We recently published a list of 20 Stocks Insiders Were Selling In Q1 2025. In this article, we are going to take a look at where Datadog, Inc. (NASDAQ:DDOG) stands against other stocks insiders were selling in Q1 2025.
The broader market index rose 0.2% on Tuesday amid volatility as investors awaited clarity on President Trump’s tariff policy. The market also faced pressure from weaker-than-expected economic data, including a disappointing manufacturing survey and lower-than-expected job openings, according to CNBC. The blue chip companies and Nasdaq Composite also saw modest gains, with the market continuing to react to uncertainty.
As this market uncertainty persists, insider trading often draws attention. While executive stock purchases can signal optimism, insider sales may stem from personal financial reasons or diversification needs. Executives typically follow pre-arranged plans, like 10b5-1, to ensure transparency. Insider trading offers insights but should be considered alongside a company’s financial health and market conditions.
Our Methodology
What are some of the stocks that insiders have been selling the most in the first quarter of the year? To find out, we used Insider Monkey’s insider trading stock screener, focusing only on stocks where at least five insiders had sold shares in January, February, or March. From there, we ranked the 20 stocks with the highest number of insiders selling shares.
Today, we’re focusing on stocks that insiders have been heavily selling during the first three months of the year. Using Insider Monkey’s insider trading screener, we identified stocks where at least five insider sales totaled $1 million or more. While the overall value of insider sales for these stocks may be higher, we specifically focused on sales worth $1 million or more. From the stocks that met this criterion, we selected the 20 with the highest number of insider sales of $1 million or more.
Our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds, focusing on insider trading and stock picks from hedge fund investor newsletters and conferences. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
With each stock, we note the average price per share of these purchases and the stock’s market capitalization.
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Datadog, Inc. (NASDAQ:DDOG)
Total value of insider sales in Q1: $140.48 million
Insiders with $1M+ sales: 7
Datadog, Inc. (NASDAQ:DDOG) provides an observability and security platform for cloud applications worldwide. Its products include performance monitoring, log management, error tracking, cloud security, and incident management, among others. The New York-based company is also one of the 10 high-valuation stocks to buy according to billionaires.
During the first quarter of 2025, eight insiders, including the CEO, CFO and COO, sold around $140.48 million worth of Datadog shares at an average price of $127.65 per share. Currently, the stock trades at $99.21 per share, having declined 30.57% year-to-date, and 19.44% over the past 12 months.
For the full fiscal year 2024, Datadog (NASDAQ:DDOG) reported revenue of $2.68 billion, up 26% year-over-year and operating cash flow was $871 million. Free cash flow was $775 million. Net income amounted to $183.75 million, compared to $48.57 million in fiscal 2023. For fiscal year 2025, the company expects revenue in the range of $3.18 billion and $3.2 billion and non-GAAP net income per share between $1.65 and $1.70.
The consensus rating from 33 analysts on Datadog (NASDAQ:DDOG) stock is Strong Buy with a price target of $159.60, according to TipRanks. The average price target suggests a 60.87% upside from the latest price.
Overall, DDOG ranks 7th on our list of stocks insiders were selling in Q1 2025. While we acknowledge the potential of DDOG our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than DDOG but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.
Disclosure: None. This article is originally published at Insider Monkey.
