Earnings Review · 06 August 2026
Datadog Reported, A Strong Business That Still Isn’t for a Values-Conscious Book.
The print
Results are in but not yet verified against a primary source in our ledger; this review updates the moment the audited figures land. What does not change is our read below.
Give the business its due
The business itself is genuinely strong: revenue growing about 32%, net margins near 4%, a weak competitive moat.
The valuation lens
Our framework labels the valuation SPECULATIVE. Fair value lands near $182 against a $283 share price, a margin of safety of about -36%. The trailing multiple sits around 708 times earnings, which only makes sense if the growth holds.
The ethical lens, our differentiator
Fails the principled screen, Interest-bearing securities. A strong business is not the same as a suitable one; for a values-conscious book this is a do-not-chase regardless of the print.
The compliant alternative
If the theme is what draws you, Adobe Inc. (ADBE) sits in the same industry (Software – Application) and clears our principled screen, the place to look instead of chasing a name that does not.
The verdict for a values-conscious investor
A beat-and-raise does not change the screen. This is a great company you can admire without owning, protection first. We do not confuse a strong quarter with a suitable holding.
This is analysis, not financial advice. Always manage your risk.