BMO Maintains Outperform on Datadog (DDOG) Despite OpenAI Risk

1 month ago 18

Ghazal Ahmed

Sun, February 1, 2026 astatine 12:22 PM CST 1 min read

Datadog, Inc. (NASDAQ:DDOG) is 1 of the 10 AI Stocks Making Waves connected Wall Street. On January 29, BMO Capital expert Keith Bachman lowered the terms people connected the banal to $170.00 (from $215.00) portion maintaining an “Outperform” rating. The steadfast believes DDOG’s thesis is intact contempt valuation compression and OpenAI migration risk.

According to the firm, Datadog is poised to person a coagulated December quarter. However, it does person immoderate reservations regarding FY26 usher owed to management’s mean conservatism and the hazard that OpenAI whitethorn perchance migrate a information of its enactment distant from Datadog.

Analyst Keith Bachman presented respective scenarios based connected imaginable OpenAI migration patterns. However, it did not set its fiscal estimates stating that the timing and scope of immoderate imaginable OpenAI migration remains unclear.

“Nevertheless, we are lowering our terms people to $170 from $215 owed to some bundle valuation compression and hazard of OpenAI. We clasp our Outperform rating.”

Datadog, Inc. (NASDAQ:DDOG) offers a cloud-based SaaS level for monitoring and analytics, specializing successful unreality computing and AI-powered cybersecurity products.

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Disclosure: None. This nonfiction is primitively published astatine Insider Monkey.