What smart money is saying about Datadog Inc
DDOG · Technology · Software - Application · Market cap $54.87B
3 funds in our archive have pitched Datadog Inc, most recently Vision Capital Fund in September 2026.
Company profile
Datadog, Inc. offers a comprehensive cloud-based monitoring and analytics solution, serving the needs of developers, IT operations personnel, and business stakeholders across North America and internationally. This Software-as-a-Service (SaaS) offering skillfully combines and automates several crucial functions, including infrastructure oversight, application performance tracking, log management, and security surveillance, all designed to deliver live, end-to-end visibility into its customers' technology environments. Additionally, the platform extends its capabilities to include user experience monitoring, network performance analytics, robust cloud security measures, specialized observability tools for developers, and efficient incident response management. It also comes equipped with standard features like configurable dashboards, sophisticated analytical tools, collaborative features, and proactive alert systems. The company was founded in 2010 and is based in New York, New York.
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Fund signal · last 12 months
22 lettersFunds are split between buying and selling
−2
Net flow
4 buys · 2 new positions · 40%6 sells · 1 full exit
Moves described in fund letters in our archive. A sentence published word for word by several funds of one house in the same quarter counts once.
Position history
Between Q4 2024 and Q3 2026, 28 fund letters reported a position in Datadog Inc, with 5 buys (opened or added) and 6 sells (trimmed or exited).
| Quarter | Letters | Bought | Sold | Theses |
|---|---|---|---|---|
| Q3 2026 | 6 | 1 | 2 | 1 |
| Q2 2026 | 14 | 2 | 4 | 0 |
| Q1 2026 | 2 | 1 | 0 | 0 |
| Q3 2025 | 1 | 0 | 0 | 1 |
| Q2 2025 | 3 | 1 | 0 | 0 |
| Q1 2025 | 2 | 0 | 0 | 0 |
| Q4 2024 | 0 | 0 | 0 | 1 |
Bought and Sold count moves: the same sentence published by several funds of one house in a quarter counts once.
Fund activity · 28 positions · 15 moves
- New positionVision Capital FundSeptember 2026
“New Fund Write-ups: Datadog (DDOG) and Alphabet (GOOGL) Datadog (DDOG) We added a new position in Datadog (DDOG) this quarter (see memo).”
Datadog Inc - September 2026
“We trimmed our positions in Datadog Inc and Palo Alto Networks Inc during the quarter supported by our upside/downside valuation analyses.”
Datadog Inc - September 2026
Listed in Buffalo funds Mid Cap Growth Fund’s reported holdings.
Datadog Inc - September 2026
Listed in Buffalo funds Mid Cap Discovery Fund’s reported holdings.
Datadog Inc - September 2026
“We exited the consumption-priced software positions initiated in June, Datadog, CrowdStrike and MongoDB, as the sell-off opened wider gaps elsewhere,”
Datadog Inc - September 2026
“Trading activity When the market offers world class franchises back at material discounts to where you sold them weeks earlier, while their earnings power strengthens, sitting still is the greater risk. Three months ago the Fund's activity told the quarter's story better than its contributor tables, and it did so again. In June we had rebuilt Apple from c.1% of the Fund to c.8.7%. This quarter, as Apple rose and the semiconductor complex fell, we reversed the trade, selling almost all of Apple after a strong run, and almost all of Amazon, and putting the proceeds into the companies that had fallen furthest: memory, optics and semiconductors. We rebuilt Kioxia and Arm at discounts of c.55% and c.40% to the prices at which we had sold them in June, doubled our holdings in Micron and SK hynix, and substantially increased Credo, Ibiden, Astera Labs and Elite Material. TSMC, which grew second quarter revenue 34% to $40.2 billion, became the Fund's second largest position after Nvidia. We also initiated SpaceX, Intel and Cerebras, and returned to Ciena and Lasertec. Intel, a position we opened in mid September, was among our largest omissions three months ago. Its second quarter made the case for owning it: revenue rose 25% to $16.1 billion, which management called its fastest growth in more than fifteen years, with server processors up 59% at a 40% operating margin and non-GAAP gross margin at 41.8%. Output on its 18A process ran c.25% above target, and Intel says it is the first company to ship a high volume product made with ASML's High-NA EUV lithography, the newest generation of chipmaking scanners. Agentic AI, in which software agents carry out multistep tasks, is the driver: the work around each accelerator runs on CPUs, and on figures Intel cites the ratio is moving from c.one CPU for every four GPUs in training towards one to one. The test still ahead is the foundry, where external revenue remains small and the next process needs a committed outside customer. We exited the consumption-priced software positions initiated in June, Datadog, CrowdStrike and MongoDB, as the sell-off opened wider gaps elsewhere, and sold Alibaba after a strong recovery, and BYD as described above.”
Datadog Inc - TrimmedBaron Opportunity FundJune 2026
“Top net sales for the quarter Quarter End Market Cap or Market Cap When Sold ($B) Net Amount Sold ($M) CoStar Group, Inc. 13.1 15.3 ServiceNow, Inc. 91.0 10.5 Datadog, Inc. 92.7 7.9 Zscaler, Inc. 19.0 6.8 Via Transportation, Inc. 1.4 5.5 We exited our position in ServiceNow, Inc. , which was a successful long-term investment for the Fund, and redeployed the capital into the software and digital services names discussed in the Review and Outlook section above. We trimmed our Datadog, Inc. position to a lower portfolio weight after the stock rose 121% in the second quarter.”
Datadog Inc - June 2026
“Forgent Power Solutions, Inc. is a leading manufacturer of electrical distribution equipment used in data centers, the power grid, and industrial applications. Forgent is a low- and medium- voltage equipment specialist focused on custom, “engineered-to- order” products (over 90% of revenue) whereas larger competitors in the industry generally focus more on higher voltage and standard products. The stock rose during the quarter as it continued to deliver very strong financial results reflecting improving demand for its products amidst the broader data points on AI infrastructure and grid buildout continuing to point to strong growth for the next several years. Forgent is gaining share with its ability to offer customized products at industry-leading lead times and is still just scratching the surface of its opportunity having sold very little directly to the biggest customers in the market. The company has invested heavily in capacity and people to support future growth, and we see many strong years of growth and margin expansion ahead as it grows from an approximate $1.2 billion revenue run- rate currently into its $5 billion manufacturing footprint.6 Shares of Datadog, Inc. outperformed during the quarter as results confirmed the company is emerging as a structural beneficiary of the AI buildout.”
Datadog Inc - HoldsBaron SMID Cap ETFJune 2026
“Top contributors to performance for the quarter Contribution to Return (%) Forgent Power Solutions, Inc. 1.78 Datadog, Inc. 1.58 Coherent Corp. 1.57 Rubrik, Inc. 1.42 Lattice Semiconductor Corporation 1.31 Forgent Power Solutions, Inc. is a leading manufacturer of electrical distribution equipment used in data centers, the power grid, and industrial applications. Forgent is a low- and medium-voltage equipment specialist focused on custom, “engineered-to-order” products (over 90% of revenue) whereas larger competitors in the industry generally focus more on higher voltage and standard products. The stock rose during the quarter as it continued to deliver very strong financial results reflecting improving demand for its products amidst the broader data points on AI infrastructure and grid buildout continuing to point to strong growth for the next several years. Forgent is gaining share with its ability to offer customized products at industry-leading lead times and is still just scratching the surface of its opportunity having sold very little directly to the biggest customers in the market. The company has invested heavily in capacity and people to support future growth, and we see many strong years of growth and margin expansion ahead as it grows from an approximate $1.2 billion revenue run-rate currently into its $5 billion manufacturing footprint. Shares of Datadog, Inc. outperformed during the quarter as results confirmed the company is emerging as a structural beneficiary of the AI buildout.”
Datadog Inc - June 2026
Listed in Baron Fifth Avenue Growth Fund’s reported holdings.
Datadog Inc - TrimmedBaron Technology ETFJune 2026
“We trimmed our positions in Datadog, Inc. and Lumentum Holdings Inc. following meaningful appreciation in both stocks that, in our view, left near-term upside more limited relative to our other holdings.”
Datadog Inc - TrimmedBaron Opportunity StrategyJune 2026
“Top net sales for the quarter Net Amount Sold ($M) CoStar Group, Inc. 15.3 ServiceNow, Inc. 10.5 Datadog, Inc. 7.9 Zscaler, Inc. 6.8 Via Transportation, Inc. 5.5 We exited our position in ServiceNow, Inc., which was a successful long-term investment for the Strategy, and redeployed the capital into the software and digital services names discussed in the Review and Outlook section above. We trimmed our Datadog, Inc. position to a lower portfolio weight after the stock rose 121% in the second quarter.”
Datadog Inc - June 2026
“Observability and cloud monitoring platform Datadog, Inc. contributed to performance with the stock up 120.7% during the quarter after reporting its strongest results in years.”
Datadog Inc - June 2026
“From a stock specific perspective, the Fund’s 26.7% gain was driven by 32 contributors against 10 detractors. It is tempting to describe it as SpaceX and everything else, but it would not be correct and would not do the quarter justice. Taiwan Semiconductor (TSMC), ASML, Nebius, NVIDIA, Forgent, and Amazon contributed over 100bps each to absolute returns, while Datadog and CrowdStrike contributed over 200bps each. 24 of our holdings outperformed the double-digit returns of the Index, with 14 investments contributing between 20bps and 100bps each. 15 of our holdings appreciated over 30% during the quarter. CrowdStrike, Forgent, Snowflake, BillionToOne, and ASML each gained over 50%, while Datadog, which we have owned since its IPO in 2019 more than doubled (up 121.7%) and Nebius, which we bought just last quarter, was up a cool 166.2%.”
Datadog Inc - TrimmedBaron Technology StrategyJune 2026
“Top net sales for the quarter Net Amount Sold ($M) NVIDIA Corporation 7.5 Solaris Energy Infrastructure, Inc. 3.0 Amazon.com, Inc. 2.8 Datadog, Inc. 2.2 Lumentum Holdings Inc. 2.0 We trimmed our position in NVIDIA Corporation, which had grown to represent an outsized share of the Strategy. The trim was a function of portfolio construction discipline rather than any change in our fundamental view — we remain strong believers in NVIDIA's long-term positioning as the dominant platform for AI compute. A portion of the proceeds was redeployed to add exposure to AMD and to memory semiconductor names, where we viewed as compelling risk/reward. We exited our position in Solaris Energy Infrastructure, Inc., which we discussed as a new position in our first quarter letter. The position accreted faster than we expected following our purchase, and after the stock's move, we concluded the remaining upside was more limited relative to other opportunities in the portfolio. We sold the position during the quarter and redeployed the proceeds elsewhere. We trimmed our position in Amazon.com, Inc. to add to Alphabet Inc., where we see a more compelling near-term risk/reward. We trimmed our positions in Datadog, Inc. and Lumentum Holdings Inc. following meaningful appreciation in both stocks that, in our view, left near-term upside more limited relative to our other holdings.”
Datadog Inc - June 2026
“The Strategy owns both Datadog—a position we added to during the first quarter's software selloff—and Lattice Semiconductor.”
Datadog Inc - June 2026
“Palo Alto Networks Inc and Datadog Inc also contributed meaningfully, reinforcing the importance of the portfolio changes made earlier in the year. We initiated Palo Alto Networks Inc during the first quarter, attracted by its leadership in cybersecurity and its ability to consolidate multiple security capabilities within a unified platform. During the second quarter, shares benefited from stronger execution and improving confidence in the company’s platform strategy. We believe Datadog Inc also performed well following strong results and better-than- consensus-expected forward guidance, supported by accelerating demand from both AI-native customers and traditional enterprises migrating workloads to the cloud.”
Datadog Inc - June 2026
“During the first quarter, we added to both Datadog Inc and Snowflake Inc on the broad software sell-off. Based on the strong stock performance during the second quarter, we trimmed both positions on valuation.”
Datadog Inc - New positionLiontrust Global Technology FundJune 2026
“software derated on AI disruption fears where we judge the economics intact: we roughly doubled Palantir, more than doubled Cadence, and initiated Datadog, CrowdStrike and MongoDB, consumption priced infrastructure software whose workloads (observability, security, data) multiply as agents proliferate.”
Datadog Inc - New positionLiontrust GF Global Technology FundJune 2026
“We roughly doubled Palantir, more than doubled Cadence, and initiated Datadog, CrowdStrike and MongoDB, consumption priced infrastructure software whose workloads (observability, security, data) multiply as agents proliferate.”
Datadog Inc - March 2026
“Within software, we sold Dynatrace during the quarter while continuing to build out our Datadog Inc. (DDOG) position, as the latter company is simply proving the more effective, faster growing observability solution with particular strength among AI-native customers.”
Datadog Inc - March 2026
“Datadog, which monitors the AI infrastructure being built by hyperscalers and enterprises alike, reported 32% revenue growth, accelerating from 29% last quarter, with new logo bookings setting an all-time record.”
Datadog Inc - September 2025
Listed in Brown Capital Small Company Fund’s reported holdings.
Datadog Inc - June 2025
“If Sector % of Portfolio Holding % of Portfolio Technology 29.26% AppLovin Corp. Class A 4.31% Financial Services 15.98% Palantir Technologies Inc. Class A 3.99% Consumer Discretionary 15.65% Natera, Inc. 2.78% Health Care 15.58% Ameriprise Financial, Inc. 2.47% Producer Durables 14.02% Datadog, Inc. Class A 2.44%”
Datadog Inc - June 2025
“Outside of the trades associated with the name swaps, we also made a number of strategic trims and adds to optimize existing position sizes in response to attractive price dynamics, including redeploying capital raised from partial sells of our positions in Intuit, ServiceNow and Uber on strength in order to fund incremental additions to Marvell, Datadog, and Chipotle on relative weakness.”
Datadog Inc - June 2025
Listed in Brown Advisory US Mid Cap Growth Fund’s reported holdings.
Datadog Inc - HoldsTouchstone Sands Capital Select Growth FundMarch 2025
“Among the top individual absolute detractors were AppLovin Corp., NVIDIA Corp., ServiceNow Inc., Datadog Inc. (all Information Technology sector), and Amazon.com Inc. (Consumer Discretionary sector).”
Datadog Inc - March 2025
“Datadog, a cloud observability platform, detracted as cautious guidance and potential customer insourcing of monitoring functions spooked investors.”
Datadog Inc
Also mentioned · 2
These funds discuss Datadog Inc as a competitor, benchmark or comparable, without disclosing a position in it.
- June 2026
“In particular, stock selection in the communication services, health care and industrials sectors, overweights to the communication services and materials sectors and an underweight to the IT sector weighed on results. On the positive side, stock selection in the IT, consumer discretionary and consumer staples sectors, along with an underweight to consumer staples, contributed to performance. On an individual stock basis, the largest relative detractors included Netflix and Intuitive Surgical as well as not holding Advanced Micro Devices, Lam Research and KLA. The largest relative contributors were Palo Alto Networks, ASML, Taiwan Semiconductor Manufacturing, Datadog and an underweight to Microsoft.”
Datadog Inc - June 2026
“On an individual stock basis, the biggest detractors from returns included L3Harris Technologies, Autodesk and TJX Companies as well as not owning Astera Labs and Datadog.”
Datadog Inc
Fund coverage · 3 theses
- Vision Capital FundSeptember 2026
Datadog is positioned as a leading AI-powered observability platform with sticky expansion dynamics and strong growth.
Read the full thesis - Clearbridge Large Cap Growth StrategySeptember 2025
Datadog is a leading provider of monitoring and observability solutions for cloud applications, poised for strong revenue growth above 20% driven by increasing complexity in applications and the emerging market for large language model observability.
Read the full thesis - Parnassus Growth Equity FundDecember 2024
Datadog is poised for significant growth due to its market leadership, strong product suite, innovative capabilities, and exceptional management, despite current misinterpretations of cyclical IT spending challenges.
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