DATADOG INC - CLASS A (DDOG)
US23804L1035 - Common Stock
Overall DDOG gets a fundamental rating of 5 out of 10. We evaluated DDOG against 276 industry peers in the Software industry. DDOG is in great health and has no worries on liquidiy or solvency at all, but the profibility rating is only average. DDOG is valued quite expensively, but it does show have an excellent growth rating.
1. Profitability
1.1 Basic Checks
DDOG had positive earnings in the past year.
In the past year DDOG had a positive cash flow from operations.
In the past 5 years DDOG reported 4 times negative net income.
In the past 5 years DDOG always reported a positive cash flow from operatings.
1.2 Ratios
With a decent Return On Assets value of 1.23%, DDOG is doing good in the industry, outperforming 71.90% of the companies in the same industry.
Looking at the Return On Equity, with a value of 2.39%, DDOG is in the better half of the industry, outperforming 73.36% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.23% | ||
| ROE | 2.39% | ||
| ROIC | N/A |
ROA(3y)-0.44%
ROA(5y)-0.84%
ROE(3y)-1.05%
ROE(5y)-1.57%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
Looking at the Profit Margin, with a value of 2.28%, DDOG is in the better half of the industry, outperforming 72.26% of the companies in the same industry.
Looking at the Gross Margin, with a value of 80.74%, DDOG belongs to the top of the industry, outperforming 84.67% of the companies in the same industry.
In the last couple of years the Gross Margin of DDOG has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | 2.28% | ||
| GM | 80.74% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.97%
GM growth 5Y1.09%
2. Health
2.1 Basic Checks
DDOG does not have a ROIC to compare to the WACC, probably because it is not profitable.
DDOG has more shares outstanding than it did 1 year ago.
DDOG has more shares outstanding than it did 5 years ago.
The debt/assets ratio for DDOG has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 14.30 indicates that DDOG is not in any danger for bankruptcy at the moment.
With an excellent Altman-Z score value of 14.30, DDOG belongs to the best of the industry, outperforming 93.80% of the companies in the same industry.
DDOG has a debt to FCF ratio of 1.24. This is a very positive value and a sign of high solvency as it would only need 1.24 years to pay back of all of its debts.
DDOG has a Debt to FCF ratio of 1.24. This is in the better half of the industry: DDOG outperforms 74.45% of its industry peers.
DDOG has a Debt/Equity ratio of 0.37. This is a healthy value indicating a solid balance between debt and equity.
With a Debt to Equity ratio value of 0.37, DDOG perfoms like the industry average, outperforming 41.61% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.37 | ||
| Debt/FCF | 1.24 | ||
| Altman-Z | 14.3 |
ROIC/WACCN/A
WACC9.9%
2.3 Liquidity
DDOG has a Current Ratio of 3.17. This indicates that DDOG is financially healthy and has no problem in meeting its short term obligations.
Looking at the Current ratio, with a value of 3.17, DDOG is in the better half of the industry, outperforming 77.01% of the companies in the same industry.
DDOG has a Quick Ratio of 3.17. This indicates that DDOG is financially healthy and has no problem in meeting its short term obligations.
DDOG's Quick ratio of 3.17 is fine compared to the rest of the industry. DDOG outperforms 77.01% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.17 | ||
| Quick Ratio | 3.17 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 69.07% over the past year.
DDOG shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 95.35% yearly.
Looking at the last year, DDOG shows a very strong growth in Revenue. The Revenue has grown by 27.07%.
DDOG shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 60.78% yearly.
EPS 1Y (TTM)69.07%
EPS 3Y95.35%
EPS 5YN/A
EPS growth Q2Q111.54%
Revenue 1Y (TTM)27.07%
Revenue growth 3Y52.21%
Revenue growth 5Y60.78%
Revenue growth Q2Q25.62%
3.2 Future
Based on estimates for the next years, DDOG will show a very strong growth in Earnings Per Share. The EPS will grow by 34.47% on average per year.
DDOG is expected to show a strong growth in Revenue. In the coming years, the Revenue will grow by 27.96% yearly.
EPS Next Y-8.71%
EPS Next 2Y7.35%
EPS Next 3Y15.32%
EPS Next 5Y34.47%
Revenue Next Year22.43%
Revenue Next 2Y22.86%
Revenue Next 3Y25.17%
Revenue Next 5Y27.96%
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
The Price/Earnings ratio is 77.48, which means the current valuation is very expensive for DDOG.
The rest of the industry has a similar Price/Earnings ratio as DDOG.
When comparing the Price/Earnings ratio of DDOG to the average of the S&P500 Index (25.25), we can say DDOG is valued expensively.
A Price/Forward Earnings ratio of 84.87 indicates a quite expensive valuation of DDOG.
DDOG's Price/Forward Earnings is on the same level as the industry average.
DDOG's Price/Forward Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 21.67.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 77.48 | ||
| Fwd PE | 84.87 |
4.2 Price Multiples
DDOG's Enterprise Value to EBITDA ratio is in line with the industry average.
DDOG's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 70.57 | ||
| EV/EBITDA | 3440.39 |
4.3 Compensation for Growth
A more expensive valuation may be justified as DDOG's earnings are expected to grow with 15.32% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y7.35%
EPS Next 3Y15.32%
5. Dividend
5.1 Amount
DDOG does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
DATADOG INC - CLASS A
NASDAQ:DDOG (4/24/2024, 5:33:16 PM)
After market: 125.1 -1.97 (-1.55%)127.07
+0.63 (+0.5%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
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Market Cap42.17B
Analysts
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Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)
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Surprises & Revisions
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Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 77.48 | ||
| Fwd PE | 84.87 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
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FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.23% | ||
| ROE | 2.39% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | N/A | ||
| PM (TTM) | 2.28% | ||
| GM | 80.74% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
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ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.54
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.37 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 3.17 | ||
| Quick Ratio | 3.17 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)69.07%
EPS 3Y95.35%
EPS 5Y
EPS growth Q2Q
EPS Next Y-8.71%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)27.07%
Revenue growth 3Y52.21%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
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EBIT growth 3Y
EBIT growth 5Y
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