140.39 USD
+2.1 (+1.52%)
140.95 USD
+0.56 (+0.4%)
We assign a fundamental rating of 5 out of 10 to DDOG. DDOG was compared to 278 industry peers in the Software industry. DDOG has an excellent financial health rating, but there are some minor concerns on its profitability. DDOG shows excellent growth, but is valued quite expensive already.
1. Profitability
1.1 Basic Checks
In the past year DDOG was profitable.
In the past year DDOG had a positive cash flow from operations.
In multiple years DDOG reported negative net income over the last 5 years.
Each year in the past 5 years DDOG had a positive operating cash flow.
1.2 Ratios
The Return On Assets of DDOG (1.76%) is better than 61.92% of its industry peers.
DDOG has a Return On Equity of 3.10%. This is in the better half of the industry: DDOG outperforms 64.41% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.76% | ||
| ROE | 3.1% | ||
| 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 3.32%, DDOG is doing good in the industry, outperforming 63.35% of the companies in the same industry.
DDOG has a better Gross Margin (79.94%) than 81.85% of its industry peers.
DDOG's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | 3.32% | ||
| GM | 79.94% |
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.
The number of shares outstanding for DDOG has been increased compared to 1 year ago.
Compared to 5 years ago, DDOG has more shares outstanding
DDOG has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 12.53 indicates that DDOG is not in any danger for bankruptcy at the moment.
DDOG has a Altman-Z score of 12.53. This is amongst the best in the industry. DDOG outperforms 90.75% of its industry peers.
The Debt to FCF ratio of DDOG is 1.14, which is an excellent value as it means it would take DDOG, only 1.14 years of fcf income to pay off all of its debts.
With a decent Debt to FCF ratio value of 1.14, DDOG is doing good in the industry, outperforming 74.38% of the companies in the same industry.
A Debt/Equity ratio of 0.29 indicates that DDOG is not too dependend on debt financing.
The Debt to Equity ratio of DDOG (0.29) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.29 | ||
| Debt/FCF | 1.14 | ||
| Altman-Z | 12.53 |
ROIC/WACCN/A
WACC10.87%
2.3 Liquidity
A Current Ratio of 3.66 indicates that DDOG has no problem at all paying its short term obligations.
DDOG has a better Current ratio (3.66) than 80.43% of its industry peers.
A Quick Ratio of 3.66 indicates that DDOG has no problem at all paying its short term obligations.
The Quick ratio of DDOG (3.66) is better than 80.43% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.66 | ||
| Quick Ratio | 3.66 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 4.26% over the past year.
DDOG shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 54.87% yearly.
Looking at the last year, DDOG shows a very strong growth in Revenue. The Revenue has grown by 26.63%.
Measured over the past years, DDOG shows a very strong growth in Revenue. The Revenue has been growing by 49.22% on average per year.
EPS 1Y (TTM)4.26%
EPS 3Y54.87%
EPS 5YN/A
EPS Q2Q%19.57%
Revenue 1Y (TTM)26.63%
Revenue growth 3Y37.67%
Revenue growth 5Y49.22%
Sales Q2Q%28.35%
3.2 Future
The Earnings Per Share is expected to grow by 19.92% on average over the next years. This is quite good.
Based on estimates for the next years, DDOG will show a very strong growth in Revenue. The Revenue will grow by 21.44% on average per year.
EPS Next Y13.92%
EPS Next 2Y15.15%
EPS Next 3Y17.54%
EPS Next 5Y19.92%
Revenue Next Year27.45%
Revenue Next 2Y24.18%
Revenue Next 3Y23.07%
Revenue Next 5Y21.44%
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.
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 71.63, which means the current valuation is very expensive for DDOG.
The rest of the industry has a similar Price/Earnings ratio as DDOG.
DDOG is valuated expensively when we compare the Price/Earnings ratio to 26.39, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 58.18, DDOG can be considered very expensive at the moment.
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 23.84, DDOG is valued quite expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 71.63 | ||
| Fwd PE | 58.18 |
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 | 56.94 | ||
| EV/EBITDA | 3579.08 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
A more expensive valuation may be justified as DDOG's earnings are expected to grow with 17.54% in the coming years.
PEG (NY)5.15
PEG (5Y)N/A
EPS Next 2Y15.15%
EPS Next 3Y17.54%
5. Dividend
5.1 Amount
DDOG does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
140.39
+2.1 (+1.52%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners93.52%
Inst Owner Change4.02%
Ins Owners0.86%
Ins Owner Change-7.13%
Market Cap49.23B
Revenue(TTM)3.21B
Net Income(TTM)106.77M
Analysts82.31
Price Target217.22 (54.73%)
Short Float %3.04%
Short Ratio2.21
Dividend
| Industry Rank | Sector 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)11.88%
Min EPS beat(2)7.9%
Max EPS beat(2)15.86%
EPS beat(4)4
Avg EPS beat(4)9.6%
Min EPS beat(4)4.55%
Max EPS beat(4)15.86%
EPS beat(8)8
Avg EPS beat(8)14.14%
EPS beat(12)12
Avg EPS beat(12)18.03%
EPS beat(16)16
Avg EPS beat(16)29.87%
Revenue beat(2)2
Avg Revenue beat(2)2.14%
Min Revenue beat(2)1.82%
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)1.54%
Revenue beat(12)11
Avg Revenue beat(12)1.48%
Revenue beat(16)15
Avg Revenue beat(16)2.57%
PT rev (1m)28.12%
PT rev (3m)32.11%
EPS NQ rev (1m)-0.63%
EPS NQ rev (3m)20.61%
EPS NY rev (1m)10.52%
EPS NY rev (3m)10.72%
Revenue NQ rev (1m)0.1%
Revenue NQ rev (3m)3.32%
Revenue NY rev (1m)1.89%
Revenue NY rev (3m)1.92%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 71.63 | ||
| Fwd PE | 58.18 | ||
| P/S | 15.33 | ||
| P/FCF | 56.94 | ||
| P/OCF | 49.81 | ||
| P/B | 14.31 | ||
| P/tB | 17.02 | ||
| EV/EBITDA | 3579.08 |
EPS(TTM)1.96
EY1.4%
EPS(NY)2.41
Fwd EY1.72%
FCF(TTM)2.47
FCFY1.76%
OCF(TTM)2.82
OCFY2.01%
SpS9.16
BVpS9.81
TBVpS8.25
PEG (NY)5.15
PEG (5Y)N/A
Graham Number20.8
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.76% | ||
| ROE | 3.1% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | 3.32% | ||
| GM | 79.94% | ||
| FCFM | 26.92% |
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
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 3Y1.52%
GM growth 5Y1.37%
F-Score4
Asset Turnover0.53
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.29 | ||
| Debt/FCF | 1.14 | ||
| Debt/EBITDA | 82.78 | ||
| Cap/Depr | 225.47% | ||
| Cap/Sales | 3.85% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | 8328.09% | ||
| Profit Quality | 809.86% | ||
| Current Ratio | 3.66 | ||
| Quick Ratio | 3.66 | ||
| Altman-Z | 12.53 |
F-Score4
WACC10.87%
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)4.26%
EPS 3Y54.87%
EPS 5YN/A
EPS Q2Q%19.57%
EPS Next Y13.92%
EPS Next 2Y15.15%
EPS Next 3Y17.54%
EPS Next 5Y19.92%
Revenue 1Y (TTM)26.63%
Revenue growth 3Y37.67%
Revenue growth 5Y49.22%
Sales Q2Q%28.35%
Revenue Next Year27.45%
Revenue Next 2Y24.18%
Revenue Next 3Y23.07%
Revenue Next 5Y21.44%
EBIT growth 1Y-159.15%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year23.72%
EBIT Next 3Y24.32%
EBIT Next 5Y22.11%
FCF growth 1Y75.57%
FCF growth 3Y45.72%
FCF growth 5Y295.6%
OCF growth 1Y78.36%
OCF growth 3Y44.84%
OCF growth 5Y104.74%
DATADOG INC - CLASS A / DDOG FAQ
What is the ChartMill fundamental rating of DATADOG INC - CLASS A (DDOG) stock?
ChartMill assigns a fundamental rating of 5 / 10 to DDOG.
What is the valuation status for 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 financial health of DATADOG INC - CLASS A (DDOG) stock?
The financial health rating of DATADOG INC - CLASS A (DDOG) is 7 / 10.