DATADOG INC - CLASS A (DDOG) Stock Fundamental Analysis

NASDAQ:DDOG • US23804L1035

102.615 USD
-13.05 (-11.28%)
At close: Feb 23, 2026
102.7 USD
+0.09 (+0.08%)
After Hours: 2/23/2026, 8:00:01 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership News
Fundamental Rating

5

We assign a fundamental rating of 5 out of 10 to DDOG. DDOG was compared to 274 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 is valued quite expensive, but it does show an excellent growth.


Dividend Valuation Growth Profitability Health

4

1. Profitability

1.1 Basic Checks

  • DDOG had positive earnings in the past year.
  • 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.
  • DDOG had a positive operating cash flow in each of the past 5 years.
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's Return On Assets of 1.62% is fine compared to the rest of the industry. DDOG outperforms 61.31% of its industry peers.
  • DDOG's Return On Equity of 2.89% is fine compared to the rest of the industry. DDOG outperforms 62.77% 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 60.58% of its industry peers.
  • DDOG has a Gross Margin of 79.96%. This is amongst the best in the industry. DDOG outperforms 80.66% of its industry peers.
  • DDOG's Gross Margin has been stable in the last couple of years.
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. Health

2.1 Basic Checks

  • DDOG does not have a ROIC to compare to the WACC, probably because it is not profitable.
  • DDOG has more shares outstanding than it did 1 year ago.
  • DDOG has more shares outstanding than it did 5 years ago.
  • DDOG has a better debt/assets ratio than last year.
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

  • DDOG has an Altman-Z score of 9.57. This indicates that DDOG is financially healthy and has little risk of bankruptcy at the moment.
  • Looking at the Altman-Z score, with a value of 9.57, DDOG belongs to the top of the industry, outperforming 91.24% 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 74.09% of its industry peers.
  • A Debt/Equity ratio of 0.26 indicates that DDOG is not too dependend on debt financing.
  • With a Debt to Equity ratio value of 0.26, DDOG perfoms like the industry average, outperforming 40.51% of the companies in the same industry.
Industry RankSector Rank
Debt/Equity 0.26
Debt/FCF 1.08
Altman-Z 9.57
ROIC/WACCN/A
WACC11%
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

  • 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.
  • The Current ratio of DDOG (3.38) is better than 78.10% of its industry peers.
  • A Quick Ratio of 3.38 indicates that DDOG has no problem at all paying its short term obligations.
  • DDOG has a better Quick ratio (3.38) than 78.47% of its industry peers.
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. 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.
  • 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!
  • The Revenue has been growing by 41.53% on average over the past years. This is a very strong growth!
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

  • Based on estimates for the next years, DDOG will show a very strong growth in Earnings Per Share. The EPS will grow by 20.52% 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 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.
  • The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in 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. Valuation

4.1 Price/Earnings Ratio

  • Based on the Price/Earnings ratio of 49.81, the valuation of DDOG can be described as expensive.
  • DDOG's Price/Earnings is on the same level as the industry average.
  • Compared to an average S&P500 Price/Earnings ratio of 26.64, DDOG is valued quite expensively.
  • Based on the Price/Forward Earnings ratio of 42.55, the valuation of DDOG can be described as expensive.
  • DDOG's Price/Forward Earnings ratio is in line with the industry average.
  • The average S&P500 Price/Forward Earnings ratio is at 27.75. DDOG is valued rather expensively when compared to this.
Industry RankSector Rank
PE 49.81
Fwd PE 42.55
DDOG Price Earnings VS Forward Price EarningsDDOG Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30 40

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 ratio is in line with the industry average.
Industry RankSector Rank
P/FCF 39.34
EV/EBITDA 2586.51
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 an expensive valuation of the company.
  • DDOG's earnings are expected to grow with 22.33% in the coming years. This may justify a more expensive valuation.
PEG (NY)2.92
PEG (5Y)0.88
EPS Next 2Y19.52%
EPS Next 3Y22.33%

More info and screens

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

0

5. Dividend

5.1 Amount

  • No dividends for DDOG!.
Industry RankSector Rank
Dividend Yield 0%

More info and screens

Find the best dividend stocksShow peers with best dividend

DATADOG INC - CLASS A

NASDAQ:DDOG (2/23/2026, 8:00:01 PM)

After market: 102.7 +0.09 (+0.08%)

102.615

-13.05 (-11.28%)

Chartmill FA Rating
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)02-10
Earnings (Next)05-04
Inst Owners93.36%
Inst Owner Change0.91%
Ins Owners0.82%
Ins Owner Change14.04%
Market Cap35.98B
Revenue(TTM)3.43B
Net Income(TTM)107.74M
Analysts83.02
Price TargetN/A
Short Float %2.89%
Short Ratio1.74
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)-4.49%
PT rev (3m)17.16%
EPS NQ rev (1m)-3.34%
EPS NQ rev (3m)-3.09%
EPS NY rev (1m)0.21%
EPS NY rev (3m)7.8%
Revenue NQ rev (1m)2.65%
Revenue NQ rev (3m)3.03%
Revenue NY rev (1m)0.45%
Revenue NY rev (3m)3.64%
Valuation
Industry RankSector Rank
PE 49.81
Fwd PE 42.55
P/S 10.5
P/FCF 39.34
P/OCF 34.27
P/B 9.64
P/tB 11.29
EV/EBITDA 2586.51
EPS(TTM)2.06
EY2.01%
EPS(NY)2.41
Fwd EY2.35%
FCF(TTM)2.61
FCFY2.54%
OCF(TTM)2.99
OCFY2.92%
SpS9.77
BVpS10.64
TBVpS9.09
PEG (NY)2.92
PEG (5Y)0.88
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 9.57
F-Score6
WACC11%
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 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.