(NASDAQ: DDOG) stock got clobbered after the company released its second-quarter 2023 results on Aug. 8, which wasn't surprising as management delivered soft revenue guidance for the current quarter and also lowered the full-year outlook.
Shares of the company, which provides information technology (IT) monitoring software for cloud applications, crashed 19% in a single session. Investors were quick to press the panic button as Datadog's guidance wasn't solid enough to justify its rich valuation. However, a closer look at Datadog's performance last quarter suggests that the challenges slowing it down are likely to be temporary.
Let's see why Datadog's latest drop looks like a buying opportunity.
Source Fool.com