For a little while after its late 2019 IPO, Datadog was the underdog.
Now, Datadog ($NASDAQ:DDOG) is top dog - shares have nearly doubled in a three-month span for the New York-based app monitoring platform, as it saw both social engagement and staffing levels soar to meet new demand spurred by the lockdown.
And, it's likely to continue. Headcount was already on the rise before the Coronavirus outbreak, and kept on growing, to a clip of 34% - and the first half of 2020 isn't even done yet. Neither is Datadog, in all likelihood, in the wake of its big earnings beat.
The cloud monitoring space is “maintaining its already torrid growth rate for the quarter ending March 2020, Needham & Co.’s Jack Andrews wrote in a May note, adding that Datadog has been accelerating customer additions. He has the stock rated a "Buy."
Datadog isn't just getting more love from analysts and shareholders - it's also getting a lot more attention on social media. Just like its LinkedIn Headcount, Datadog was seeing Twitter followers (tracked above) rising in number this year - but the pandemic spurred a completely new trajectory, and its social following is up more than 20% in 2020.
Datadog isn't alone. There are cloud companies, customer service portals and identity security management firms all getting much more usage and much higher valuations as people are increasingly forced to work, transact and conduct much of life's everyday activities remotely. For now, it looks as if this will continue - and that Datadog is poised to benefit from it.
About the Data:
Thinknum tracks companies using the information they post online - jobs, social and web traffic, product sales, and app ratings - and creates data sets that measure factors like hiring, revenue, and foot traffic. Data sets may not be fully comprehensive (they only account for what is available on the web), but they can be used to gauge performance factors like staffing and sales.