What happened
Sections of study and analysis platform specialist Datadog (NASDAQ: DDOG) spiked on Thursday. The stock rose by as much as 5%. As of 3pm EST, it had settled to around a 4% gain.
The rise of the stock today seems to have been driven by a combination of an attractive day in the overall stock market and the analyst’s decision of its 12-month price target to raise the stock.
Image source: Getty Images.
so what
Morgan Stanley Analyst Sanjit Singh increased its price target for Datadog stock by 30% on Thursday. The new price target stands at $ 112, up from $ 86 previously. Singh maintained a similar level of pressure on the stock, which is similar to a grip. The stock is currently trading at around $ 108.40.
Showing bullishness in the overall market on Thursday, the S&P 500 and Nasdaq Composite they were up 0.5% and 0.6%, respectively, at the time of writing. Many growth stocks like Datadog went up even bigger. The movement of this market seems to have helped its shares.
Now what
Datadog’s business has been growing rapidly in recent times. Its revenue jumped 61% year-over-year in the third quarter, and for the fourth quarter, regulators forecast revenue of between $ 162 million and $ 164 million. This would be up from $ 114 million in the fourth quarter of 2019.