Datadog Inc is a leading cloud monitoring and analytics platform that enables organizations to gain deep visibility into their applications, infrastructure, and services
By providing real-time observability across various environments, Datadog helps businesses monitor performance, troubleshoot issues, and optimize operations. Its comprehensive suite of tools integrates metrics, logs, and traces into a unified platform, allowing teams to collaborate effectively and make data-driven decisions that enhance system reliability and user experience. With a strong focus on simplicity and scalability, Datadog supports companies in navigating the complexities of modern cloud environments.
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Shares of cloud monitoring software company Datadog (NASDAQDDOG)
fell 14.9% in the pre-market session after the company reported disappointing fourth quarter results and provided full-year revenue and EPS guidance below Wall Street's estimates. Despite strong revenue growth of 25% year on year, operating margins shrunk, and the outlook suggests a slowdown in growth. Notably, the guidance implied a 10% y/y decline in net new revenue, and when combined with the weaker margins, could suggest the company is facing stronger competition to find new customers. Overall, this quarter could have been better, and the guidance is weighing on shares.
