Cliff Asness Is Selling These 5 Stocks

2. Datadog, Inc. (NASDAQ:DDOG)

Number of Hedge Fund Holders: 62

Datadog, Inc. (NASDAQ:DDOG) is a New York-based company offering a SaaS-based data analytics platform. Cliff Asness’ AQR Capital Management purchased shares of Datadog, Inc. (NASDAQ:DDOG) in Q4 2020, and by the third quarter of 2021, the hedge fund owned 7,605 Datadog, Inc. (NASDAQ:DDOG) shares, worth over $1 million. Cliff Asness discarded his position in the company in Q4 2021. 

Publishing its Q4 results on February 10, Datadog, Inc. (NASDAQ:DDOG) reported earnings per share of $0.20, beating estimates by $0.09. The $326.20 million revenue gained 83.74% year-on-year, exceeding estimates by $34.75 million. 

Truist analyst Joel Fishbein on February 11 raised the price target on Datadog, Inc. (NASDAQ:DDOG) to $225 from $200 and kept a Buy rating on the shares. The company delivered “another strong beat and raise” in Q4 and growth is accelerating via both core and new products across all geographies, the analyst told investors in a bullish note.

A total of 62 hedge funds were bullish on Datadog, Inc. (NASDAQ:DDOG) in Q3 2021, and Tiger Global Management held the largest stake in the company, with 5.2 million shares worth $740.7 million.

Here is what ClearBridge Mid Cap Growth Strategy has to say about Datadog, Inc. (NASDAQ:DDOG) in its Q3 2021 investor letter:

“The ClearBridge Mid Cap Growth Strategy delivered positive absolute performance and outperformed the benchmark in the third quarter, with the primary differentiator being stock selection among our IT holdings. The tech names in the portfolio gained 10.1% for the quarter compared to a 2.2% gain for tech in the benchmark. Most of the heavy lifting was done by enterprise software holdings that are helping businesses analyze activity and execute more efficiently, such as Datadog. The leading contributors to absolute returns during the third quarter included Datadog.”