We recently published 10 Stocks Delivering Massive Returns. Datadog Inc. (NASDAQ:DDOG) was one of the best performers on Tuesday.
Datadog rallied for a third straight day on Tuesday, jumping 13.74 percent to close at $129.67 apiece after posting a strong revenue performance in both the full-year and fourth quarter of 2025.
In an earnings call, Datadog Inc. (NASDAQ:DDOG) said that revenues last year surged by 27 percent to $3.4 billion from $2.68 billion in 2024, while revenues in the fourth quarter alone jumped by 29 percent to $953 million from $737.7 million year-on-year.
Net income, on the other hand, declined by 41 percent last year to $107.7 million from $183.7 million in 2024, but net profit in the fourth quarter inched up by 2 percent to $46.6 million from $45.6 million year-on-year.
Source: Pixabay
Looking ahead, Datadog Inc. (NASDAQ:DDOG) is targeting revenues between $951 million to $961 million, with earnings per share of $0.49 to $0.51.
For the full-year 2026, revenues are projected at $4.06 billion to $4.1 billion, while EPS is pegged at $2.08 to $2.16.
“Looking forward to 2026, we are excited about our plans to deliver more AI-powered innovation and help our customers with their complex challenges in modern Observability, Security, Software Delivery, Service Management, and Product Analytics,” said Datadog Inc. (NASDAQ:DDOG) CEO Olivier Pomel.
While we acknowledge the potential of DDOG as an investment, 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 extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock.
READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.
Disclosure: None. This article is originally published at Insider Monkey.
