Sifting through countless of stocks in the Software industry can be tedious, and sometimes two stocks are just too similar to judge which is the better investment. If you’re on the fence about investing in Datadog, Inc. or Oracle Corporation because you’re not sure how they measure up, it’s important to compare them on a few factors before making your decision.

Read on to learn how Datadog, Inc. and Oracle Corporation compare based on key financial metrics to determine which better meets your investment needs.

About Datadog, Inc. and Oracle Corporation

Datadog, Inc. operates an observability and security platform for cloud applications in the United States and internationally. The company’s products comprise infrastructure and application performance monitoring, log management, observability pipelines, synthetics, real user monitoring, product analytics, continuous profiler, database monitoring, data observability, LLM observability, error tracking, network monitoring, incident response, workflow automation and App builder, event management, bits AI SRE, cloud cost management, cloud security, code security, cloud SIEM, threat management, sensitive data scanner, and CI visibility. Datadog, Inc. was incorporated in 2010 and is headquartered in New York, New York.

Oracle Corporation offers products and services that build, run and support enterprise information technology frameworks worldwide. Its Oracle cloud software as a service offering includes various cloud software applications, including Oracle Fusion cloud enterprise resource planning ERP, Oracle Fusion cloud enterprise performance management EPM, Oracle Fusion cloud supply chain and manufacturing management SCM, Oracle Fusion cloud human capital management HCM, and NetSuite applications suite, Oracle Health applications, as well as Oracle Fusion Sales, Service, and Marketing. The company also offers cloud-based industry solutions for various industries; Oracle cloud license and on-premise license; and Oracle license support services. In addition, it provides cloud and license business’ infrastructure technologies, such as the Oracle Database and MySQL Database; Java, a software development language; and middleware, including development tools and others. The company’s cloud and license business’ infrastructure technologies also comprise cloud-based compute, storage, and networking capabilities; and Oracle autonomous database, as well as AI, Internet-of-Things, machine learning, digital assistant, and blockchain. Further, it provides hardware products and other hardware-related software offerings, including Oracle engineered systems, enterprise servers, storage solutions, industry-specific hardware, virtualization software, operating systems, management software, and related hardware support services, and consulting and advanced customer services. It markets and sells its cloud, license, hardware, support, and services offerings directly to businesses in various industries, government agencies, and educational institutions, as well as through indirect channels. Oracle Corporation has a strategic alliance with Metron, Inc. The company was founded in 1977 and is headquartered in Austin, Texas.

Latest Software and Datadog, Inc., Oracle Corporation Stock News

As of July 2, 2026, Datadog, Inc. had a $92.7 billion market capitalization, compared to the Software median of $1.2 million. Datadog, Inc.’s stock is up 91.5% in 2026, up 17.8% in the previous five trading days and up 96.75% in the past year.

Currently, Datadog, Inc.’s price-earnings ratio is 683.4. Datadog, Inc.’s trailing 12-month revenue is $3.7 billion with a 3.7% net profit margin. Year-over-year quarterly sales growth most recently was 32.1%. Analysts expect adjusted earnings to reach $2.421 per share for the current fiscal year. Datadog, Inc. does not currently pay a dividend.

As of July 2, 2026, Oracle Corporation had a $404.0 billion market cap, putting it in the 99th percentile of all stocks. Oracle Corporation’s stock is down 28% in 2026, down 8% in the previous five trading days and down 35.94% in the past year.

Currently, Oracle Corporation’s price-earnings ratio is 24.1. Oracle Corporation’s trailing 12-month revenue is $67.4 billion with a 25.4% net profit margin. Year-over-year quarterly sales growth most recently was 20.6%. Analysts expect adjusted earnings to reach $8.045 per share for the current fiscal year. Oracle Corporation currently has a 1.4% dividend yield.

How We Compare Datadog, Inc. and Oracle Corporation Stock Grades

Stock evaluation requires access to huge amounts of data and the knowledge and time to sift through it all, make sense of financial ratios, read income statements and analyze recent stock movements. AAII created A+ Investor, a robust data suite that condenses data research in an actionable and customizable way suitable for investors of all knowledge levels, to help investors streamline and work through such data.

AAII’s proprietary stock grades come with A+ Investor. These offer intuitive A‐F grades for each of five key investing factors: value, growth, momentum, earnings estimate revisions and quality. Here, we’ll take a closer look at Datadog, Inc. and Oracle Corporation’s stock grades to see how they measure up against one another.

Learn more about A+ Investor here!

Sign Up to Receive a Free Special Report Showing How A+ Grades Can Help You Make Smarter Investment Decisions

Datadog, Inc. and Oracle Corporation’s Quality Grades

Company	Ticker	Quality
Datadog, Inc.	DDOG	A
Oracle Corporation	ORCL	C

Like the Value Grade, AAII’s A+ Investor Quality Grade comes from the percentile rank of key metrics. Specifically, the Quality Score is the percentile rank of the average of the percentile ranks of return on assets (ROA), return on invested capital (ROIC), gross profit relative to assets, buyback yield, change in total liabilities to assets, accruals, Z double prime bankruptcy risk (Z) score and the F-Score.

The score is variable, meaning it can consider all eight measures or, should any of the eight measures not be valid, the remaining measures that are valid. To be assigned a Quality Score, stocks must have a valid (non-null) measure and corresponding ranking for at least four of the eight quality measures.

The Quality Score is used to assess the underlying “quality” of a particular stock. A higher-quality stock possesses traits associated with upside potential and reduced downside risk. Backtesting of the Quality Grade shows that stocks with higher grades, on average, outperformed stocks with lower grades over the period of 1998 through 2019.

Stocks receive better grades (higher scores) for having higher scores for the quality subcomponents and worse grades (lower scores) for lower scores for the subcomponents.

Datadog, Inc. has a Quality Score of 90, which is Very Strong. Oracle Corporation has a Quality Score of 44, which is Average.

The Quality Grade Winner: Datadog, Inc.

As you can clearly see from the Quality Grade breakdown above, Datadog, Inc. has a better overall quality grade than Oracle Corporation. For investors who are looking for companies with higher quality than others in the same industry, Datadog, Inc. could be a good stock to add to their portfolios. However, it’s important for investors to analyze multiple factors based on a wide range of metrics before deciding whether to buy.

Datadog, Inc. and Oracle Corporation’s Momentum Grades

Company	Ticker	Momentum
Datadog, Inc.	DDOG	A
Oracle Corporation	ORCL	F

Momentum grades help to uncover stocks experiencing anomalously high rates of return; research finds that stocks with high relative levels of momentum tend to outperform, whereas those with low levels of momentum tend to continue underperforming. Momentum is based on the price change of a stock over a specified period relative to all other stocks.

Typically, AAII looks at the weighted relative strength over the trailing four quarters. The weighted four-quarter relative strength rank is the relative price change for each of the past four quarters. The most recent quarterly price change is given a weight of 40% and each of the three previous quarters are given a weighting of 20%.

Datadog, Inc. has a Momentum Score of 95, which is Very Strong. Oracle Corporation has a Momentum Score of 17, which is Very Weak.

The Momentum Grade Winner: Datadog, Inc.

As you can clearly see from the Momentum Grade breakdown above, Datadog, Inc. is considered to have stronger momentum compared to Oracle Corporation. For those specifically looking for companies that have stronger momentum compared to other companies in the same industry, Datadog, Inc. could be a good stock to invest in. However, it’s important for investors to analyze multiple factors based on a wide range of metrics before deciding whether to buy.

Datadog, Inc. and Oracle Corporation’s Estimate Revisions Grades

Company	Ticker	Earnings Estimate
Datadog, Inc.	DDOG	B
Oracle Corporation	ORCL	C

Earnings estimate revisions scores consider the magnitude of a company’s earnings surprise in its last two reported fiscal quarters. Often, positive surprises beget further positive surprises‐or at least continued sales growth (the exact opposite is generally true, too).

Estimate revisions offer an indication of what analysts are thinking about the short-term prospects of a firm. Estimate revisions are based on the statistical significance of a firm’s last two quarterly earnings surprises and the percentage change in its consensus estimate for the current fiscal year over the past month and past three months.

Datadog, Inc. has a Earnings Estimate Score of 67, which is Positive. Oracle Corporation has a Earnings Estimate Score of 53, which is Neutral.

The Earnings Estimate Revisions Grade Winner: Datadog, Inc.

As you can clearly see from the Earnings Estimate Revisions Grade breakdown above, Datadog, Inc. has a better Earnings Estimate Revisions Grade than Oracle Corporation. For those who are specifically looking for companies with better short-term prospects when compared to other companies in the same industry, Datadog, Inc. could be a good stock to invest in. However, it’s important to analyze multiple factors based on a wide range of metrics before deciding whether to buy.

Other Datadog, Inc. and Oracle Corporation Grades

In addition to Estimate Revisions, Quality and Momentum, A+ Investor also provides grades for Value and Growth.

Growth investing builds on the idea that stocks of companies exhibiting strong, consistent and prolonged growth outperform those of slower-growth companies. AAII measures growth through consistency of annual sales growth, five-year sales growth rankings adjusted for extreme levels, and consistency of positive annual cash from operations.

Successful stock investing involves buying low and selling high, so stock valuation is an important consideration for stock selection. Buying stocks that are going to go up typically means buying stocks that are undervalued in the first place, although momentum investors may argue that point.

These 2 key factors, when combined with the above, provide a holistic view into a particular stock. Further, by joining A+ Investor you can see whether Datadog, Inc. and Oracle Corporation pass any of our 60+ stock screens that have outperformed the market since their creation.

So, Which Is the Better Investment, Datadog, Inc. or Oracle Corporation Stock?

Overall, Datadog, Inc. stock has a Momentum Score of 95, Estimate Revisions Score of 67 and Quality Score of 90.

Oracle Corporation stock has a Momentum Score of 17, Estimate Revisions Score of 53 and Quality Score of 44.

Comparing Datadog, Inc. and Oracle Corporation’s grades, scores and metrics can act as a solid basis to determine whether they may be a good investment or not. You’ll also want to look at your portfolio’s asset allocation as well as your risk tolerance and financial goals to see if either of these stocks would make a good fit for you. AAII can help you figure out which investments align with your individual needs and preferences.

Investors are encouraged to do their own due diligence and research. In this way, individuals can effectively become managers of their own assets‐without having to rely on others for financial independence. You can count on AAII for timeless articles on financial planning and stock-picking, unbiased research and actionable analysis.

A+ Investor adds to our qualitative teaching with a powerful data suite to help you whittle down investment choices to find stocks, exchange-traded funds (ETFs) or mutual funds that meet your needs.

AAII Disclaimer

We make no representations or warranties that any investor will, or is likely to, achieve profits similar to those shown, because past, hypothetical or simulated performance is not necessarily indicative of future results. Before making an investment decision, you should consider your circumstances and whether the information on our content is applicable to your situation. This information was prepared in good faith, and we accept no liability for any errors or omissions. The full disclaimer can be read here.