Adobe Inc. (ADBE) vs Datadog, Inc. (DDOG)

Adobe Inc. and Datadog, Inc. are both Software Application companies. Adobe Inc. and Datadog, Inc. are of similar size ($92.6B and $92.5B). Adobe Inc. trades at the lower P/E: 13.1× against 526×. Datadog, Inc. grew revenue faster over the last twelve months: 31.5% against 12.0%. Adobe Inc. has the higher net margin (28.1% vs 4.48%) and the higher return on invested capital (46.4% vs 2.78%). Across the 22 metrics below, Adobe Inc. leads on 17 and Datadog, Inc. on 5.

Valuation

Metric ADBE DDOG Software Application median
P/E 13.13 525.75 24.79
P/S 3.58 24.08 2.67
P/B 7.91 21.87 3.01
Price to free cash flow 8.78 89.04 16.59
EV/EBITDA 9.27 760.32 14.40
EV/Sales 3.61 23.07 2.62
Earnings yield 7.62% 0.19% 0.00%
Free cash flow yield 11.39% 1.12% 1.91%

Profitability

Metric ADBE DDOG Software Application median
Gross margin 89.25% 79.51% 67.03%
Operating margin 35.70% 0.41% 0.00%
Net margin 28.05% 4.48% 0.00%
Free cash flow margin 40.79% 27.04% 4.32%
Return on equity 61.90% 4.70% 0.00%
Return on assets 24.80% 2.66% 0.00%
Return on invested capital 46.40% 2.78% 0.00%

Growth

Metric ADBE DDOG Software Application median
Revenue growth (TTM) 12.03% 31.52% 12.40%
EPS growth (last fiscal year) 35.11% (40.38%) —
Revenue growth, 5-year CAGR 13.06% 41.53% 13.72%
Net income growth, 5-year CAGR 6.27% 0.00% 0.00%

Health

Metric ADBE DDOG Software Application median
Debt to equity 0.54 0.23 0.02
Current ratio 0.77 3.20 1.55
Net debt to EBITDA (0.04) (88.97) 0.06

Dividend

Metric ADBE DDOG Software Application median
Dividend yield — — 1.25%
Payout ratio 0.00 0.00 0.00

Size

Metric ADBE DDOG Software Application median
Market cap 92.59b 92.46b 396.11m

Compare with another peer

Any metric, up to five companies and an Excel export Powerpack