DATADOG INC - CLASS A (1DDOG.MI) Stock Fundamental Analysis
Europe - Euronext Milan - BIT:1DDOG - US23804L1035 - Common Stock
117.78 EUR
+15.92 (+15.63%)
We assign a fundamental rating of 5 out of 10 to 1DDOG. 1DDOG was compared to 114 industry peers in the Software industry. No worries on liquidiy or solvency for 1DDOG as it has an excellent financial health rating, but there are worries on the profitability. 1DDOG shows excellent growth, but is valued quite expensive already.
1. Profitability
1.1 Basic Checks
- In the past year 1DDOG was profitable.
- In the past year 1DDOG had a positive cash flow from operations.
- The reported net income has been mixed in the past 5 years: 1DDOG reported negative net income in multiple years.
- In the past 5 years 1DDOG always reported a positive cash flow from operatings.
1.2 Ratios
- The Return On Assets of 1DDOG (1.76%) is comparable to the rest of the industry.
- Looking at the Return On Equity, with a value of 3.10%, 1DDOG is in line with its industry, outperforming 44.74% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.76% | ||
| ROE | 3.1% | ||
| ROIC | N/A |
ROA(3y)0.91%
ROA(5y)0.11%
ROE(3y)1.87%
ROE(5y)0.21%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
- 1DDOG has a Profit Margin of 3.32%. This is comparable to the rest of the industry: 1DDOG outperforms 46.49% of its industry peers.
- 1DDOG has a Gross Margin of 79.94%. This is in the better half of the industry: 1DDOG outperforms 66.67% of its industry peers.
- 1DDOG's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | 3.32% | ||
| GM | 79.94% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.52%
GM growth 5Y1.37%
2. Health
2.1 Basic Checks
- 1DDOG does not have a ROIC to compare to the WACC, probably because it is not profitable.
- The number of shares outstanding for 1DDOG has been increased compared to 1 year ago.
- The number of shares outstanding for 1DDOG has been increased compared to 5 years ago.
- The debt/assets ratio for 1DDOG is higher compared to a year ago.
2.2 Solvency
- An Altman-Z score of 12.58 indicates that 1DDOG is not in any danger for bankruptcy at the moment.
- 1DDOG's Altman-Z score of 12.58 is amongst the best of the industry. 1DDOG outperforms 93.86% of its industry peers.
- The Debt to FCF ratio of 1DDOG is 1.14, which is an excellent value as it means it would take 1DDOG, only 1.14 years of fcf income to pay off all of its debts.
- 1DDOG has a better Debt to FCF ratio (1.14) than 75.44% of its industry peers.
- 1DDOG has a Debt/Equity ratio of 0.29. This is a healthy value indicating a solid balance between debt and equity.
- Looking at the Debt to Equity ratio, with a value of 0.29, 1DDOG is in line with its industry, outperforming 46.49% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.29 | ||
| Debt/FCF | 1.14 | ||
| Altman-Z | 12.58 |
ROIC/WACCN/A
WACC11.07%
2.3 Liquidity
- A Current Ratio of 3.66 indicates that 1DDOG has no problem at all paying its short term obligations.
- The Current ratio of 1DDOG (3.66) is better than 86.84% of its industry peers.
- 1DDOG has a Quick Ratio of 3.66. This indicates that 1DDOG is financially healthy and has no problem in meeting its short term obligations.
- The Quick ratio of 1DDOG (3.66) is better than 86.84% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.66 | ||
| Quick Ratio | 3.66 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an nice 10.73% over the past year.
- The Earnings Per Share has been growing by 54.87% on average over the past years. This is a very strong growth
- 1DDOG shows a strong growth in Revenue. In the last year, the Revenue has grown by 26.63%.
- The Revenue has been growing by 49.22% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)10.73%
EPS 3Y54.87%
EPS 5YN/A
EPS Q2Q%19.57%
Revenue 1Y (TTM)26.63%
Revenue growth 3Y37.67%
Revenue growth 5Y49.22%
Sales Q2Q%28.35%
3.2 Future
- Based on estimates for the next years, 1DDOG will show a quite strong growth in Earnings Per Share. The EPS will grow by 19.92% on average per year.
- Based on estimates for the next years, 1DDOG will show a very strong growth in Revenue. The Revenue will grow by 21.44% on average per year.
EPS Next Y13.9%
EPS Next 2Y14.99%
EPS Next 3Y17.31%
EPS Next 5Y19.92%
Revenue Next Year27.52%
Revenue Next 2Y24.25%
Revenue Next 3Y22.99%
Revenue Next 5Y21.44%
3.3 Evolution
- Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
- The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 71.82, the valuation of 1DDOG can be described as expensive.
- 1DDOG's Price/Earnings ratio is in line with the industry average.
- When comparing the Price/Earnings ratio of 1DDOG to the average of the S&P500 Index (28.60), we can say 1DDOG is valued expensively.
- A Price/Forward Earnings ratio of 58.61 indicates a quite expensive valuation of 1DDOG.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of 1DDOG is on the same level as its industry peers.
- The average S&P500 Price/Forward Earnings ratio is at 25.83. 1DDOG is valued rather expensively when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 71.82 | ||
| Fwd PE | 58.61 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, 1DDOG is valued a bit more expensive than the industry average as 75.44% of the companies are valued more cheaply.
- 1DDOG's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 57.2 | ||
| EV/EBITDA | 3597.98 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates 1DDOG does not grow enough to justify the current Price/Earnings ratio.
- 1DDOG's earnings are expected to grow with 17.31% in the coming years. This may justify a more expensive valuation.
PEG (NY)5.17
PEG (5Y)N/A
EPS Next 2Y14.99%
EPS Next 3Y17.31%
5. Dividend
5.1 Amount
- No dividends for 1DDOG!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
DATADOG INC - CLASS A / 1DDOG.MI FAQ
What is the fundamental rating for 1DDOG stock?
ChartMill assigns a fundamental rating of 5 / 10 to 1DDOG.MI.
What is the valuation status of DATADOG INC - CLASS A (1DDOG.MI) stock?
ChartMill assigns a valuation rating of 1 / 10 to DATADOG INC - CLASS A (1DDOG.MI). This can be considered as Overvalued.
How profitable is DATADOG INC - CLASS A (1DDOG.MI) stock?
DATADOG INC - CLASS A (1DDOG.MI) has a profitability rating of 3 / 10.
Can you provide the expected EPS growth for 1DDOG stock?
The Earnings per Share (EPS) of DATADOG INC - CLASS A (1DDOG.MI) is expected to grow by 13.9% in the next year.