Datadog earned analyst upgrades after unveiling AI-focused innovations at its DASH conference, with Wolfe and Needham citing strong growth potential and rising enterprise demand.

Datadog Inc. (DDOG), a provider of monitoring and security platforms for cloud-scale applications, has received positive evaluations from Wall Street analysts following its annual conference, DASH, held in New York on June 9th and 10th.

Wolfe Research upgraded Datadog (DDOG) from ‘Peer Perform’ to ‘Outperform’, setting a new price target of $150, as per TheFly. 

Following the company's DASH conference, the research firm expressed greater optimism about Datadog’s near-term growth potential, particularly in artificial intelligence. It reaffirmed its belief in the company’s “market-leading products” as a key driver of sustained success.

In a note to investors, the brokerage argued that the stock, down 17% so far this year, undervalues Datadog’s strong growth and margin trajectory. 

Datadog recently raised its outlook, projecting 20% year-over-year (YoY) revenue growth for 2025, which places it among the elite tier of “Heavyweight Growth” peers. 

Wolfe’s “upside model” anticipates growth in the mid-20% range for 2025, with annual gains exceeding 20% projected through 2027.

Needham analyst Jack Andrews increased the firm's price target to $140, up from $130, while maintaining a ‘Buy’ rating on the stock. 

In a note to investors, Andrews highlighted the wave of new product rollouts unveiled at the company's recent DASH conference, emphasizing the deep integration of AI across the platform as a key takeaway.

The analyst noted that Needham remains impressed with the company’s rapid innovation cycle and sees Datadog’s evolving platform as a significant factor in securing large enterprise deals and expanding market share.

At its annual conference, Datadog introduced three new AI agents: Bits AI SRE, Dev Agent, and Security Analyst, designed to support development, security, and operations teams with real-time troubleshooting and automated code fixes. 

The company launched its Internal Developer Portal (IDP) at the DASH conference, marking the first developer portal powered by real-time observability data.

On Stocktwits, retail sentiment around Datadog remained in ‘bullish’ territory.

DDOG's Sentiment Meter and Message Volume as of 01:20 p.m. ET on Jun.12, 2025 | Source: Stocktwits

Datadog stock has lost over 13% year-to-date and has gained 3% in the last 12 months.

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