New York, Jan 22, 2026, 08:11 EST — Premarket
- Datadog shares jumped roughly 3% in premarket action following a Stifel upgrade.
- Quarterly results are due Feb. 10, followed by an Investor Day on Feb. 12.
- Traders are focused on 2026 guidance and any hints of strength in cloud spending.
Datadog Inc shares climbed roughly 3% to $127.35 in early trading Thursday, building on a strong rally from Wednesday following Stifel’s upgrade of the software company. The stock closed Wednesday at $123.46, marking a 5.5% gain. (MarketScreener)
The upgrade comes as investors weigh if Datadog can speed up growth again in 2026 without relying heavily on a handful of major factors. Stifel’s recent channel checks suggest “another larger than typical” Q4 beat and described the stock’s valuation as “relatively attractive.” (TipRanks)
Datadog said earlier this week it will release its fourth-quarter and full-year 2025 results before U.S. markets open on Feb. 10, with a conference call scheduled for 8:00 a.m. Eastern. (GlobeNewswire)
Two days after that, the company will hold an Investor Day in New York City beginning at 1:00 p.m. Eastern on Feb. 12, per a separate announcement. (GlobeNewswire)
Stifel lowered its price target on Datadog to $160 from $205 but upgraded the stock to a “buy,” highlighting ongoing debates on Wall Street about how much investors should value software growth in 2026. The firm projects Datadog’s 2026 revenue to hit roughly $4.1 billion and called the implied core growth estimate “conservative.” (TipRanks)
Other firms have updated their models following the print. TD Cowen cut its price target to $200 from $235 but held onto a Buy rating, anticipating a “strong beat” against Datadog’s guidance, which points to about 24% growth. The firm also sees the 2026 revenue forecast of 19%-20% as probable. (TipRanks)
There’s still risk on the downside. Mizuho maintained its Outperform rating but lowered the price target to $170 from $200, citing concerns that worries over AI disruption are squeezing software valuations. The firm also noted that what’s usually a “budget flush” from year-end IT spending appeared more restrained than normal in some reports. (TipRanks)
Datadog offers a subscription platform designed for companies to monitor and troubleshoot their cloud applications and infrastructure. The industry refers to this as “observability,” a term that captures the ability to track system performance in real time and quickly pinpoint issues.
In the upcoming session, all eyes will be on DDOG to see if it can maintain its premarket gains when the Nasdaq bell rings. Investors will also be waiting to see if additional broker notes drop before the company reports earnings on Feb. 10. After that, the Feb. 12 Investor Day stands out as the next key event, with guidance and updates on customer spending expected to drive the stock’s moves.
