Datadog (DDOG) Q4 Earnings and Revenues Surpass Estimates

Core Viewpoint - Datadog reported quarterly earnings of $0.49 per share, exceeding the Zacks Consensus Estimate of$ 0.43 per share, and showing an increase from $0.44 per share a year ago, indicating a strong performance in the data analytics and cloud monitoring sector [1][2]. Financial Performance - The company achieved revenues of$ 737.73 million for the quarter ended December 2024, surpassing the Zacks Consensus Estimate by 3.67% and reflecting a year-over-year increase from $589.65 million [2]. - Datadog has consistently outperformed consensus EPS estimates over the last four quarters, with an earnings surprise of 13.95% in the latest report [1][2]. Stock Performance - Datadog shares have increased approximately 3.6% since the beginning of the year, outperforming the S&P 500's gain of 2.9% [3]. - The current Zacks Rank for Datadog is 3 (Hold), indicating that the stock is expected to perform in line with the market in the near future [6]. Earnings Outlook - The consensus EPS estimate for the upcoming quarter is$ 0.44, with expected revenues of $734.32 million, and for the current fiscal year, the estimate is$ 1.95 on $3.19 billion in revenues [7]. - The trend of earnings estimate revisions is mixed, which could change following the recent earnings report [6]. Industry Context - The Internet - Software industry, to which Datadog belongs, is currently ranked in the top 30% of over 250 Zacks industries, suggesting a favorable outlook for stocks within this sector [8].