Datadog director Shah Shardul sells $997,947 in stock

Published 19/11/2024, 22:54
Datadog director Shah Shardul sells $997,947 in stock

NEW YORK—Shah Shardul, a director at Datadog, Inc. (NASDAQ:DDOG), recently sold shares totaling approximately $997,947, according to a filing with the Securities and Exchange Commission. The transactions took place on November 15, 2024, involving the sale of Class A common stock at prices ranging from $125.52 to $128.45 per share.

The sales were conducted under a 10b5-1 trading plan, which allows company insiders to set up a predetermined plan to sell stocks. Following these transactions, Shardul retains ownership of 443,617 shares in the company through the 2019 Shah Family Trust.

In other recent news, Datadog, a cloud-based monitoring and analytics platform, has seen a wave of positive analyst adjustments. TD Cowen maintained a Buy rating on Datadog's shares, highlighting the company's significant market opportunities and strong cloud leverage. CMB International Securities initiated a Buy rating as well, forecasting a 24% compound annual growth rate in revenue from 2023 to 2026.

BMO Capital Markets, Needham, Rosenblatt, and Barclays (LON:BARC) all raised their price targets following Datadog's recent earnings report. The report revealed a 26% year-over-year revenue increase, reaching $690 million. The company added about 2,400 new customers, with 3,490 customers contributing over $100,000 in annual recurring revenue, accounting for 88% of the total.

Analysts from TD Cowen, CMB International Securities, and BMO Capital Markets expressed confidence in Datadog's growth trajectory and its ability to capitalize on its market position. Despite potential short-term challenges, the long-term outlook for Datadog remains positive with strategic benefits expected from artificial intelligence and market consolidation. These are all recent developments that investors should consider.

InvestingPro Insights

As Datadog's director Shah Shardul executes a significant stock sale, investors may be keen to understand the broader financial context of the company. According to InvestingPro data, Datadog boasts a substantial market capitalization of $45.41 billion, reflecting its strong position in the cloud monitoring and analytics space.

Despite the recent insider sale, Datadog's financial health appears robust. An InvestingPro Tip highlights that the company holds more cash than debt on its balance sheet, indicating financial stability. This solid financial footing is further supported by the fact that Datadog's liquid assets exceed its short-term obligations, providing a cushion for operational flexibility.

The company's growth trajectory remains positive, with revenue growing by 26.3% over the last twelve months to $2.54 billion. This growth is complemented by impressive gross profit margins of 81.24%, showcasing Datadog's ability to maintain pricing power in a competitive market.

While Datadog's P/E ratio stands at a lofty 229.39, indicating a premium valuation, it's worth noting that the PEG ratio is a more modest 0.39. This suggests that the company's current valuation may be justified by its expected earnings growth. In fact, another InvestingPro Tip reveals that net income is expected to grow this year, which could further support the stock's valuation.

For investors seeking a deeper dive into Datadog's prospects, InvestingPro offers 13 additional tips that could provide valuable insights into the company's financial health and market position.

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

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers
© 2007-2025 - Fusion Media Limited. All Rights Reserved.