Data Dog Company Commentary: Cautious Outlook on Growth and Momentum

20 days ago

Rick and Lou

"For financials, a 10 is a fortress, a one is yikes, lose at a six. Rick, you're at a seven. Data Dog has a clean balance sheet and revenue growth is holding steady in the high 20%. However, guidance suggests it will slow to the low 20s in the second half of the year. While revenue growth was 74% in the same quarter last year, there is slowing momentum, compounded by a 15% increase in share count due to stock-based compensation."

The speakers provide a detailed look at Data Dog's financials, noting a strong balance sheet and steady revenue growth in the high 20s, but caution that guidance points to a slowdown in growth alongside rising share-based compensation. This mixed view highlights a quality product facing potential headwinds in momentum.

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