Top 5 Stock Picks of John Hurley’s Cavalry Asset Management

3. Datadog, Inc. (NASDAQ:DDOG)

Cavalry Asset Management’s Stake Value: $67,036,000
Percentage of Cavalry Asset Management’s 13F Portfolio: 6.25%
Number of Hedge Fund Holders: 81

Datadog, Inc. (NASDAQ:DDOG) provides a cloud-based monitoring and analytics platform for programmers, IT operations teams, and business users. Additionally, 81 hedge funds tracked by Insider Monkey reported owning stakes in Datadog, Inc. (NASDAQ:DDOG) as of the second quarter, down from 82 in the previous quarter. The total value of the stakes was over $2.71 billion.

As part of a more significant research note outlining Infrastructure Software Q3 data, Truist analyst Joel Fishbein retained a ‘Buy’ rating on the shares of Datadog, Inc. (NASDAQ:DDOG) and cut his price objective from $155 to $120 on October 26. According to the analyst, despite recent price compression, the importance of enterprise software for companies across all industries has continued to grow.

Cavalry Asset Management started building its position in Datadog, Inc. (NASDAQ:DDOG) during the third quarter of 2019. In Q2 2022, the hedge fund elevated its position in the company by 453%, maintaining a stake worth $67.04 million. Datadog, Inc. (NASDAQ:DDOG) accounted for 6.25% of the hedge fund’s portfolio.

Here is what Baron Funds, an asset management firm, has to say about Datadog, Inc. (NASDAQ:DDOG) in its Q1 2022 investor letter:

“Another example is Datadog, the leading infrastructure monitoring, application performance monitoring and log management software platform. Datadog’s stock declined 15% during the quarter, despite reporting sparkling operational results, with revenues accelerating to a growth rate of 84% year-over-year with 33% free cash flow margins, while guiding for 2022 significantly above expectations. Datadog added 4,600 new customers in the quarter, while existing customers continued to increase their spending on Datadog products at a rapid pace with the number of customers using four or more products increasing to 33% from 22% last year. While Datadog’s stock was down, its intrinsic value has undoubtedly increased. This is enabled by rapid innovation (Datadog released 13 new products in 2021) into a market that is benefiting from the secular growth in cloud, digital transformation, and the explosion in complexity as the number of vendors, diversity of technologies and related infrastructure continued to expand.”

Follow Datadog Inc. (NASDAQ:DDOG)

Follow Datadog Inc. (NASDAQ:DDOG)

---

or

Subscribe with Google

We may use your email to send marketing emails about our services. Click here to read our privacy policy.