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BNP Paribas (OTC:BNPQY) Exane has reiterated an outperform rating and $150.00 price target on Datadog (NASDAQ:DDOG) following the company’s DASH 2025 user conference. The firm’s target represents significant upside from the current price of $122.32, though InvestingPro analysis suggests the stock is trading above its Fair Value. The firm maintained its positive outlook after attending the conference and meeting with Datadog CFO David Obstler last week.
During the two-day conference, BNP Paribas Exane spoke with 5 partners and more than 15 customers, noting that many were larger than expected for this type of event. The firm observed that numerous customers are shifting to Datadog for certain Security Information and Event Management (SIEM) capabilities. This customer momentum aligns with the company’s impressive 25.54% revenue growth and industry-leading gross margin of 80.15%.
Customer excitement about Datadog’s Agentic AI capabilities was particularly strong, especially features designed to facilitate Incident Response. The recently released On-call product, which is now generally available, was the most discussed product among customers at the conference.
BNP Paribas Exane indicated that the On-call product could potentially help Datadog gain market share against PagerDuty (NYSE:PD) due to cost savings. The firm noted, "After our investor group meeting with CFO David Obstler last week, we attended Datadog’s DASH 2025 user conference."
The research firm believes Datadog’s pace of innovation will continue to drive market share gains and supports its thesis that revenue growth for the company should accelerate in the future. InvestingPro data reveals 13 additional key insights about Datadog’s financial health and growth prospects, available exclusively to subscribers. This outlook reinforces the firm’s decision to maintain both its outperform rating and $150.00 price target.
In other recent news, Datadog’s recent earnings and revenue results have drawn significant attention from analysts and investors. Wolfe Research upgraded Datadog’s stock rating to Outperform, citing the company’s growing presence in the AI sector and positive developments from its DASH conference. UBS also raised its price target for Datadog to $140, maintaining a Buy rating, after gathering positive customer feedback on new products. However, they noted mixed responses regarding core usage growth. Stifel maintained a Hold rating, acknowledging Datadog’s expansions in generative AI but awaiting more data on core stability. Goldman Sachs expressed confidence in Datadog’s strategic positioning and raised its price target to $138, highlighting the company’s robust AI product roadmap and potential for significant growth. Meanwhile, Citizens JMP reiterated a Market Perform rating, noting Datadog’s stock performance in line with their expectations. These updates underscore a mix of optimism and cautious observation from analysts regarding Datadog’s future trajectory.
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