Price to Earnings (P/E)
since 2019
Calculation
Datadog Inc., P/E, long-term trends, calculation
| P/E | = | Share price1, 2, 3 | ÷ | Earnings per share1 (EPS) | EPS1 | = | Net income (loss)1 (in thousands) |
÷ | No. shares of common stock outstanding2 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|
| Feb 20, 2025 | 235.49 | = | 126.24 | ÷ | 0.54 | 0.54 | = | 183,746 | ÷ | 342,764,016 | |
| Feb 23, 2024 | 884.97 | = | 129.51 | ÷ | 0.15 | 0.15 | = | 48,568 | ÷ | 331,874,107 | |
| Feb 24, 2023 | — | = | 76.67 | ÷ | -0.16 | -0.16 | = | -50,160 | ÷ | 319,892,991 | |
| Feb 25, 2022 | — | = | 161.41 | ÷ | -0.07 | -0.07 | = | -20,745 | ÷ | 313,909,699 | |
| Mar 1, 2021 | — | = | 97.61 | ÷ | -0.08 | -0.08 | = | -24,547 | ÷ | 306,491,775 | |
| Feb 25, 2020 | — | = | 44.31 | ÷ | -0.06 | -0.06 | = | -16,710 | ÷ | 297,073,234 |
Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
1 US$
2 Data adjusted for splits and stock dividends.
3 Closing price as at the filing date of Datadog Inc. Annual Report.
- Share Price
- The share price exhibited significant volatility over the analyzed periods. Starting at $44.31 in February 2020, there was a sharp rise to $97.61 by March 2021. This upward trend continued to a peak of $161.41 in February 2022. However, a notable decline occurred in the following year, with the price dropping to $76.67 by February 2023. Subsequently, the share price rebounded, reaching $129.51 in February 2024 and slightly decreasing to $126.24 in February 2025. Overall, the share price more than doubled from the initial value to the final value despite mid-period fluctuations.
- Earnings Per Share (EPS)
- EPS demonstrated an initial pattern of negative values, indicating losses, with -$0.06 in February 2020, deepening slightly to -$0.08 in March 2021 and marginally improving to -$0.07 in February 2022. A deterioration occurred in February 2023, with EPS declining further to -$0.16, the lowest value observed. A positive turnaround began thereafter, with EPS turning positive at $0.15 in February 2024, followed by a substantial increase to $0.54 by February 2025. This shift from negative to positive EPS reflects a significant improvement in profitability over the last two years.
- Price-to-Earnings (P/E) Ratio
- P/E ratios were not reported for the initial years, likely due to negative EPS values. Beginning in February 2024, the P/E ratio appears at a very high level of 884.97, indicative of elevated market expectations or possible earnings volatility. By February 2025, this ratio decreased substantially to 235.49, although it remains significantly high, suggesting the market continues to assign a premium valuation relative to current earnings.
Comparison to Competitors
Datadog Inc., P/E, long-term trends, comparison to competitors
| Datadog Inc. | Accenture PLC | Adobe Inc. | Cadence Design Systems Inc. | CrowdStrike Holdings Inc. | Fair Isaac Corp. | International Business Machines Corp. | Intuit Inc. | Microsoft Corp. | Oracle Corp. | Palantir Technologies Inc. | Palo Alto Networks Inc. | Salesforce Inc. | ServiceNow Inc. | Synopsys Inc. | Workday Inc. | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Feb 20, 2025 | 235.49 | 31.07 | 31.98 | 67.09 | 892.67 | 99.26 | 39.68 | 58.94 | 35.67 | 37.63 | 632.38 | 42.42 | 71.24 | 146.40 | 33.69 | 50.53 |
| Feb 23, 2024 | 884.97 | 27.81 | 49.64 | 78.64 | — | 54.13 | 22.50 | 64.61 | 33.96 | 38.96 | 246.77 | 170.35 | 879.57 | 90.80 | 70.08 | — |
| Feb 24, 2023 | — | 22.93 | 33.15 | 59.70 | — | 29.67 | 71.56 | 57.31 | 28.34 | 26.85 | — | — | 135.68 | 284.28 | 51.76 | 1,957.29 |
| Feb 25, 2022 | — | 36.58 | 48.90 | 53.88 | — | 27.12 | 19.40 | 75.17 | 35.14 | 15.84 | — | — | 48.20 | 487.70 | 73.37 | — |
| Mar 1, 2021 | — | 28.32 | 41.69 | 62.89 | — | 56.83 | 19.30 | 49.52 | 35.04 | 16.69 | — | — | 1,204.70 | 978.47 | 55.92 | — |
| Feb 25, 2020 | — | 24.58 | 57.17 | 20.22 | — | 49.99 | 13.35 | 48.17 | 26.86 | 16.89 | — | — | 107.70 | 106.89 | 39.55 | — |
Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
Comparison to Sector (Software & Services)
Datadog Inc., P/E, long-term trends, comparison to sector (software & services)
| Datadog Inc. | Software & Services | |
|---|---|---|
| Feb 20, 2025 | 235.49 | 42.01 |
| Feb 23, 2024 | 884.97 | 40.33 |
| Feb 24, 2023 | — | 34.64 |
| Feb 25, 2022 | — | 37.89 |
| Mar 1, 2021 | — | 38.75 |
| Feb 25, 2020 | — | 28.36 |
Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
Comparison to Industry (Information Technology)
Datadog Inc., P/E, long-term trends, comparison to industry (information technology)
| Datadog Inc. | Information Technology | |
|---|---|---|
| Feb 20, 2025 | 235.49 | 45.22 |
| Feb 23, 2024 | 884.97 | 36.08 |
| Feb 24, 2023 | — | 26.90 |
| Feb 25, 2022 | — | 29.73 |
| Mar 1, 2021 | — | 31.25 |
| Feb 25, 2020 | — | 23.31 |
Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).