Is the business good?
How good a business is DDOG?
Datadog keeps 0.41% of every revenue dollar as operating profit, against 8.2% for the median Software - Application name.
0.41%
Operating margin · Software - Application median 8.2% · 12 months to Q2 2026
- Share count, year on year
- +3.4%
Share count, year on year · shareholders own a smaller slice than a year ago
- R&D as % of revenue
- 44%
R&D as % of revenue
- Gross margin
- 80%
Gross margin
| Year | Operating margin |
|---|---|
| FY2020 | −2.3% |
| FY2021 | −1.9% |
| FY2022 | −3.5% |
| FY2023 | −1.6% |
| FY2024 | 2.0% |
| FY2025 | −1.3% |
Details›
- Gross margin12 months to Q2 2026
- 80%
- Operating margin12 months to Q2 2026
- 0.41%
- Net margin12 months to Q2 2026
- 4.5%
- Free cash flow margin
- 30%
- R&D as % of revenue
- 44%
- Revenue, trailing twelve months
- $3.97B
- Free cash flow, trailing twelve months
- $1.18B
- Net income, trailing twelve months
- $178M
Margins, capital and share counts from the statements as filed with the SEC; cash conversion from the cash flow statement.
Software - Application
Ranks #39 of 90 by Smart Score