Datadog(DDOG) ZACKS·2025-03-14 14:01Core Viewpoint - Datadog has experienced a significant decline in stock performance, with a return of -27.4% over the past month, compared to the S&P 500's -9.6% and the Zacks Internet - Software industry's -18.8% [2] Earnings Estimate Revisions - The current quarter's earnings estimate for Datadog is 1.69, indicating a decline of -7.1% from the previous year, with a significant change of -44.8% in the estimate over the last month [5] - The next fiscal year's consensus earnings estimate is 739.51 million, representing a year-over-year growth of +21% [9] - The sales estimates for the current and next fiscal years are 3.79 billion, indicating growth rates of +18.9% and +18.8%, respectively [9] Last Reported Results and Surprise History - In the last reported quarter, Datadog achieved revenues of 0.49 compared to 711.65 million by +3.67%, and the EPS surprise was +13.95% [11] - Datadog has consistently beaten consensus EPS and revenue estimates in the last four quarters [11] Valuation - Datadog is currently graded F in the Zacks Value Style Score, indicating it is trading at a premium compared to its peers [15] - Valuation multiples such as price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF) are essential for assessing whether the stock is overvalued, fairly valued, or undervalued [13][14] Bottom Line - The current Zacks Rank of 3 suggests that Datadog may perform in line with the broader market in the near term, despite the recent market buzz [16]