Latest Ratios: P/E Ratio 256.2x · EV/EBITDA 380.9x · ROE 3.3%. (2017–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $63.7B | $49.4B | $51.2B | $42.5B | $23.2B | $55.0B | $29.6B | $5.3B | — | — |
| Enterprise Value | $64.9B | $50.6B | $51.8B | $43.1B | $23.7B | $55.6B | $30.0B | $4.7B | — | — |
| P/E Ratio → | 256.25 | 453.30 | 280.18 | 867.00 | — | — | — | — | — | — |
| P/S Ratio | 14.90 | 14.42 | 19.09 | 19.98 | 13.84 | 53.50 | 48.99 | 14.57 | — | — |
| P/B Ratio | 17.44 | 13.24 | 18.88 | 20.99 | 16.44 | 52.87 | 30.88 | 6.75 | — | — |
| P/FCF | 54.43 | 49.40 | 61.31 | 67.24 | 65.58 | 219.72 | 355.33 | 6680.66 | — | — |
| P/OCF | 60.69 | 47.07 | 58.86 | 64.43 | 55.41 | 192.10 | 271.03 | 218.06 | — | — |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 14.75 | 19.31 | 20.25 | 14.14 | 54.03 | 49.69 | 13.09 | — | — |
| EV / EBITDA | 380.88 | 4441.91 | 474.66 | 3916.96 | — | 14696.27 | 17880.23 | — | — | — |
| EV / EBIT | — | 366.18 | 245.68 | 647.62 | — | 21133.58 | 3651.38 | — | — | — |
| EV / FCF | — | 50.53 | 62.02 | 68.14 | 66.99 | 221.86 | 360.36 | 6001.94 | — | — |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 80.0% | 80.0% | 80.8% | 80.7% | 79.3% | 77.2% | 78.4% | 75.5% | 76.5% | 76.8% |
| Operating Margin | -1.3% | -1.3% | 2.0% | -1.6% | -3.5% | -1.9% | -2.3% | -5.6% | -5.6% | -2.9% |
| Net Profit Margin | 3.1% | 3.1% | 6.8% | 2.3% | -3.0% | -2.0% | -4.1% | -4.6% | -5.4% | -2.6% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 3.3% | 3.3% | 7.8% | 2.8% | -4.1% | -2.1% | -2.8% | -4.7% | — | — |
| ROA | 1.7% | 1.7% | 3.8% | 1.4% | -1.9% | -1.0% | -1.7% | -2.7% | -7.0% | -2.0% |
| ROIC | -0.8% | -0.8% | 1.4% | -1.1% | -2.5% | -1.0% | -1.3% | -26.1% | — | — |
| ROCE | -1.0% | -1.0% | 1.6% | -1.3% | -2.9% | -1.1% | -1.1% | -4.4% | -16.1% | -4.2% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.41 | 0.41 | 0.68 | 0.45 | 0.59 | 0.78 | 0.67 | 0.08 | — | — |
| Debt / EBITDA | 134.87 | 134.87 | 16.87 | 82.02 | — | 213.58 | 383.79 | — | — | — |
| Net Debt / Equity | — | 0.30 | 0.22 | 0.28 | 0.35 | 0.52 | 0.44 | -0.69 | — | — |
| Net Debt / EBITDA | 99.61 | 99.61 | 5.45 | 52.00 | — | 141.93 | 249.67 | — | — | — |
| Debt / FCF | — | 1.13 | 0.71 | 0.90 | 1.41 | 2.14 | 5.03 | -678.72 | — | -9.96 |
| Interest Coverage | 12.49 | 12.49 | 29.85 | 10.56 | -1.30 | 0.12 | 0.27 | — | — | — |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 3.38 | 3.38 | 2.64 | 3.17 | 3.09 | 3.54 | 5.77 | 4.51 | 1.09 | 1.75 |
| Quick Ratio | 3.38 | 3.38 | 2.64 | 3.17 | 3.09 | 3.54 | 5.77 | 4.51 | 1.09 | 1.75 |
| Cash Ratio | 2.81 | 2.81 | 2.25 | 2.58 | 2.48 | 2.94 | 5.09 | 3.87 | 0.48 | 1.05 |
| Asset Turnover | — | 0.52 | 0.46 | 0.54 | 0.56 | 0.43 | 0.32 | 0.35 | 1.10 | 0.79 |
| Inventory Turnover | — | — | — | — | — | — | — | — | — | — |
| Days Sales Outstanding | — | 78.95 | 81.44 | 87.34 | 87.06 | 95.38 | 103.55 | 105.61 | 103.83 | 119.01 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | — | — | — | — | — | — | — | — | — | — |
| Payout Ratio | — | — | — | — | — | — | — | — | — | — |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 0.4% | 0.2% | 0.4% | 0.1% | — | — | — | — | — | — |
| FCF Yield | 1.8% | 2.0% | 1.6% | 1.5% | 1.5% | 0.5% | 0.3% | 0.0% | — | — |
| Buyback Yield | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | — | — |
| Total Shareholder Yield | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | — | — |
| Shares Outstanding | — | $363M | $359M | $350M | $315M | $309M | $300M | $140M | $71M | $80M |
Includes 30+ ratios · 9 years · Updated daily
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Quick answers to the most common questions about buying DDOG stock.
Datadog, Inc.'s current P/E ratio is 256.2x. This places it at the 50th percentile of its historical range.
Datadog, Inc.'s current EV/EBITDA is 380.9x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA.
Datadog, Inc.'s return on equity (ROE) is 3.3%. The historical average is 0.0%.
Based on historical data, Datadog, Inc. is trading at a P/E of 256.2x. This is at the 50th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
Datadog, Inc. has 80.0% gross margin and -1.3% operating margin.
Datadog, Inc.'s Debt/EBITDA ratio is 134.9x, indicating high leverage. A ratio above 4x may signal elevated financial risk.
Key Metrics
Top Statement Risk
GAAP earnings lag cash
Metrics are mathematically derived from official filings.
Premium Multiples Price in Sustained Growth
Based on the supplied snapshot, DDOG trades at 256.25x trailing earnings and 66.08x forward earnings, a compression of roughly 74% that signals the market is pricing in a steep earnings ramp rather than current profitability.
The gap between trailing and forward P/E suggests investors are capitalizing expected margin expansion rather than reported GAAP earnings, which remain thin at a 3.14% net margin. Against Dynatrace at 80.95x trailing, DDOG's trailing multiple is roughly three times higher, a premium that appears to rest on its 27.68% TTM revenue growth and the Q3 re-acceleration to 35%. Investors should monitor whether the 66x forward multiple holds if growth normalizes toward mature-peer levels.
Gross Margin Strong, Operating Margin Still Thin
Gross margin has held between 78.6% and 80.5% across ten quarters, while operating margin moved from -4.1% in 2025Q2 to 6.2% in 2026Q3, indicating operating leverage is emerging but unproven across the cycle.
The stability of the gross margin band points to efficient multi-tenant hosting economics, which is the most reliable indicator of earning power in this dataset. The operating margin trajectory suggests reinvestment spending is being outpaced by revenue scale, yet the net margin of 9.9% in the latest quarter versus 3.1% TTM indicates volatility that should not be extrapolated. Earnings power should be judged on operating margin ex-stock-based compensation rather than headline GAAP figures.
Return Metrics Remain Low Versus Peers
ROIC has risen from negative territory in 2025 to 1.1% in 2026Q3, and ROE of 2.6% remains well below Elastic's 35.3%, suggesting Datadog is still in an early compounding phase on invested capital.
The move from -0.7% ROIC in 2025Q2 to 1.1% indicates returns are improving, but the absolute level is low for a business with 80% gross margins, implying a large capital base or heavy equity accumulation diluting returns. Goodwill growth from $351M to $707M suggests acquisitions have added to invested capital without yet producing commensurate returns. Investors should watch whether ROIC can sustain upward movement as the asset base matures.
Low Leverage Diluted by Equity Growth
Debt-to-equity fell from 0.68 in 2024Q4 to 0.28 in 2026Q3 while interest coverage reached 39.5x, based on reported figures showing a balance sheet strengthened by equity accumulation rather than debt repayment.
The declining debt-to-equity ratio appears driven by rising equity from retained earnings and issuance, with total debt holding near $1.3B. Interest coverage at 39.5x in the latest quarter suggests debt service is not a constraint, although the quarter-to-quarter swings in coverage from 2.4x to 62x warrant caution in reading any single period. Refinancing risk appears limited given the low absolute leverage relative to equity.
Current Ratio Strong, Cash Position Volatile
The current ratio of 3.51 in 2026Q3 is well above 2.0, yet cash reserves swung from $1.2B in 2024Q4 to $401M in 2025Q4 before recovering to $881M, suggesting liquidity depends heavily on capital allocation timing.
A current ratio above 3.5x implies ample short-term coverage, but the cash trajectory indicates material deployment of balance sheet resources during 2025, possibly into acquisitions given the goodwill increase. Under severe stress, the position would rely on continued operating cash generation of roughly $250M per quarter rather than the cash balance alone. The data does not disclose available credit facilities, so stress-case liquidity cannot be fully assessed from the supplied figures.
Cash Strength May Overstate Economic Earnings
Stock-based compensation of $237.2M in 2026Q3 approximates 95% of that quarter's $250.6M free cash flow, based on reported figures, suggesting the apparent cash profile may materially overstate economic cash generation for shareholders.
The most commonly misapplied metric for this business is free cash flow margin, which appears elevated at 20.9% but is substantially offset by equity compensation that dilutes shareholders. Price-to-free-cash-flow of 54.43x may therefore look more attractive than it is on a fully diluted, SBC-adjusted basis. Analysts should instead use FCF less SBC or fully diluted share count growth to assess true owner earnings.