBITDA ratio is in line with the industry average.
The rest of the industry has a similar Price/Free Cash Flow ratio as DDOG.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 54.94 | ||
| EV/EBITDA | 1102.96 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
DDOG's earnings are expected to grow with 15.61% in the coming years. This may justify a more expensive valuation.
PEG (NY)24.9
PEG (5Y)N/A
EPS Next 2Y10.63%
EPS Next 3Y15.61%
5. Dividend
5.1 Amount
DDOG does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
134.59
-4.06 (-2.93%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners86.1%
Inst Owner Change-1.24%
Ins Owners2.44%
Ins Owner Change4.81%
Market Cap46.94B
Analysts81.22
Price Target164.42 (22.16%)
Short Float %4.22%
Short Ratio1.85
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
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)6.22%
Min EPS beat(2)4.55%
Max EPS beat(2)7.9%
EPS beat(4)4
Avg EPS beat(4)8.86%
Min EPS beat(4)4.55%
Max EPS beat(4)12.91%
EPS beat(8)8
Avg EPS beat(8)15.84%
EPS beat(12)12
Avg EPS beat(12)20.04%
EPS beat(16)16
Avg EPS beat(16)35.59%
Revenue beat(2)2
Avg Revenue beat(2)1.57%
Min Revenue beat(2)0.69%
Max Revenue beat(2)2.46%
Revenue beat(4)4
Avg Revenue beat(4)1.55%
Min Revenue beat(4)0.69%
Max Revenue beat(4)2.46%
Revenue beat(8)8
Avg Revenue beat(8)1.61%
Revenue beat(12)11
Avg Revenue beat(12)1.6%
Revenue beat(16)15
Avg Revenue beat(16)2.9%
PT rev (1m)7.39%
PT rev (3m)17.68%
EPS NQ rev (1m)2.22%
EPS NQ rev (3m)11.07%
EPS NY rev (1m)6.57%
EPS NY rev (3m)6.32%
Revenue NQ rev (1m)0.58%
Revenue NQ rev (3m)4.08%
Revenue NY rev (1m)2.76%
Revenue NY rev (3m)2.85%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 71.97 | ||
| Fwd PE | 60.43 | ||
| P/S | 15.56 | ||
| P/FCF | 54.94 | ||
| P/OCF | 48.62 | ||
| P/B | 14.69 | ||
| P/tB | 17.73 | ||
| EV/EBITDA | 1102.96 |
EPS(TTM)1.87
EY1.39%
EPS(NY)2.23
Fwd EY1.65%
FCF(TTM)2.45
FCFY1.82%
OCF(TTM)2.77
OCFY2.06%
SpS8.65
BVpS9.16
TBVpS7.59
PEG (NY)24.9
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.14% | ||
| ROE | 3.9% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | 4.13% | ||
| GM | 79.92% | ||
| FCFM | 28.33% |
ROA(3y)0.91%
ROA(5y)0.11%
ROE(3y)1.87%
ROE(5y)0.21%
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
ROICexcg growth 3YN/A
ROICexcg 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 3Y1.52%
GM growth 5Y1.37%
F-Score4
Asset Turnover0.52
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.31 | ||
| Debt/FCF | 1.15 | ||
| Debt/EBITDA | 26.67 | ||
| Cap/Depr | 207.15% | ||
| Cap/Sales | 3.69% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | 2623.8% | ||
| Profit Quality | 685.76% | ||
| Current Ratio | 3.43 | ||
| Quick Ratio | 3.43 | ||
| Altman-Z | 11.92 |
F-Score4
WACC10.98%
ROIC/WACCN/A
Cap/Depr(3y)167.26%
Cap/Depr(5y)165.21%
Cap/Sales(3y)3.45%
Cap/Sales(5y)3.63%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)0%
EPS 3Y54.87%
EPS 5YN/A
EPS Q2Q%6.98%
EPS Next Y2.89%
EPS Next 2Y10.63%
EPS Next 3Y15.61%
EPS Next 5Y17.37%
Revenue 1Y (TTM)26%
Revenue growth 3Y37.67%
Revenue growth 5Y49.22%
Sales Q2Q%28.12%
Revenue Next Year25.06%
Revenue Next 2Y22.22%
Revenue Next 3Y21.73%
Revenue Next 5Y19.64%
EBIT growth 1Y-135.05%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year8.5%
EBIT Next 3Y22.21%
EBIT Next 5Y22.11%
FCF growth 1Y102.69%
FCF growth 3Y45.72%
FCF growth 5Y295.6%
OCF growth 1Y99.07%
OCF growth 3Y44.84%
OCF growth 5Y104.74%