TD Cowen analyst Andrew Sherman has maintained their bullish stance on DDOG stock, giving a Buy rating yesterday.
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Andrew Sherman has given his Buy rating due to a combination of factors that indicate a strong performance outlook for Datadog. The company is expected to exceed its guidance with a significant revenue increase, driven by a strong sales headcount and potential reacceleration of core growth. Despite a challenging market setup, the bullish thesis remains unchanged, with expectations of a robust third-quarter performance.
Furthermore, Datadog’s previous quarter showed impressive revenue growth, surpassing expectations, and the company has raised its full-year guidance. The potential for continued growth is supported by increased sales capacity and anticipated improvements in AWS growth, which constitutes a major part of Datadog’s operations. Although there are some investor concerns about future guidance, the overall outlook remains positive, reinforcing the Buy rating.
In another report released yesterday, Robert W. Baird also maintained a Buy rating on the stock with a $150.00 price target.
DDOG’s price has also changed dramatically for the past six months – from $91.880 to $151.170, which is a 64.53% increase.