Datadog stock tumbles 16% despite 36% revenue growth

finance.yahoo.com

Datadog stock fell about 16% Thursday despite second-quarter revenue surging 36% to $1.12 billion and a raised full-year outlook, as investors demanded faster growth. The company added roughly 170 large customers during the quarter, reaching about 4,720 clients with annual recurring revenue above $100,000. However, third-quarter guidance of $1.135 billion to $1.145 billion implies only 1.8% sequential growth. Shares traded at $240.38, about 23.8% above the GF Value estimate of $194.14, leaving little room for error. Future AI adoption, enterprise spending, and consumption trends remain key catalysts.


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Datadog stock tumbles 16% despite 36% revenue growth | News Minimalist