'Don't Stop Me Now' | Compelling Pace of Innovation Shown at Dash '26

Research evidence excerpt

'Don't Stop Me Now' | Compelling Pace of Innovation Shown at Dash '26

C O M PA N Y N O T E

J u n e 9 , 2 0 2 6

Datadog, Inc. (DDOG) Overweight

CONCLUSION PRICE: US$227.34

DDOG hosted its annual Dash user conference today, with the event bringing its usual flurry TARGET: US$275.00

of new product and functionality announcements. This year specifically brought a lot of Our base case DCF assumes a terminal EV/

incremental autonomous agentic capabilities to Bits AI, which can now continuously monitor FCF multiple of 40x CY30E, discount rate of

and remediate in an autonomous fashion, building on existing investigation capabilities. 17% and fully diluted shares of 353M

The opportunity to help enterprises transform IT operations in an autonomous fashion is

Rob D. Owenscompelling to us, and DDOG remains the leader, in our view. We remain confident in the Sr. Research Analyst, Piper Sandler & Co.

company's ability to scale the core platform while driving adoption of agentic solutions; we 503 275-8317, rob.owens@psc.com

reiterate OW at a higher $275 PT. Ethan D. Weeks, CFA

Research Analyst, Piper Sandler & Co.

• The autonomous automation vision moves closer to reality. Bits was at the center 503 275-7797, ethan.weeks@psc.com

of much of the innovation announced at Dash this year, with the company focusing Aidan M. Perry

on moving closer to enabling autonomous operations. Building on existing functionality Research Analyst, Piper Sandler & Co.

503 275-8309, aidan.perry@psc.com that allowed Bits to investigate issues, it can now continuously and proactively monitor

for these issues, then launching investigations and ultimately deploying remediations Changes Previous Current

autonomously in real time. This functionality was compelling to us, helping us remain Rating — Overweight