Datadog 'out of the doghouse' with flagship conference, Q2 results on tap: analyst
iambuff/iStock via Getty Images
Datadog (NASDAQ:DDOG) will host its annual flagship conference starting tomorrow and is set report second-quarter results on August 8 and investment firm Monness, Crespi, Hardt noted the cloud software company is "out of the doghouse." 
Analyst Brian White, who has a neutral rating on Datadog (DDOG) shares, said the company is hosting its annual flagship conference, DASH, starting tomorrow, where he is expecting a "flurry of innovations" to be unveiled. 
"In our view, the combination of the secular cloud trend, digital transformation, and Datadogâs expanding portfolio bodes well for the companyâs long-term prospects," White wrote in an investor note.
Looking to the second-quarter results, White is expecting the company to generate $522M in revenue, up 29% year-over-year, with earnings of 32 cents per share, both above Wall Street estimates of $500.6M and 28 cents, respectively. 
He's also looking for deferred revenue to rise 38% year-over-year to $631.7M, with billings up 43% to $568.8M. 
"Given Datadog is still relatively new to the public markets, historical data is limited and seasonal trends unconvincing," White added, pointing out the company had roughly 25,500 customers at the end of last quarter, with roughly 2,910 of them generating $100,000 or more in annual recurring revenue.
Despite that, White is expecting growth to slow down for the sixth consecutive quarter, with the big cloud companies like Google (GOOG) (GOOGL) and Microsoft (MSFT) recently noting that "customers continued to optimize spend, driving a moderation in consumption growth."
Amazon (AMZN) is slated to report second-quarter results this week, with all eyes on AWS.
Looking ahead, White is forecasting third-quarter revenue of $572M and earnings of 36 cents per share, 
For the full-year, the company's outlook for 2023 - which is seen as "consevrative" - calls for sales to be between $2.08B and $2.1B and earnings between $1.13 and $1.20 per share. White is expecting full-year sales of $2.21B, with earnings at $1.44 per share.
More on Datadog

Datadog stock jumps after Wolfe upgrades on easing competition, gen AI opportunity
Datadog: 50 Top Growth Stocks, These 3 Worth Considering
Leading The Pack: Datadog's Aggressive Growth And Future Prospects