Trump Could Make Surprising Tech Announcement Any Day

Elon Musk is heavily invested in a cutting-edge new technology. In fact, Musk has turned the new president on to this breakthrough. And President Trump could make an announcement any day that could spike the price of stocks in this sector.

Datadog Faces Revenue And Margin Headwinds In 2025, Analyst Downgrades Stock

Shivani Kumaresan
January 29, 2025

Stifel analyst Brad Reback downgraded the shares of Datadog Inc (NASDAQ:DDOG) from Buy to Hold and lowered the price forecast from $165 to $140.

Recent updates suggest that Datadog has successfully secured a one-year contract renewal with OpenAI. However, sources indicate that OpenAI has implemented several strategies to optimize its use of Datadog’s services.

While this could support year-over-year growth, given the notable increase in OpenAI’s usage throughout FY24, the expected annualized value of $80 million leads the analyst to anticipate only modest growth.

Furthermore, the analyst foresees the possibility of a substantial quarter-over-quarter revenue decline in the first quarter, as the new contract terms take effect.

Also Read: DeepSeek’s AI Breakthrough Benefits Microsoft, But Oracle Faces Cloud Growth Challenges: Analyst

This optimization by OpenAI, combined with typical pricing pressure during contract renewals and the potential for year-end customer churn, suggests that Datadog’s AWS growth will likely continue to decelerate in fourth-quarter and throughout FY25, said the analyst.

The analyst notes the company will need to significantly increase its sales and marketing (S&M) spending in the coming quarters to compensate for the modest headcount growth seen in FY23, which is essential to support future revenue expansion.

As a result, the analyst notes the current sell-side projections, which expect operating margins in FY25 to remain stable year-over-year at around 25%, may be overly optimistic.

The analyst sees the risk/reward as somewhat leaning towards the downside given the belief that first-quarter guidance could be lower than current expectations, the limited upside potential to existing FY25 revenue estimates and the potential for operating margin downside.

The analyst anticipates challenges to both revenue growth and margins throughout FY25. With the stock’s valuation being relatively high and its strong performance since the company’s early November third-quarter report, the risk-reward outlook for the stock appears less favorable in the near term.

Price Action: DDOG shares are trading lower by 5.73% at $143.18 at the last check Wednesday.

Image by rafapress via Shutterstock.

Continue Reading...

Popular

Bank of America Foresees Possible 40% S&P 500 Plunge Due To Growth-Stock Bubble

Bank of America strategists are warning of a potential 40% crash in the S&P 500, attributing it to a growth-stock bubble.

The Top AI Investment of 2025 (And It's Not AI) - Ad

Because this "Miracle Metal" is not only 400 times stronger than steel... Weighs 85% less...And it conducts electricity better than copper... But it's poised to solve a $267 billion flaw threatening artificial intelligence as a whole... and could stop development in its tracks.

Harvey Weinstein says he was duped into guaranteeing $45M loan, sues brother and other movie execs

Jailed and disgraced movie mogul alleges in a new lawsuit that his brother, Bob Weinstein, and other executives at their now-defunct film company duped him into guaranteeing a $45 million loan in 2016, but diverted funds for their own personal use while setting the stage for his downfall.

22X Better Than Bitcoin... Without Crypto - Ad

For every $1,000 made in Bitcoin... you could have made as much as $22,000 with this strategy. legendary former hedge fund manager Larry Benedict calls it "Bitcoin Skimming." And get this... it's CRUSHING Bitcoin's returns. If you want to get in on the ground floor then watch this free interview NOW.

Honda Shares Are Up Today: What's Going On?

Honda Motor Company Ltd. (NYSE: HMC) shares are moving higher Friday following the company's release of its fiscal third-quarter financial results and the announcement that it terminated merger discussions with Nissan Motor Co., Ltd.

Berkshire Hathaway Adjusts Portfolio, Keeps Apple Stake Unchanged, Offloads Stakes in BofA

Berkshire Hathaway made significant adjustments to its portfolio in Q4 2024, reducing its investment in a number of stocks. However, its stake in Apple remains unchanged.

What Bill O'Reilly Said Floored Me - Ad

Bill O'Reilly has trusted one expert for investment advice for over 20 years... Alexander Green. Now, Alex is revealing Trump's impact on YOUR Money, like how AI technology could amplify Trump's policies and details on 3 stocks that could rise 20-fold by 2029.

Crypto Analyst Predicts More Gains for Altcoin That Skyrocketed 920% in Just One Month

A significant surge is anticipated for an altcoin that has already seen a 920% increase within a month. The same analyst also shares his insights on Cardano (CRYPTO: ADA) and Bitcoin (CRYPTO: BTC).

AP reporter and photographer barred from Air Force One over 'Gulf of Mexico' terminology dispute

The White House barred a credentialed Associated Press reporter and photographer from boarding the presidential airplane Friday for a weekend trip with Donald Trump, saying the news agency’s stance on how to refer to the Gulf of Mexico was to blame for the exclusion. It represented a significant escalation by the White House in a four-day dispute with the AP over access to the presidency.

Get Your Piece of the $5.39 Billion by March 25... - Ad

Once you hear more about what these AI firms have been up to...You'll feel like you're owed the $3,452.50 that is being paid out to folks like you every month. The opportunity to grab the next payout ends on March 25 -- so be quick.

5 Stocks That Could Suffer With Canadian Tariffs

Trump plans to impose tariffs on Canada, causing businesses to scramble. Auto industry, energy, agriculture, and manufacturing will be impacted.

Musk and Trump Bullish on New Tech Beyond AI - Ad

Elon Musk is heavily invested in a cutting-edge new technology. In fact, Musk has turned the new president on to this breakthrough. And President Trump could make an announcement any day that could spike the price of stocks in this sector.

What to stream: '1923' returns, Tate McRae, 'Reacher,' Baldwins' reality show and a 'Suits' spin-off

A modern reimagining of the graphic novel “The Crow” starring Bill Skarsgård plus Canadian pop musician Tate McRae offering her third album are some of the new television, films, music and games near you.

Massive Data Breach Exposes Americans' Financial Details — Names, Card Numbers, PINs and More at Risk

The Office of the Maine Attorney General announced that the personal, medical and financial records of more than 569,000 Americans have been exposed.

Legendary Wall Street Stock Picker Names No.1 AI Stock of 2025 - Ad

Marc Chaikin's system has detected another bewildering trend in the U.S. stock market. And he says this stock could shoot sky-high in the new year as a direct result. To hear it for yourself, click here. You'll get this stock's name and ticker symbol, absolutely free.

GameStop-Linked Crypto Soars, Trump-Backed Project Bolsters Bitcoin, And More: This Week In Crypto

The week was a rollercoaster ride in the world of cryptocurrencies. From GameStop-themed crypto rallying to a Trump-backed project bolstering Bitcoin and Ethereum, the crypto market was buzzing with activity. Here’s a quick round-up of the top stories. GameStop-Themed Crypto Rallies

Benzinga Bulls and Bears: Apple, Nvidia, Netflix and Trader Predicts Dogecoin Surge by March 24

Benzinga examined the prospects for many investors’ favorite stocks over the last week — here’s a look at some of our top stories.

Elon Musk's Final Move - Ad

Elon Musk is DONE. He's finished. Because his latest project may be the last one he'll ever take on. I'm talking about his new, secretive AI startup. Elon's AI promises to be 100 times better than ChatGPT. That's why you need to get all the urgent details on what I call "Elon's #1 AI stock."

Top 3 Utilities Stocks That May Rocket Higher This Month

The most oversold stocks in the utilities sector presents an opportunity to buy into undervalued companies.

Applied Materials Navigates China Slowdown, Analysts See Early Recovery Despite Soft Guidance

Analysts revised price targets for Applied Materials after Q1 results, beating estimates on revenue and EPS, but Q2 guidance fell short. Buy-rated with price targets of $195, $217, and $225.

My TOP Altcoin for Right Now Is... - Ad

Searching for the top investment opportunity in crypto? Look no further. Our $3 report gives you the full scoop. You'll get this exciting token's name, our recommended investment strategy, and growth projections. Time is of the essence with this one...

Stock Of The Day – Does Capitulation Mean A Reversal For The Trade Desk?

Shares of The Trade Desk (TTD) dropped by more than 30% on earnings. They ma be about to reverse and head higher.

Is Bill Gates Missing the Big Picture? - Ad

Bill Gates calls it: "The most transformative technology any of us will see in our lifetimes." Eric Fry agrees, saying it's far more advanced than anything today... including AI. But he also warns it could send millions of Americans into poverty.

Next week: Housing starts, Fed minutes and Walmart earnings

A look at some of the key business events and economic indicators upcoming next week.

Senate confirms Zeldin to lead Environmental Protection Agency as Trump vows to cut climate rules

WASHINGTON (AP) — The Republican-controlled Senate on Wednesday confirmed Lee Zeldin to lead the Environmental Protection Agency, a key role to help President Donald Trump fulfill his pledge to roll back major environmental regulations, including those aimed at slowing climate change and encouraging use of electric vehicles.

The Elon Shock - Ad

All of Elon Musk's strange behavior in recent times is starting to make sense. His feuds with other leading technologists like Sam Altman and Bill Gates has all been building up to what he's been planning in Washington. It's a fascinating new financial story that some say could change life in America forever.

Trump's Commerce Secretary nominee, Howard Lutnick, vows to sell his business interests in 90 days

WASHINGTON (AP) — Billionaire financier Howard Lutnick, President Donald Trump's choice to lead the Commerce Department, said Wednesday that he would sell all of his business holdings within 90 days.

Who can share seeds? As climate change and counterfeits hurt Kenyan farmers, it's a growing question

KIKUYU, Kenya (AP) — Tucked away in a lush, forested area of central Kenya's Kikuyu town, the National Seed Bank stands as a crucial safeguard for the future of the country's agriculture. Inside two chilly rooms of a government building, more than 50,000 seed varieties are cataloged and stored.

Is This Defi Coin Your Next "10-Bagger" Investment? - Ad

Our #1 pick in decentralized finance is largely overlooked by mainstream investors (for now). This governance token could skyrocket as DeFi adoption surges with the smart money and institutions.

Europe's economy showed zero growth at end of 2024 as Germany, eurozone's biggest economy, struggled

FRANKFURT, Germany (AP) — Europe’s economy stagnated at the end of last year as its former growth engine, Germany, finished a second straight year of shrinking output, officials said Thursday.

Apple Surprises Users With Starlink Beta, Teams Up With Elon Musk's SpaceX And T-Mobile To Bring Satellite Texting For iPhone Users In iOS 18.3

Apple has partnered with SpaceX and T-Mobile to bring Starlink satellite texting to iPhones, with a limited beta test rolling out via iOS 18.3, marking a major step toward expanding connectivity in remote areas.

Warren Buffett's Investing Partner's Shocking Final Move - Ad

Before he passed away, Charlie Munger, Warren Buffett's investing partner of 60 years, was rumored to have quietly made one final investment... Up until now, it has remained hidden from the public. It's potentially the smartest, most profitable, and most under-valued AI investment you can make today.

Tesla, Meta, Microsoft, IBM, Nvidia: Why These 5 Stocks Are On Investors' Radars Today

On Wednesday, January 29, 2025, TSLA, META, MSFT, IBM, NVDA were among the stocks that dominated investor attention on the day Federal Reserve chose to keep the interest rates steady.

Elon's Social Security Shock? - Ad

New research reveals what Elon Musk could be planning in Washington D.C. and how it may impact your money. In short, Elon has much bigger plans than simply "draining the swamp." His next big project could bring about nothing short of a revolution in our economy... It could change the way you file and pay your taxes... collect Social Security... and how you travel. To do it, Elon will likely use the same strategy he's applied in every other business.

UK Treasury chief backs third runway at London's Heathrow Airport

LONDON (AP) — The U.K. government is backing the construction of a third runway at London’s Heathrow Airport, Treasury chief Rachel Reeves said Wednesday.

Trending Now

Information, charts or examples are for illustration and educational purposes only and not for individualized investment management This message contains commercial elements, such as advertising. We only send these offers to those who have opted in to our newsletter. Past performance is not indicative of future results. For these reasons we strongly suggest trading in a DEMO/Simulated account. The information provided by us is for educational and informational purposes only. We make no representations or warranties concerning the products, practices or procedures of any company or entity mentioned or recommended and have not determined if the statements and opinions of the advertiser are accurate, correct or truthful. If you use, act upon or make decisions in reliance on information contained or any external source linked within it, you do so at your own peril and agree to hold us, our officers, directors, shareholders, affiliates and agents without fault.

Copyright trendadvisor.net
Privacy Policy | Terms of Service