Software startup Observe raises $156 million in Sutter Hill-led fundraise
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jul 30 2025
0mins
Should l Buy DDOG?
Source: Reuters
Funding and Growth: Observe, a startup focused on app system monitoring, raised $156 million in a Series C funding round led by Sutter Hill Ventures to enhance product development and expand its North American operations.
Market Positioning: The company aims to provide a cost-effective alternative to larger competitors like Datadog and Splunk, leveraging AI for user-friendly data querying, and has seen significant revenue growth and customer retention.
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Analyst Views on DDOG
Wall Street analysts forecast DDOG stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for DDOG is 207.39 USD with a low forecast of 140.00 USD and a high forecast of 255.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
33 Analyst Rating
30 Buy
3 Hold
0 Sell
Strong Buy
Current: 111.690
Low
140.00
Averages
207.39
High
255.00
Current: 111.690
Low
140.00
Averages
207.39
High
255.00
About DDOG
Datadog, Inc. provides an observability and security platform for cloud applications. The Company’s SaaS platform integrates and automates infrastructure monitoring, application performance monitoring, log management, user experience monitoring, cloud security and many other capabilities to provide unified, real-time observability and security for its customers’ entire technology stack. Its platform consists of products that can be used individually or as a unified solution and includes a marketplace where customers can access products built by its partners on top of the Datadog platform. Its products include Infrastructure Monitoring, Application Performance Monitoring, Log Management, Digital Experience Monitoring, Continuous Profiler, Database Monitoring, Data Observability, Universal Service Monitoring, Network Monitoring and others. It owns Metaplane, an end-to-end data observability platform that provides advanced machine learning-powered monitoring and column-level lineage.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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- High-Frequency Trading Insight: Notably, the $105 strike put option expiring on February 13, 2026, has seen 6,809 contracts traded today, representing around 680,900 underlying shares, suggesting an increased bearish sentiment among investors regarding the stock's price trajectory.
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- Bullish Call Option Trend: The $30 strike call option expiring on February 20, 2026, has seen 6,008 contracts traded today, representing about 600,800 shares, indicating a bullish outlook among investors for Teradata's future price movements.
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- ETF Performance Decline: The iShares Expanded Tech-Software Sector ETF (IGV) has experienced a nearly 30% drop from its all-time high late last year, driven by fears of AI disruption, even as the broader bull market continues to thrive.
- Support Level Analysis: Woods indicates that the IGV has major support between $80 and $77, suggesting that a drop below this range would present a significant buying opportunity, reflecting ongoing market confidence in the ETF's long-term prospects.
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See More
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- Rising Capital Expenditure Expectations: Bank of America's updated capex tracker revealed a 14% quarter-over-quarter and 66% year-over-year increase in global hyperscale capex to $148 billion in Q4, exceeding expectations by $7 billion, reflecting optimism for future investments.
- Upcoming Earnings Reports: On Semiconductor and Vornado Realty Trust are set to release earnings after the bell, with the market closely watching these reports to assess industry health, while several companies, including Coca-Cola and Spotify, will report before Tuesday's open, further influencing market sentiment.
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