Wall Street Maintains a Positive Outlook on Datadog, Inc. (DDOG)

Datadog, Inc. (NASDAQ:DDOG) is one of the Best SaaS Stocks to Buy Right Now. Wall Street maintains a positive outlook on Datadog, Inc. (NASDAQ:DDOG) despite a 21.49% decrease in share price over the past month. Analysts’ 12 month price target reflects more than 46% upside from the current level.

Recently, on December 3, Datadog, Inc. (NASDAQ:DDOG) announced the expansion of its partnership with AWS and also launched a series of products at AWS re:Invent. Management unveiled more than a dozen new product features across AI observability, storage costs, serverless infrastructure, and security. The company already integrates more than 1,000 services, including 100 AWS-specific features, allowing customers a single pane view. Some of the key features highlighted at re:Invent include LLM Observability, New Kiro powers, and Bits AI enhancements, among others.

​That said, earlier on November 24, William Power from Robert W.Braid reiterated a Buy rating on Datadog, Inc. (NASDAQ:DDOG) with a $220 price target. The analyst noted that the company’s share price has fallen mainly due to concerns regarding its competitor’s acquisition of Chronosphere. William Power argues that the company’s strategic position in the observability market remains strong, driven by its recent contract extensions from AI players.

Power remains optimistic regarding Datadog, Inc.’s (NASDAQ:DDOG) growth trajectory and finds the recent weakness in the share price to be a buying opportunity.

​Datadog, Inc. (NASDAQ:DDOG) integrates monitoring, logging, application performance insights, and AI-driven tools through its unified SaaS platform. The company helps organizations manage and secure complex cloud environments in real time.

While we acknowledge the potential of DDOG to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than DDOG and that has 100x upside potential, check out our report about this cheapest AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.