Software Stack Investing

Datadog Q3 2022 Earnings Review

November 26, 2022 Software Stack Investing Season 1 Episode 20
Datadog Q3 2022 Earnings Review
Software Stack Investing
More Info
Software Stack Investing
Datadog Q3 2022 Earnings Review
Nov 26, 2022 Season 1 Episode 20
Software Stack Investing

Datadog's Q3 earnings report was well-received by the market, with the stock popping as much as 9% after the release. Considering the macro backdrop and their outperformance during 2021, I thought the results were favorable. Datadog is maintaining its rapid cadence of launching new products and cross-selling them into existing customers, supporting its elevated DBNRR. The growth rates of customers with multiple product subscriptions have been reliably intact, implying little competitive infringement either from incumbent providers or new start-ups. 

Show Notes

Datadog's Q3 earnings report was well-received by the market, with the stock popping as much as 9% after the release. Considering the macro backdrop and their outperformance during 2021, I thought the results were favorable. Datadog is maintaining its rapid cadence of launching new products and cross-selling them into existing customers, supporting its elevated DBNRR. The growth rates of customers with multiple product subscriptions have been reliably intact, implying little competitive infringement either from incumbent providers or new start-ups.