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Datadog, Inc
(NASDAQ:DDOG)
Datadog, Inc

Datadog, Inc. provides monitoring and analytics platform for developers, information technology operations teams, and business users in the cloud in North America and internationally. The company's SaaS platform integrates and automates infrastructure monitoring, application performance monitoring, log management, and security monitoring to provide real-time observability of customers technology stack. Its platform also provides user experience a...
Founded: 2010
IPO date: 2019-09-19
IPO price: $27
Full Time Employees: 3,100
CEO / Co-Founder: Olivier Pomel 
CFO: David Obstler 
CTO: Alexis Lê-Quôc 
Sector: Technology
Industry: Software-Application
Next Earnings Date: 2023-02-09
Stock price: $74.69 (-4.2%)
This is how I used mongodb on my website
By: ssmlee04 Community Lead :))   💬 98   
   on Nov 29, 2022

I remember years ago when I was learning how to create websites, the first thing I used to start a local webserver and webpage was xampp or LAMP stack (php, Apache, MySQL,.. etc). With those stacks you can type a few commands in your terminal to have a website running in no time. As time goes by I had more exposure to different technologies like MEAN stack (mongodb, Angular, ...etc) or Meteor and I get to learn about the all kinds of technologies and frameworks and about their strength and weaknesses. But regardless of stacks you would always be in a situation when you need some sort of persistent storage to store your data. And it turns out mongodb would very often find its way into most of my development workflows and become a big part of the projects.

https://i.imgur.com/1OpKADZ.png

So, what’s special about mongodb? Not much. But at the same time it's just something that works. It's so well-known in open-source and is relatively fast to read and write, to scale, to deploy and maintain when compared to many other db technologies. If you can find developers who know how to write a couple of lines of code and click on a few buttons to deploy a small mongodb cluster and have applications talk to it, it would be fairly easy for companies to onboard engineers and create applications on them and go from there. And that suits my personal project really really well.

Imagine with a couple of lines of code in node.js you can create a table and start to talk to your database.

var mongoose = require('mongoose');
var Schema = mongoose.Schema;

var TickerSchema = new Schema({
  ticker: {
    type: String,
  },
});

const Ticker = mongoose.model('Ticker', TickerSchema);
const data = await Ticker.findOne({ ticker: "AAPL" }).exec();

This is very similar to what the actual code would look like. And it is what makes your life easy as a developer. Pretty cool isn't it?

To start some small mongodb machines you can simply spin up machines on AWS ($amzn) and copy some scripts from the internet, and with a bit of configuration you would have a small cluster of mongodb running with basic infrastructure setup. I also have scripts to backup the db to S3 and restore the database if I had to. And occasionally I would see the database grow to disk space limit or crash so that I would need to ssh into the machine to do something about it.

It's doable but it's not worry-free. For a period of time I had this constant fear that my db would go away and I would lost them forever when I go to sleep. And then I discovered there are fully-managed solutions such as Mongodb Atlas.

So there's a company called MongoDB Inc that takes this open-source mongodb and bundles it into a cloud service called MongoDB Atlas. Atlas is a cloud database service that helps you deal with the complexities of running a database. Without Atlas, you would be hosting VMs, deal with the maintenance overheads yourself. But this is really not good time spent for most companies when it costs so much to hire a dev in 2022. Imagine with a few extra bucks a month you wouldn't need developers for this and can focus on developing your application itself. Keep in mind, for faang, it costs like 200k-400k easily to hire a dev.

Starting a database cluster in Atlas is free and it's as easy as a mouse click.

https://i.imgur.com/ixDXNNC.png

https://i.imgur.com/PtuUCQY.png

https://i.imgur.com/W7Xt9OL.png

And with a few extra clicks and $$ you can also have integrations like datadog $ddog or pagerduty $pd.

Atlas charges you based on compute and storage. Compute means how fast your database can process requests. Storage is about how much disk space that's allocated to your db and how often you can do your backups. This is actually not a bad idea, because for most companies that's growing and uses Atlas they would have more applications running every quarter. This means your data, number of databases and collections, your size and duration of backups would only go up normally. Can you go back to hosting VMs yourself and do bare-metal mongodb? You can't because it wouldn't make much sense to justify hiring extra engineers to do the heavy-lifting of running a database. That just won't work anymore, at least not without scale.

There's also no reason you cannot use other db technologies like ElasticSearch or Cassandra. It's just databases is not something you can switch easily. When you have an industry of people who know how mongodb works, have products running based on it, and then that makes switching to something else costly. In addition, if you decide to migrate away from it, you'll have to worry about consistency and many other things. So unless mongodb becomes a bottleneck of your application it’s usually difficult to justify moving away from it.

$mdb


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insiders are buying
By: bahnhopf Ich bin gut   💬 25   
   on Nov 14, 2022

Some company insider have been buying for two days. It’s a good news for this one. $ddog


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Datadog Partners with Microsoft for the Azure Cloud Adoption Framework
By: ssmlee04 Community Lead :))   💬 98   
   on Mar 31, 2022

https://investors.datadoghq.com/news-releases/news-release-details/datadog-partners-microsoft-azure-cloud-adoption-framework

Datadog, Inc. (NASDAQ: DDOG), the monitoring and security platform for cloud applications, today announced its status as a Microsoft partner within the Azure Cloud Adoption Framework.

$msft $ddog


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Datadog Announces Global Strategic Partnership with AWS for Observability and Security
By: ssmlee04 Community Lead :))   💬 98   
   on Jan 06, 2022

https://investors.datadoghq.com/news-releases/news-release-details/datadog-announces-global-strategic-partnership-aws-observability

the monitoring and security platform for cloud applications, today announced a global strategic partnership with Amazon Web Services, Inc. (AWS). As part of this collaboration, AWS and Datadog will work together to develop and deliver tighter product alignment in the future.
After enabling a one-click integration, Datadog pulls metrics and tags from more than 70 AWS services to give customers a comprehensive view of their entire infrastructure, including key technologies such as AWS Lambda and Amazon Elastic Kubernetes Service (Amazon EKS). 

Datadog price is up 5% in after-hour trading.

$amzn $ddog


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Annual Changes to the Nasdaq-100 Index®
By: ssmlee04 Community Lead :))   💬 98   
   on Dec 11, 2021

https://www.globenewswire.com/news-release/2021/12/11/2350269/6948/en/Annual-Changes-to-the-Nasdaq-100-Index.html

The following six companies will be added to the Index: Airbnb, Inc. (Nasdaq: ABNB), Fortinet, Inc. (Nasdaq: FTNT), Palo Alto Networks, Inc. (Nasdaq: PANW), Lucid Group, Inc. (Nasdaq: LCID), Zscaler, Inc. (Nasdaq: ZS), Datadog, Inc. (Nasdaq: DDOG).

This should lift the stock prices of those companies in the short term. $ABNB, $FTFT, $PANW, $LCID, $ZS, $DDOG


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Twilio delivers surprise adjusted profit as revenue growth accelerates, stock up 10%
By: ssmlee04 Community Lead :))   💬 98   
   on Feb 18, 2021

https://www.cnbc.com/2021/02/17/twilio-delivers-surprise-adjusted-profit-as-revenue-growth-accelerates.html

In my opinion the reason why it is up is very simple: the valuation of Twilio when compared to $ddog or $crwd or $net or $okta is simply way cheaper. Take Datadog for example both of them growth their revenue in the 60% yoy area but dog has p/s ratio of 60 while Twilio is 43. That means Twilio is easily 30-40% cheaper for the same level of growth. Same thing for $okta, it is growing around 40% yoy and it has a p/s ratio of 48, which again means Okta is easily 20-30% more expensive than Twilio for the same level of growth.

Market is honestly not very efficient these days. There are just a lot of hidden jewels for you to pick up. Twilio has been cheaper in that sense compare to those companies since Marh 2020 dip and maybe that's why Twilio is up 6x while datadog is only up 3.5x since and Okta is only up 3x since. But whether or not you can hold it thru the rally is another story.


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Datadog
By: ssmlee04 Community Lead :))   💬 98   
   on Feb 03, 2021

Great company with consistent growth over 60% yoy. Also the chart is showing a breakout pattern this is something to pay attention to. long $ddog


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2020 SaaS review
By: ssmlee04 Community Lead :))   💬 98   
   on Jan 03, 2021

2020 is an interesting year for SaaS companies. Some of them went public and gained huge success in the stock market. Some of them continued their rally from 2016-2019 and have another great year. Some of them have greater success than the others because of their business models in the work-from-home environment. And there's a common thing for those SaaS companies, that is: those companies probably developed something people want.

The following is a list of the top 15 SaaS performers in our database in the last 250 days as of December 31, 2020. https://i.imgur.com/xL1w2F2.jpg

Some of the companies here are getting a lot of attention this year. Terminologies like Zoom Fatigue even appeared in the second quarter. It seems everyone was talking about Zoom at some point. And that's reasonable because Zoom is the clear winner in this video conferencing space. They keep your company operational by providing you a smooth video call user experience for your employees and your clients. There are literally companies built on top of Zoom calls that provide you remote journey experiences, and they do great because of Zoom and Covid.

https://i.imgur.com/KWx3Ea2.png

Cybersecurity is also something to worry about for companies in 2020. Intuitively, when companies are working remotely it would be harder for companies to safeguard their infrastructure. That's when companies like CrowdStrike or Zscalar or Okta come into play. Okta help companies manage their employees' access identities. Zscalar and CrowdStrike protect your web infrastructure using technologies to derive insights from your data and protect your infrastructure in real-time or near real-time.

Also when a lot of people are working remotely you'd expect Internet usage to go up. Cloudflare is a CDN company that help websites serve their requests fast. Fastly is also doing similar things in the video CDN space and helps companies like TikTok serve their videos. And as more people spend more time on their mobile devices those companies also do well. And to support those web requests you need companies like Twilio to send you SMS messages or phone calls, without Twilio you might not even able to login to your apps.

Also when people are staying at home people have more time to get creative. So maybe people start selling stuff on Shopify or Etsy or Pinterest or create websites on Wix. And at the same time, you have marketing companies like Facebook or TradeDesk or Digital Turbine to help you advertise your stuff on mobile devices. The success stories for those SaaS companies are inter-connected.

There are many other interesting SaaS companies that are not mentioned above. They are not in the top 15 maybe because they're not directly related to the stay-at-home trend, but that doesn't mean they're less interesting. As a software engineer, I have to use application monitoring services, database services, image compression and processing services, mailing services... and many others. This is what makes a modern software company functional. And as long as your company is growing you would continue to add and look for the best services for your company. And when more companies are becoming software companies I can imagine those SaaS companies to have a great future ahead.

A few things in common here for the companies on the list:

  • They grow REALLY fast. A lot of the companies on the list are growing 40-80% a year.
  • They all have really high gross profit margins.
  • They're traded at a very high valuation. A lot of them have a p/s ratio of 40-60.
  • The majority of them are losing money.
  • They don't pay dividends.

A possible explanation is that there are no clear winners in the space they're operating in, so they're doing whatever it takes to make sure they win in the long run. And of course that means they cannot afford to pay dividends. Also they're all traded at astronomical levels of valuations maybe because they have high profit margins, and the future for those companies are expected to be good.

Take DocuSign for example. They're one of the pioneers in e-signature. But e-signature is some sort of niche market. You may come up with another e-signature solution with a small team but by the time you have the solution in place you might already be spending millions achieving zero revenue while DocuSign might grow revenue another 40%. In the end there's just not enough market share for you to survive. So it would not be a good idea to copy DocuSign business model, this makes DocuSign (and all the SaaS companies) unique in a way.

If you look back at Amazon anytime in the past 20 years you'll see it's always traded at high multiples. It is still traded at high multiples today but would anyone complain that Amazon is too expensive? Probably not. Because now we know Amazon is dominating in any spaces they're operating in, we just couldn't see it 20 years ago. So maybe there's a correction between winning and being expensive and that's why all the cloud stocks are expensive because there's a chance all of them are dominating in their space in the next 5-10 years.

But, of course, being expensive does not mean the company would be successful eventually. But if you want to look for something good in the next 5-10 years there's a chance it's on the list but you just don't know it yet.

$ZS $DBX $ZUO $AYX $DOCU $SMAR $DOMO $SVMK $AVLR $TTD $PCOM $NOW $WDAY $PD $WORK $ZEN $TEAM $VEEV $CLDR $SHOP $FSLY $TWLO $ADBE $AAXN $CRM $OKTA $GOOG $DT $ZM $SPLK $WIX $COUP $MDLA $LPSN $APPN $EPAY $AKAM $APPS $FIVN $BL $PANW $PFPT $CRWD $DDOG $NET $HUBS $NEWR $APPF $RNG $ESTC $BILL $GDDY $DCT $ECOM $PLAN $SNOW $SUMO $FROG $ASAN $JAMF $ADSK


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Application monitoring and analytics space are trending
By: ssmlee04 Community Lead :))   💬 98   
   on Dec 17, 2020

This is the top 15 SAAS stocks by 1 day performance with market cap over 1 billion.

https://i.imgur.com/a7z4jrD.jpg

Application monitoring and analytics space are trending today. It could simply be because this sector is going to be really profitable. Many of those companies have high gross profit margins, some of them even have gross profit margins over 80%. And many of them are growing 40% - 80% a year consistently.

It's also a space with heavy competition at the same time. $dt and $ddog for example you can log some information about your infrastructure like cpu or memory usage and put them on a dashboard so your software team can monitor them and do something about your infrastructure. $pd calls you when your server crashes. $sumo and $estc helps you do logging and log searching efficiently. And you need them if you are a modern software company. So the demand for those services can only go high if their clients grow.

Software are meant to scale easily so that when you write it once you can run it in many places without too much extra costs. Also, intuitively, when you have more software companies in the future you need more tools to monitor your software infrastructure. That's why those services would continue to be good in the long run. And that's a reasonable and inevitable future that we're heading.

$DT $ESTC $AYX $SUMO $DDOG $PD


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Top 15 SaaS stocks with market cap over 1b today
By: ssmlee04 Community Lead :))   💬 98   
   on Dec 05, 2020

https://i.imgur.com/tDxDnL6.jpg

$PD calls you when your server crashes. $Sumo does logging for your code. $ESTC does search for your logs and other stuff. $NET does CDN, $DDOG does application monitoring.

They and other similar services are all required for a modern software company to run.


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Datadog and Microsoft Announce Strategic Partnership
By: ssmlee04 Community Lead :))   💬 98   
   on Oct 01, 2020

https://www.businesswire.com/news/home/20200930005672/en/Datadog-and-Microsoft-Announce-Strategic-Partnership

$DDOG $MSFT


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Dash 2020 Keynote
By: ssmlee04 Community Lead :))   💬 98   
   on Aug 13, 2020

https://www.youtube.com/watch?v=HJWaoJgxM0U

https://www.youtube.com/watch?v=HJWaoJgxM0U

$DDOG


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Signs of the market topping
By: ssmlee04 Community Lead :))   💬 98   
   on Aug 08, 2020

There are signs of the market topping this week. A few signs I am looking at are $GRPN, $CVNA, $JMIA, $STMP, and high growth names $TDOC, $TWLO, $DDOG lead me to believe this market is due for big corrections. So I trimmed my positions greatly this week.

Jumia ($JMIA) rallied 400% in less than a month (July 7, 2020 to Aug 4, 2020) and on Aug 3 alone their price jumped 35%. Bear in mind that their price dropped 95% from high of $48.00 to $2.15 within a year. Generally, for a company with a great future, the share price would not drop 95%. People are saying this company going to be Amazon in Africa and but I can't see that happening to be honest. If there's going to be an Amazon in Africa it's going to be Amazon. Also when you go to forums everywhere even forums in Taiwan you can see people talking about $JMIA. This shows how speculative the market is.

Carvana ($CVNA) is a company that tries to sell you a car in a vending machine. They announced their earnings on Aug 6 and they missed both their revenue and earnings estimate. And then the stock price jumped 28%. If you ask people do you want to buy a car from Tesla or from a vending machine I'm sure the majority of people would choose the first one. So why is the price up significantly on misses? No one knows, not even the investment banks.

https://i.imgur.com/y9iYTB7.jpg

Stamps.com ($STMP) offers you postage solutions. They gave good earnings numbers and on Aug 7 their price went up 18%. They're up now because of the COVID situation that helps many small businesses to facilitate their e-commerce solutions. But this is a company that does not have a good future. Maybe their company is undervalued now but once this COVID thing goes away their stock price would drop greatly because they simply do not have paths forward from here.

Groupon is another service that is getting less and less traction. And on Aug 7, 2020 their price jumped 50%. The same argument with the stamps.com rally I do not think this is sustainable.

Now let's take a look at growth companies. A lot of interesting things happen this week. Companies like $DDOG, $TDOC, and $TWLO announced their earnings or mergers and those are really good news for the company. They beat the consensus estimates and raise their guidance and is going to dominate whatever their do in their space. And their price drops regardless. Teladoc merged with Livongo so in the future you do not need to go to a hospital with minor symptoms. Do they have a good future ahead? The answer is very likely yes. Same for DataDog and Twilio they continue to be the dominant player in their niche so before their crash their price was already up 1000% in a few years. So maybe all the good things is already priced in and now it's time for corrections to happen.

What does it mean when the best things in the market like $TDOC, $DDOG, $TWLO that continues to grow at 40-70% per quarter gets beat and when companies do not have a future to rally? That's a sure sign something is off with the market. I do not see myself as part of the market.

$QQQ $DIA


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Datadog Second Quarter Results
By: ssmlee04 Community Lead :))   💬 98   
   on Aug 07, 2020

Q2 revenue growth is 68% yoy, which is greater than the consensus estimate. Q3 guidance is $143-145m revenue which is also greater than $140.3m consensus. They also acquired Undefined Labs that gives them opportunity to tap into ci/cd workflows. Congrats on the great results with great execution.

The after hour price is dropping about 15% so maybe people are looking for more in the financial results. Their previous quarter revenue growth are in 80%-90% yoy so 68% seems to be a steep drop. But bear in mind that we're still in the middle of a once in a lifetime pandemic so 68% is really quite an accomplishment. If this pulls back more that might be really good opportunities for people to buy.

Their calculations on q3 is based on weighted average number of shares of 333 million weighted average number of shares. So this means they're probably going to issue another 150 million shares of stock. That would create great downward pressure on their stocks in the short term for sure. But they're probably gonna do ok in the long run.

I'd be sitting on the sidelines watching this one but be prepared to get in when the price is right. $DDOG


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Market turmoil early today
By: ssmlee04 Community Lead :))   💬 98   
   on Feb 21, 2020

There's a minor crash this morning. A lot of the tech stock dropped 5-10% in a short period of time but ended up only down a little. Tesla $TSLA was at a point down 6% and narrows the losses to 2% at close. $SPCE was up 10% in early trading session and quickly after 11:00am it plummeted to -10%, but it ended up closing only -0.19%. $CRWD and $DDOG and many great growth names are also down 6-10% before closing down only 2-3%. So if you panic during early session then you would not be doing well.

There are no news whatsoever to justify the crash. The only explanation is we're in a bull market for too long and market is very tense now. Anything happening in the market would cause some profit taking to happen.

The lesson is when you're in a bull market you shouldn't panic. If you're selling in early session then you would have a hard time buying them back. But since we're in the 10th year of the bull market anyone should have an exit plan just in case actual crash happens. But is it going to happen before the election? We'll see.

https://i.imgur.com/mKkNJ11.png


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DDOG opinion and observations
By: ssmlee04 Community Lead :))   💬 98   
   on Feb 15, 2020

Great company. Revenue growth is again 8x% yoy. Net income is 0.03 per share. Now it's a profitable software company! This is very impressive.

Next quarter revenue guidance is 117 - 119 million. That's around a revenue growth of 118 / 70, which is around 70%. It's very impressive how you can grow so fast and so consistently. The revenue growth chart is basically a parabolic in the past 3-4 years.

The forward P/E ratio is around 46 / 0.03 / 4 ~ 383.333333333. It's a bit high indeed so I'd still watch out if it ever pulls back.

long $DDOG


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Things that I do in since late December 2019
By: ssmlee04 Community Lead :))   💬 98   
   on Feb 06, 2020

December 2019 and January 2020 has been good to me. I was able to snatch a fast 20% in Canopy, 20% in Occidental Petroleum and around 30% in Datadog. I am usually not this lucky so I am convinced that we must be in a bull market.

I try to stay away from the market and do not trade as much as possible because what I learn in the past is the more I trade the more likely I will make a mistake. Also, I'd be paying for more commissions. This is also true for me in my Canopy trade.

I was in Canopy around $14.8 and left around $18. I think the future of cannabis industry is good and people wouldn't mind spending a bit of money on weed as they do for alcohol and tobacco. That's what my colleagues do every Friday. But since there's no evidence that the government would help them achieve economy of scale and compete with US cannabis companies I am a bit worried that they would be burning their money just like Aurora did. So even if they have 2b cash at hand I still don't feel comfortable holding this long term. Also, they have an inter-rim CEO for so long and there's no guarantee they would find a good CEO and continue running this business. So I decided maybe I'll take a 20% profit and go. And then the next Monday Canopy just announced they would have a new CEO and replace the interim CEO. But I was already out of Canopy and hasn't got in since. We will see if it ever drops to $18 again and maybe I'll buy a little bit. $CGC

Occidental Petroleum $OXY is a stock recommendation from a friend. Buffett backed their acquisition for 10b earlier 2019. In my opinion if your average price is lower than or equal to Buffett's average price you should be OK. Got in around $38 and luckily sold around $47. I didn't want to sell it because I have no reason to believe it would drop. But I ended up switching them to Shake shack $SHAK which is a good burger company in the states. I didn't profit on Shak shake but ended up avoiding the 20% drop in OXY in the next while.

I am also in Datadog for a while. The trading in this ticker has also been choppy. DD is a service that I had to use to monitor my software infrastructure. It's easy to use service to draw some time-series data for you to virtualize how your infrastructure does. I was in this since near IPO and buy and took stop loss a few times but the last time I got in is around $35. Earnings would arrive in a few days and let's see how this would play out. $DDOG

I also go in twice on $APT because I am convinced the coronavirus is going to be bad. This was at a point look like a spanish-flu like event so I was convinced and bought a bit of this mask making company. I tried to buy ficial masks on Amazon but they're all sold out so I decided maybe buying a mask company isn't the worst idea. I ended up around break even. Now it all looks like a hype only.

January has been interesting so far, let's see how it goes in February. Currently, I am looking at bill.com. I find their service interesting and possibly sticky. It also did great since the IPO. Does anyone know what do they do?


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Why Is Datadog Stock Up About 20% Over The Last Month?
By: earningsfly lazy guy   💬 2   
   on Dec 15, 2019

https://www.forbes.com/sites/greatspeculations/2019/12/04/why-is-datadog-stock-up-about-20-over-the-last-month/#24fd93864dd0

$DDOG


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Datadog lockup provision
By: istanbul Traveler   💬 7   
   on Dec 09, 2019

https://twitter.com/LesliePicker/status/1203059047186018304

Datadog lockup provision says it has to close above 35.91 so that they can issue more shares. $DDOG


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Datadog
By: ssmlee04 Community Lead :))   💬 98   
   on Nov 12, 2019

https://finance.yahoo.com/news/datadog-announces-third-quarter-2019-211000884.html

Price +15% afterhour. It's strange the price can dip to 29 or 27 and then go to 40 immediately after the earnings report. $DDOG


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