DATADOG INC - CLASS A (DDOG) Stock Fundamental Analysis
NASDAQ:DDOG • US23804L1035
125.2 USD
-0.93 (-0.74%)
At close: Feb 13, 2026
125.21 USD
+0.01 (+0.01%)
After Hours: 2/13/2026, 8:02:53 PM
We assign a fundamental rating of 5 out of 10 to DDOG. DDOG was compared to 276 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
- In the past year DDOG was profitable.
- In the past year DDOG had a positive cash flow from operations.
- The reported net income has been mixed in the past 5 years: DDOG reported negative net income in multiple years.
- Each year in the past 5 years DDOG had a positive operating cash flow.
1.2 Ratios
- DDOG has a Return On Assets of 1.62%. This is in the better half of the industry: DDOG outperforms 61.37% of its industry peers.
- DDOG's Return On Equity of 2.89% is fine compared to the rest of the industry. DDOG outperforms 63.18% of its industry peers.
| Industry Rank | Sector 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
1.3 Margins
- Looking at the Profit Margin, with a value of 3.14%, DDOG is in the better half of the industry, outperforming 61.37% of the companies in the same industry.
- DDOG's Gross Margin of 79.96% is amongst the best of the industry. DDOG outperforms 81.23% 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) | 3.14% | ||
| 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%
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
- The debt/assets ratio for DDOG has been reduced compared to a year ago.
2.2 Solvency
- DDOG has an Altman-Z score of 10.26. This indicates that DDOG is financially healthy and has little risk of bankruptcy at the moment.
- With an excellent Altman-Z score value of 10.26, DDOG belongs to the best of the industry, outperforming 92.42% of the companies in the same industry.
- 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 73.65% 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.
- With a Debt to Equity ratio value of 0.26, DDOG perfoms like the industry average, outperforming 40.07% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.26 | ||
| Debt/FCF | 1.08 | ||
| Altman-Z | 10.26 |
ROIC/WACCN/A
WACC10.93%
2.3 Liquidity
- DDOG has a Current Ratio of 3.38. This indicates that DDOG is financially healthy and has no problem in meeting its short term obligations.
- Looking at the Current ratio, with a value of 3.38, DDOG is in the better half of the industry, outperforming 77.98% of the companies in the same industry.
- DDOG has a Quick Ratio of 3.38. This indicates that DDOG is financially healthy and has no problem in meeting its short term obligations.
- DDOG has a Quick ratio of 3.38. This is in the better half of the industry: DDOG outperforms 78.34% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.38 | ||
| Quick Ratio | 3.38 |
3. Growth
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.
- The Earnings Per Share has been growing by 56.42% on average over the past years. This is a very strong growth
- DDOG shows a strong growth in Revenue. In the last year, the Revenue has grown by 27.68%.
- Measured over the past years, DDOG shows a very strong growth in Revenue. The Revenue has been growing by 41.53% on average per year.
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 Year21.21%
Revenue Next 2Y20.75%
Revenue Next 3Y21.07%
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
- A Price/Earnings ratio of 60.78 indicates a quite expensive valuation of DDOG.
- The rest of the industry has a similar Price/Earnings ratio as DDOG.
- DDOG's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 26.68.
- Based on the Price/Forward Earnings ratio of 51.92, the valuation of DDOG can be described as expensive.
- The rest of the industry has a similar Price/Forward Earnings ratio as DDOG.
- The average S&P500 Price/Forward Earnings ratio is at 28.06. DDOG is valued rather expensively when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 60.78 | ||
| Fwd PE | 51.92 |
4.2 Price Multiples
- DDOG's Enterprise Value to EBITDA is on the same level as the industry average.
- DDOG's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 48 | ||
| EV/EBITDA | 2848.77 |
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.
- DDOG's earnings are expected to grow with 22.33% in the coming years. This may justify a more expensive valuation.
PEG (NY)3.56
PEG (5Y)1.08
EPS Next 2Y19.52%
EPS Next 3Y22.33%
5. Dividend
5.1 Amount
- DDOG does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
125.2
-0.93 (-0.74%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)02-10 2026-02-10/bmo
Earnings (Next)05-04 2026-05-04/bmo
Inst Owners93.36%
Inst Owner Change-90.83%
Ins Owners0.82%
Ins Owner Change14.04%
Market Cap43.90B
Revenue(TTM)3.43B
Net Income(TTM)107.74M
Analysts83.02
Price Target198.63 (58.65%)
Short Float %2.69%
Short Ratio1.86
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)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)-9.19%
PT rev (3m)17.16%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0.27%
EPS NY rev (1m)-0.07%
EPS NY rev (3m)7.8%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.37%
Revenue NY rev (1m)0.12%
Revenue NY rev (3m)3.3%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 60.78 | ||
| Fwd PE | 51.92 | ||
| P/S | 12.81 | ||
| P/FCF | 48 | ||
| P/OCF | 41.81 | ||
| P/B | 11.76 | ||
| P/tB | 13.78 | ||
| EV/EBITDA | 2848.77 |
EPS(TTM)2.06
EY1.65%
EPS(NY)2.41
Fwd EY1.93%
FCF(TTM)2.61
FCFY2.08%
OCF(TTM)2.99
OCFY2.39%
SpS9.77
BVpS10.64
TBVpS9.09
PEG (NY)3.56
PEG (5Y)1.08
Graham Number22.21
Profitability
| Industry Rank | Sector 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 Rank | Sector 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 | 10.26 |
F-Score6
WACC10.93%
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 Year21.21%
Revenue Next 2Y20.75%
Revenue Next 3Y21.07%
Revenue Next 5Y19.64%
EBIT growth 1Y-179.21%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year35.31%
EBIT Next 3Y32.65%
EBIT Next 5Y23.73%
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.