Datadog price target lowered to $123 from $140 at MoffettNathanson

MoffettNathanson analyst Sterling Auty lowered the firm’s price target on Datadog to $123 from $140 and keeps an Outperform rating on the shares post the Q4 results. The analyst says like other hyperscalers, Datadog’s revenue growth in the quarter masked increased weakness at the end of the quarter. The firm thinks management is being prudent in both the company’s 2023 revenue and expense outlook. If things do not get worse from a macro perspective, Datadog could experience significant outperformance in earnings and cash flow this year, contends MoffettNathanson.