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Datadog, Inc. DDOG

Technology · Software - Application · United States · S&P 500

63
Profitability
12
Growth
100
Valuation
5
Financial strength
98
Momentum
100

Based on the available data, Datadog, Inc. gets an algorithmic score of 63/100. It trades at 268.56 $, with a bullish technical trend (RSI 67.1) and 70.0% annual volatility.

Updated: 2026-09-30

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Strengths

  • Sustained revenue growth (26.9% compound annual).
  • Low-debt balance sheet.

Weaknesses

  • Low ROE (4.7%).
  • Demanding valuation (P/E 90.3): the market prices in a lot of growth.

Fundamentals

P/E526.59
Forward P/E90.33
PEG1.27
P/B22.07
EV/EBITDA1,118.56
P/S24.31
ROE %4.70
ROA %0.18
Gross margin %79.54
Operating margin %0.67
Net margin %4.48
Revenue growth % (y/y)35.60
Earnings growth % (y/y)1,498.50
Revenue CAGR %26.95
Debt/Equity %29.26
Current ratio3.21
FCF yield %0.95
Dividend yield %0.00
Payout %0.00

Returns

1 month+13.3 %
3 months+3.1 %
6 months+131.9 %
YTD+100.8 %
1 year+93.1 %
3 years+202.6 %
5 years+84.7 %

Risk

1-year volatility70.0 %
Beta1.06
5-year max drawdown-68.1 %
Sharpe 1A1.22

Macroeconomic context

Highly sensitive to interest rates (valued on future cash flows): rate cuts and falling bond yields help it. It depends on the corporate investment cycle (AI/cloud capex), the semiconductor supply chain (Taiwan/China) and the dollar (foreign revenue). As a US company, its valuation depends on the Fed, 10-year Treasury yields and the US earnings cycle.

How the score is calculated

The score combines profitability (ROE, ROA, net margin), growth (revenue and earnings), valuation (P/E, EV/EBITDA, free cash flow), financial strength (debt and liquidity; not applied to banks and insurers) and momentum (6 and 12-month returns and trend). It is an educational quantitative filter, not a buy or sell recommendation.

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