Datadog price target raised to $140 from $125 at UBS on product feedback

Published 11/06/2025, 15:12
Datadog price target raised to $140 from $125 at UBS on product feedback

UBS raised its price target on Datadog (NASDAQ:DDOG) to $140.00 from $125.00 on Wednesday, while maintaining a Buy rating on the cloud monitoring company’s stock. According to InvestingPro data, analyst targets currently range from $115 to $200, with the stock showing impressive gross profit margins of 80%.

The price target adjustment follows UBS analysts’ attendance at Datadog’s annual DASH conference in New York City, where they gathered feedback from six customers about the company’s products and services.

UBS noted that customer feedback on Datadog’s emerging products was positive, and concerns about open source competition appeared limited based on their conversations.

Despite the optimistic view on new offerings, UBS reported "mixed anecdotes on core Datadog usage growth" from the customers they interviewed at the conference.

The firm reaffirmed its Buy rating on Datadog stock, suggesting continued confidence in the company’s overall business trajectory despite the varied feedback on core product usage.

In other recent news, Datadog has made significant strides in expanding its product offerings, particularly in the realm of artificial intelligence. During its annual DASH conference, Datadog unveiled new AI monitoring tools, including AI Agent Monitoring, LLM Experiments, and the AI Agents Console, aimed at enhancing the performance evaluation of AI systems. These tools are designed to give organizations better visibility into AI decision-making processes and improve the return on investment from AI initiatives. Additionally, Datadog introduced AI agents like Bits AI SRE, Dev Agent, and Security Analyst to accelerate incident resolution across development, security, and operations teams.

In terms of financial analysis, Goldman Sachs has raised its price target for Datadog to $138.00, maintaining a Buy rating due to confidence in Datadog’s competitive positioning and robust AI product roadmap. Meanwhile, Stifel has reiterated a Hold rating, observing strong interest in Datadog’s generative AI capabilities but awaiting further data on core stability. Citizens JMP maintained a Market Perform rating, reflecting a neutral stance on the company’s stock performance. These developments highlight Datadog’s ongoing focus on AI innovation and its strategic position in the observability platform market.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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