Shares of monitoring and analytics platform Datadog (NASDAQ: DDOG) jumped on Thursday. The stock closed the trading day up 13%.
The stock’s gain comes as a Morgan Stanley analyst predicted the company is well set up heading into its third-quarter results next month.
Datadog is one of the best-positioned companies in the infrastructure software market going into third-quarter updates, said Morgan Stanley analyst Sanjit Singh about the growth stock in a note to clients (via TheFly) on Thursday morning. He also said that Datadog has strong business momentum and could see accelerating year-over-year growth.
The analyst has an equal-weight rating on the stock and a $39 12-month price target.
On Nov. 12, Datadog will report its inaugural earnings report since going public in September. The market has high expectations for the company.
Datadog has garnered a $9.6 billion market capitalization despite having less than $300 million in revenue. But the company is growing at a wild pace. Revenue for the trailing-12-month period ending June 30 increased 82% year over year.
This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.
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