Datadog jumps 6.6% as CIBC raises price target

Shares of cloud monitoring platform Datadog jumped 6.6% in afternoon trading, touching a new 52-week high of $291.35. The rally followed an updated outlook from CIBC, which lifted its price target on the company and reiterated an Outperform rating.

According to TipRanks, CIBC analysts highlighted accelerating revenue growth and a stronger overall performance trajectory as key reasons for their bullish stance. The move also coincided with a wider rebound across technology and software-as-a-service stocks, which bounced back from an AI-driven selloff sparked by an underwhelming revenue update from OpenAI.

The stock has experienced high volatility, recording 37 moves of more than 5% over the past year. Just 14 days earlier, Datadog shares climbed 5.9% after Wedbush initiated coverage with an Outperform rating.

Datadog has gained 118% since the beginning of the year. An investor who bought $1,000 of the stock five years ago would now hold an investment valued at $2,052.