Shares of Datadog (DDOG -4.84%) fell on Tuesday, down as much as 6.3%, before recovering slightly to a 4.1% decline as of 12:51 p.m. ET.Today's sell-off was caused by a negative analyst note, which posited Datadog's growth rate could take a big step down this year due to the loss of its largest customer, AI disruptor OpenAI, which is reportedly building its own observability software tools in-house. OpenAI may look to cut out DatadogSince the COVID-19 pandemic, Datadog has emerged as a disruptive winner in ...

A bullish new analyst note was the news item rallying Datadog (DDOG 4.18%) stock on hump day. The stock ended the trading session more than 4% higher in price as a result, which looked especially good when placed against the S&P 500 index's marginal decline.Top of its classWednesday morning, Bank of America Securities pundit Koji Ikeda flagged Datadog as being the bank's top pick in the observability software segment. To emphasize this he raised his price target on the stock to $150 per share from his previ ...

Group 1: Earnings Performance - Companies such as Birkenstock, Cisco Systems, and Dynatrace reported earnings that exceeded expectations, leading to increased investor confidence [1][16] - Birkenstock's fiscal Q2 2025 earnings showed a sales growth of over 18% year-over-year and an adjusted operating margin increase of 140 basis points [5] - Cisco Systems reported an 11% sales growth and increased its full-year revenue and earnings expectations, with AI infrastructure orders reaching $600 million [8][9] Group 2: Analyst Reactions and Price Targets - Following the earnings reports, analysts raised price targets for Birkenstock, with an average target of $72 per share, indicating a potential upside of 28% from its May 19 closing price [6] - Cisco's average price target among analysts was updated to just under $70 per share, suggesting a nearly 10% upside from its recent closing price [10] - Dynatrace's average price target was set at over $62, implying a potential rise of nearly 16% from its May 19 closing price [15] Group 3: Market Sentiment and Future Outlook - The strong fundamentals demonstrated by these companies in uncertain market conditions highlight their potential for future growth and profitability [16] - Analysts believe that the market's re-evaluation of these stocks may be in the early stages, especially if broader market sentiment continues to improve [16]