Datadog Stock Earns Overdue Upgrade

More bullish brokerage notes could boost DDOG to new multi-year highs

Datadog Inc (NASDAQ:DDOG) stock is on the rise today, after an upgrade from Stifel to “buy” from “hold.” The brokerage threw in a lofty price-target hike as well, upping its price objective to $140 from $98, territory not seen since May 2022.

At last glance, Datadog stock was up 1.4% to trade at $115.91, earlier reaching as high as $117.47. Today’s pop has the stock nearing its Nov. 30 52-week high of $120.26, which the equity closed after an impressive November rally. The shares are up 57.5% since the start of the year, with $115 — the area of DDOG’s previous 52-week highs back in July — now stepping up as a possible floor. 

There is still plenty of room for more bull notes, as 12 of the 39 brokerages in coverage carry a “hold” rating on the stock. Plus, the 12-month consensus price target of $118.53 is roughly in line with current levels. 

Premium can be had for a bargain right now, per Datadog’s Schaeffer’s Volatility Index (SVI) of 39% that ranks in the relatively low 8th percentile of annual readings. This means options traders are pricing in lower-than-usual volatility expectations.

 

 

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