Key Stats for Datadog Stock
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Current Price:$235.27
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Target Price (Mid):~$733
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Street Target:~$294
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Potential Total Return:~211%
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Annualized IRR:~31% / year
What Happened?
Datadog ( DDOG:NASDAQ )closed at $235.27 on Friday, October 30, down 11.50%, with no company announcement behind the drop. AI spending fears hit tech after Amazon ( AMZN:NASDAQ )and Intel reported, even though Amazon's cloud unit posted its fastest growth in nearly five years , up 39.3%. Snowflake ( SNOW:NYSE ), another cloud software stock, fell more than 7%. StockStory tied the slide to Amazon's and Intel's results and to Alphabet's and ServiceNow's the day before. Datadog reports its third quarter before the open on Wednesday, November 4.
October's Drop Came From the Multiple
Datadog closed September at $273.85, so October took 14.1% off the stock. Analysts' estimates did not fall with it. The next-12-month normalized EPS estimate was about $2.65 on both September 30 and October 30. Consensus revenue for 2026, 2027 and 2028 edged up between TIKR's September 30 and October 31 snapshots. The forward P/E did all the work, falling from around 103 times to around 89 times.
Price targets moved the other way. Wells Fargo raised its target to $325 from $295 on October 28. The Street's mean target rose to around $294 from around $286 at the end of September. That mean now sits about 25% above the stock, up from about 5% a month earlier.
What the October 30 Selloff Skipped
The Upwind question looks settled. TIKR weighed Datadog's reported near-$4 billion offer on October 24. TechCrunch reported on October 28, citing an unnamed person, that Upwind walked away and raised $400 million instead. CTech reported on October 22 that no offer was made, and neither company has confirmed the talks. Either way, a near-$4 billion purchase now looks unlikely.
Datadog's AI demand also extends beyond the big AI labs. At the Goldman Sachs Communacopia + Technology Conference on September 10, CFO David Obstler was asked whether customers were moving AI work in-house rather than calling those labs' APIs. "We're starting to see that in the metric I mentioned on usage," he said, pointing back to activity he had just described in Datadog's AI monitoring products.
The risk sits with Datadog's AI-native customers, which Obstler called "highly growing." If spending fears turn into real budget cuts at those companies, that cohort would slow first.
TIKR tracks 48 analysts on Datadog. How many say "Buy"?See the full breakdown of Buy, Hold, and Sell ratings on Datadog, along with Wall Street's revenue and earnings estimates, all in one place. More than 500,000 investors use TIKR to research stocks like this one. See Datadog's Analyst Ratings
TIKR Advanced Model Analysis
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Current Price:$235.27
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Target Price (Mid):~$733
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Potential Total Return:~211%
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Annualized IRR:~31% / year
The TIKR model's mid case values Datadog at around $733 by December 31, 2030, a total return of around 211%, or around 31% a year over 4.2 years. Across its 2025 to 2035 forecast, the mid case assumes around 21% annual revenue growth and a net income margin near 29%.
On the upside, revenue estimates are still drifting higher rather than lower. On the downside, the low case assumes around 19% annual growth over the same forecast, so an AI-led slowdown below that would undercut every scenario on the card.
Conclusion
Management guided third-quarter revenue to $1.135 billion to $1.145 billion, and consensus sits near the top at about $1.15 billion. The number to watch after November 4 is the 2027 EPS estimate, now about $2.98. A higher number would mean October's selloff priced in a slowdown that has not arrived. A cut would give the lower multiple a reason.
So what is Datadog stock actually worth?
TIKR lets you forecast the future price of any stock in less than a minute. Just enter a few assumptions into TIKR's valuation model and see what Datadogcould be worth. Start from Wall Street consensus estimates, or adjust the inputs to reflect your own view of the business. It's free to use.
