Datadog (DDOG.US) operating profit surges 61%, yet pre-market shares plunge 20%! AI growth narrative meets harsh market expectations

Zhitong Finance APP has learned that Datadog (DDOG.US), a cloud monitoring and analytics software company, saw its stock plunge by about 20% at one point in pre-market trading on Wednesday after releasing its results before the U.S. market opened. Datadog delivered third-quarter results with both revenue and profit exceeding market consensus expectations, yet its stock still plummeted in pre-market trading, with the decline hovering around 19% as of press time. Judging from the structure of the newly released guidance, the focus of market disappointment is thatwhile third-quarter growth was strong, the upward revision to the full-year revenue forecast came almost entirely from the already-achieved excess revenue structure, and the fourth quarter did not release a clearly stronger signal of substantial growth driven by the AI agent frenzy.