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DDOG vs. SNOW: A Head-to-Head Stock Comparison

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Here’s a clear look at DDOG and SNOW, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

SymbolDDOGSNOW
Company NameDatadog, Inc.Snowflake Inc.
CountryUnited StatesUnited States
GICS SectorInformation TechnologyInformation Technology
GICS IndustrySoftwareIT Services
Market Capitalization49.36 billion USD78.11 billion USD
ExchangeNasdaqGSNYSE
Listing DateSeptember 19, 2019September 16, 2020
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of DDOG and SNOW by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

DDOG vs. SNOW: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolDDOGSNOW
5-Day Price Return4.27%1.34%
13-Week Price Return6.01%0.80%
26-Week Price Return31.89%41.20%
52-Week Price Return24.69%97.99%
Month-to-Date Return4.19%-5.49%
Year-to-Date Return-0.34%46.07%
10-Day Avg. Volume4.16M4.12M
3-Month Avg. Volume6.23M5.29M
3-Month Volatility47.39%52.74%
Beta1.201.25

Profitability

Return on Equity (TTM)

DDOG

4.35%

Software Industry

Max
66.28%
Q3
21.28%
Median
9.33%
Q1
-8.77%
Min
-48.16%

DDOG’s Return on Equity of 4.35% is on par with the norm for the Software industry, indicating its profitability relative to shareholder equity is typical for the sector.

SNOW

-51.54%

IT Services Industry

Max
32.78%
Q3
19.28%
Median
13.86%
Q1
5.50%
Min
-10.00%

SNOW has a negative Return on Equity of -51.54%. This indicates the company is generating a loss for its shareholders, which can be a result of unprofitability or negative shareholder equity and is often a sign of financial distress.

DDOG vs. SNOW: A comparison of their Return on Equity (TTM) against their respective Software and IT Services industry benchmarks.

Net Profit Margin (TTM)

DDOG

4.13%

Software Industry

Max
51.92%
Q3
19.23%
Median
6.98%
Q1
-7.14%
Min
-41.00%

DDOG’s Net Profit Margin of 4.13% is aligned with the median group of its peers in the Software industry. This indicates its ability to convert revenue into profit is typical for the sector.

SNOW

-33.53%

IT Services Industry

Max
19.71%
Q3
11.01%
Median
6.66%
Q1
2.96%
Min
-6.22%

SNOW has a negative Net Profit Margin of -33.53%, indicating the company is operating at a net loss as its expenses exceeded its revenues.

DDOG vs. SNOW: A comparison of their Net Profit Margin (TTM) against their respective Software and IT Services industry benchmarks.

Operating Profit Margin (TTM)

DDOG

-0.61%

Software Industry

Max
60.40%
Q3
21.25%
Median
9.90%
Q1
-4.97%
Min
-43.50%

DDOG has a negative Operating Profit Margin of -0.61%. This signifies the company is unprofitable at the operational level, as its core business expenses exceed its revenue.

SNOW

-38.18%

IT Services Industry

Max
22.44%
Q3
14.90%
Median
8.82%
Q1
4.91%
Min
-9.89%

SNOW has a negative Operating Profit Margin of -38.18%. This signifies the company is unprofitable at the operational level, as its core business expenses exceed its revenue.

DDOG vs. SNOW: A comparison of their Operating Profit Margin (TTM) against their respective Software and IT Services industry benchmarks.

Profitability at a Glance

SymbolDDOGSNOW
Return on Equity (TTM)4.35%-51.54%
Return on Assets (TTM)2.24%-16.43%
Net Profit Margin (TTM)4.13%-33.53%
Operating Profit Margin (TTM)-0.61%-38.18%
Gross Profit Margin (TTM)79.92%66.60%

Financial Strength

Current Ratio (MRQ)

DDOG

3.43

Software Industry

Max
4.29
Q3
2.37
Median
1.40
Q1
1.03
Min
0.25

DDOG’s Current Ratio of 3.43 is in the upper quartile for the Software industry. This signifies a strong liquidity position, suggesting the company is well-equipped to cover its immediate liabilities compared to its peers.

SNOW

1.48

IT Services Industry

Max
3.17
Q3
2.00
Median
1.47
Q1
1.05
Min
0.52

SNOW’s Current Ratio of 1.48 aligns with the median group of the IT Services industry, indicating that its short-term liquidity is in line with its sector peers.

DDOG vs. SNOW: A comparison of their Current Ratio (MRQ) against their respective Software and IT Services industry benchmarks.

Debt-to-Equity Ratio (MRQ)

DDOG

0.31

Software Industry

Max
2.16
Q3
0.86
Median
0.31
Q1
0.00
Min
0.00

DDOG’s Debt-to-Equity Ratio of 0.31 is typical for the Software industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

SNOW

0.96

IT Services Industry

Max
3.11
Q3
1.55
Median
0.55
Q1
0.17
Min
0.00

SNOW’s Debt-to-Equity Ratio of 0.96 is typical for the IT Services industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

DDOG vs. SNOW: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Software and IT Services industry benchmarks.

Interest Coverage Ratio (TTM)

DDOG

-1.64

Software Industry

Max
89.65
Q3
32.64
Median
1.00
Q1
-9.84
Min
-71.23

DDOG has a negative Interest Coverage Ratio of -1.64. This indicates that its earnings were insufficient to cover even its operational costs, let alone its interest payments, signaling significant financial distress.

SNOW

--

IT Services Industry

Max
129.00
Q3
56.00
Median
11.69
Q1
0.77
Min
-28.15

Interest Coverage Ratio data for SNOW is currently unavailable.

DDOG vs. SNOW: A comparison of their Interest Coverage Ratio (TTM) against their respective Software and IT Services industry benchmarks.

Financial Strength at a Glance

SymbolDDOGSNOW
Current Ratio (MRQ)3.431.48
Quick Ratio (MRQ)3.381.41
Debt-to-Equity Ratio (MRQ)0.310.96
Interest Coverage Ratio (TTM)-1.64--

Growth

Revenue Growth

DDOG vs. SNOW: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

DDOG vs. SNOW: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

DDOG

0.00%

Software Industry

Max
0.22%
Q3
0.11%
Median
0.00%
Q1
0.00%
Min
0.00%

DDOG currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

SNOW

0.00%

IT Services Industry

Max
2.79%
Q3
1.76%
Median
0.58%
Q1
0.00%
Min
0.00%

SNOW currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

DDOG vs. SNOW: A comparison of their Dividend Yield (TTM) against their respective Software and IT Services industry benchmarks.

Dividend Payout Ratio (TTM)

DDOG

0.00%

Software Industry

Max
3.29%
Q3
2.41%
Median
0.00%
Q1
0.00%
Min
0.00%

DDOG has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

SNOW

0.00%

IT Services Industry

Max
107.85%
Q3
52.62%
Median
22.53%
Q1
0.00%
Min
0.00%

SNOW has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

DDOG vs. SNOW: A comparison of their Dividend Payout Ratio (TTM) against their respective Software and IT Services industry benchmarks.

Dividend at a Glance

SymbolDDOGSNOW
Dividend Yield (TTM)0.00%0.00%
Dividend Payout Ratio (TTM)0.00%0.00%

Valuation

Price-to-Earnings Ratio (TTM)

DDOG

429.90

Software Industry

Max
145.74
Q3
94.88
Median
45.35
Q1
26.66
Min
8.80

At 429.90, DDOG’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Software industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.

SNOW

--

IT Services Industry

Max
56.41
Q3
33.17
Median
23.17
Q1
16.18
Min
6.62

P/E Ratio data for SNOW is currently unavailable.

DDOG vs. SNOW: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Software and IT Services industry benchmarks.

Price-to-Sales Ratio (TTM)

DDOG

17.76

Software Industry

Max
25.67
Q3
13.68
Median
8.28
Q1
4.95
Min
0.90

DDOG’s P/S Ratio of 17.76 is in the upper echelon for the Software industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.

SNOW

18.94

IT Services Industry

Max
5.99
Q3
4.26
Median
1.93
Q1
0.97
Min
0.12

With a P/S Ratio of 18.94, SNOW trades at a valuation that eclipses even the highest in the IT Services industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.

DDOG vs. SNOW: A comparison of their Price-to-Sales Ratio (TTM) against their respective Software and IT Services industry benchmarks.

Price-to-Book Ratio (MRQ)

DDOG

14.52

Software Industry

Max
30.67
Q3
14.92
Median
8.52
Q1
3.89
Min
0.38

DDOG’s P/B Ratio of 14.52 is within the conventional range for the Software industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

SNOW

31.43

IT Services Industry

Max
12.34
Q3
7.54
Median
3.84
Q1
2.52
Min
0.88

At 31.43, SNOW’s P/B Ratio is at an extreme premium to the IT Services industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

DDOG vs. SNOW: A comparison of their Price-to-Book Ratio (MRQ) against their respective Software and IT Services industry benchmarks.

Valuation at a Glance

SymbolDDOGSNOW
Price-to-Earnings Ratio (TTM)429.90--
Price-to-Sales Ratio (TTM)17.7618.94
Price-to-Book Ratio (MRQ)14.5231.43
Price-to-Free Cash Flow Ratio (TTM)62.69106.24
DDOG vs. SNOW: A Head-to-Head Stock Comparison