Datadog, Inc. (NASDAQ:
DDOG) is one of the stocks that made it to our list of
top 10 newsworthy upgrades and downgrades. On June 12, Wolfe Research upgraded the company’s stock to “Outperform” with a price objective of $150. As per the firm, the company seems to be better positioned to benefit from increased demand for AI-related tools than was thought earlier. The upgrade comes after Datadog, Inc. (NASDAQ:DDOG)’s DASH user conference, where the firm analysts stated that customer feedback and new product announcements hinted at improved sentiments.
A close-up of a laptop with a software engineer coding on the monitor.
The survey of Datadog, Inc. (NASDAQ:DDOG)’s customers revealed that while there are some optimization pressures, these are roughly in line with last year and are being offset by higher usage and platform consolidation. The firm mentioned new partnerships and product updates, which include AI-focused tools, as signs that Datadog, Inc. (NASDAQ:DDOG) continues to expand offerings over and above the core monitoring and observability software. Overall, the firm opines that Datadog, Inc. (NASDAQ:DDOG)’s stock looks more attractive given the revised growth outlook.
The company announced new agentic AI monitoring and experimentation capabilities to provide companies with end-to-end visibility, rigorous testing capabilities, and centralized governance of in-house and third-party AI agents.
Datadog, Inc. (NASDAQ:DDOG) operates an observability and security platform for cloud applications.
While we acknowledge the potential of DDOG to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than DDOG and that has 100x upside potential, check out our report about this
cheapest AI stock.
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Disclosure: None.
