Datadog, the Technology sector company, was revisited by a Wall Street analyst yesterday. Analyst Andrew Sherman from TD Cowen reiterated a Buy rating on the stock and has a $190.00 price target.
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Andrew Sherman has given his Buy rating due to a combination of factors tied to Datadog’s growth, positioning, and valuation. He anticipates another quarter of revenue outperformance and guidance increases, supported by accelerating core growth, expanding AI-native customers such as Anthropic, and rising observability budgets as enterprises modernize and adopt AI.
Sherman also highlights robust sales headcount expansion, which he views as a leading indicator of sustained growth into 2026, and notes positive partner feedback on Datadog’s observability and logs offerings. With the stock down year-to-date yet trading at what he considers an appealing multiple for a market-leading, AI-levered infrastructure platform growing in the mid‑20% range at multi‑billion‑dollar scale, he reiterates a Buy rating despite slightly trimming the price target on sector multiple compression.
In another report released yesterday, Mizuho Securities also maintained a Buy rating on the stock with a $145.00 price target.