2023-04-23 01:22:49 ET
Summary
- Datadog's strategy of focusing on platform strength to deliver performance is a competitive advantage resulting in excellent gross margins and cash generation.
- Its Application Performance Monitoring products are among the best in the industry and vital utility companies cannot do without.
- An estimated 80-90% of computing is still on premise, leaving a huge runway for growth.
- That said, cloud growth rates fell drastically in 2H-2022, with little visibility of growth for 2023.
- Datadog is priced to perfection and far too high for only 25% growth in 2023. It is a great buy at $55, or 20% below its current price of $67.
For further details see:
Datadog An Outstanding But Over-Priced Data Monitor