DDOG vs. PANW
DDOG (Datadog, Inc.) and PANW (Palo Alto Networks, Inc.) are both stocks. Both are in the Technology sector — DDOG in Software - Application, PANW in Software - Infrastructure. Over the past 5 years, DDOG returned 19.21%/yr vs 35.61%/yr for PANW. A 0.55 correlation means they provide meaningful diversification when combined.
Performance
DDOG vs. PANW - Performance Comparison
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Returns By Period
In the year-to-date period, DDOG achieves a 69.06% return, which is significantly higher than PANW's 51.80% return.
DDOG
- 1D
- -1.85%
- 1M
- 11.98%
- YTD
- 69.06%
- 6M
- 57.47%
- 1Y
- 87.40%
- 3Y*
- 32.99%
- 5Y*
- 19.21%
- 10Y*
- —
PANW
- 1D
- 0.03%
- 1M
- 22.75%
- YTD
- 51.80%
- 6M
- 45.87%
- 1Y
- 41.46%
- 3Y*
- 33.77%
- 5Y*
- 35.61%
- 10Y*
- 29.12%
DDOG vs. PANW - Yearly Performance Comparison
| 2026 (YTD) | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | |
|---|---|---|---|---|---|---|---|---|
DDOG Datadog, Inc. | 69.06% | -4.83% | 17.72% | 65.14% | -58.73% | 80.93% | 160.56% | -6.37% |
PANW Palo Alto Networks, Inc. | 51.80% | 1.23% | 23.41% | 111.32% | -24.81% | 56.66% | 53.68% | 10.02% |
Correlation
The correlation between DDOG and PANW is 0.62, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.
| Correlation | |
|---|---|
Correlation (1Y) Calculated over the trailing 1-year period | 0.62 |
Correlation (3Y) Calculated over the trailing 3-year period | 0.53 |
Correlation (5Y) Calculated over the trailing 5-year period | 0.57 |
Correlation (All Time) Calculated using the full available price history since Sep 19, 2019 | 0.55 |
The correlation between DDOG and PANW has been stable across timeframes, ranging from 0.53 to 0.62 - a consistent structural relationship.
Fundamentals
DDOG:
$83.85B
PANW:
$208.04B
DDOG:
$0.37
PANW:
$1.17
DDOG:
615.76
PANW:
238.46
DDOG:
5.52
PANW:
0.02
DDOG:
22.75
PANW:
18.95
DDOG:
21.02
PANW:
7.52
DDOG:
$3.67B
PANW:
$10.61B
DDOG:
$2.93B
PANW:
$7.63B
DDOG:
$173.48M
PANW:
$1.33B
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Return for Risk
DDOG vs. PANW — Risk / Return Rank
DDOG
PANW
DDOG vs. PANW - Risk-Adjusted Trends Comparison
This table presents a comparison of risk-adjusted performance metrics for Datadog, Inc. (DDOG) and Palo Alto Networks, Inc. (PANW). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.
Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.
| DDOG | PANW | Difference | |
|---|---|---|---|
| Sharpe ratioReturn per unit of total volatility | +0.27 | ||
| Sortino ratioReturn per unit of downside risk | +0.86 | ||
| Omega ratioGain probability vs. loss probability | 1.30 | 1.21 | +0.09 |
| Calmar ratioReturn relative to maximum drawdown | 1.81 | 1.16 | +0.65 |
| Martin ratioReturn relative to average drawdown | 3.53 | 2.62 | +0.91 |
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Drawdowns
DDOG vs. PANW - Drawdown Comparison
The maximum DDOG drawdown since its inception was -68.11%, which is greater than PANW's maximum drawdown of -47.98%. Use the drawdown chart below to compare losses from any high point for DDOG and PANW.
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Drawdown Indicators
| DDOG | PANW | Difference | |
|---|---|---|---|
Max DrawdownLargest peak-to-trough decline | -68.11% | -47.98% | -20.13% |
Max Drawdown (1Y)Largest decline over 1 year | -48.62% | -36.01% | -12.61% |
Max Drawdown (3Y)Largest decline over 3 years | -48.62% | -36.01% | -12.61% |
Max Drawdown (5Y)Largest decline over 5 years | -68.11% | -36.01% | -32.10% |
Max Drawdown (10Y)Largest decline over 10 years | — | -47.98% | — |
Current DrawdownCurrent decline from peak | -17.15% | -6.94% | -10.21% |
Average DrawdownAverage peak-to-trough decline | -30.96% | -14.68% | -16.28% |
Ulcer IndexDepth and duration of drawdowns from previous peaks | 24.87% | 15.87% | +9.00% |
Volatility
DDOG vs. PANW - Volatility Comparison
Datadog, Inc. (DDOG) has a higher volatility of 19.12% compared to Palo Alto Networks, Inc. (PANW) at 16.97%. This indicates that DDOG's price experiences larger fluctuations and is considered to be riskier than PANW based on this measure. The chart below showcases a comparison of their rolling one-month volatility.
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Volatility by Period
| DDOG | PANW | Difference | |
|---|---|---|---|
Volatility (1M)Calculated over the trailing 1-month period | 19.12% | 16.97% | +2.15% |
Volatility (6M)Calculated over the trailing 6-month period | 50.53% | 32.33% | +18.20% |
Volatility (1Y)Calculated over the trailing 1-year period | 65.62% | 38.96% | +26.66% |
Volatility (5Y)Calculated over the trailing 5-year period, annualized | 58.24% | 41.72% | +16.52% |
Volatility (10Y)Calculated over the trailing 10-year period, annualized | 60.05% | 38.62% | +21.43% |
Dividends
DDOG vs. PANW - Dividend Comparison
Neither DDOG nor PANW has paid dividends to shareholders.
Financials
DDOG vs. PANW - Financials Comparison
This section allows you to compare key financial metrics between Datadog, Inc. and Palo Alto Networks, Inc.. You can select fields from income statements, balance sheets, and cash flow statements to easily visualize and compare the financial health of both companies.
Total Revenue: Total amount of money received from sales and other business activities
DDOG vs. PANW - Profitability Comparison
DDOG - Gross Margin
Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, Datadog, Inc. reported a gross profit of 797.20M and revenue of 1.01B. Therefore, the gross margin over that period was 79.2%.
PANW - Gross Margin
Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, Palo Alto Networks, Inc. reported a gross profit of 2.03B and revenue of 3.00B. Therefore, the gross margin over that period was 67.6%.
DDOG - Operating Margin
Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, Datadog, Inc. reported an operating income of 7.33M and revenue of 1.01B, resulting in an operating margin of 0.7%.
PANW - Operating Margin
Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, Palo Alto Networks, Inc. reported an operating income of -186.00M and revenue of 3.00B, resulting in an operating margin of -6.2%.
DDOG - Net Margin
Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, Datadog, Inc. reported a net income of 52.57M and revenue of 1.01B, resulting in a net margin of 5.2%.
PANW - Net Margin
Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, Palo Alto Networks, Inc. reported a net income of -177.00M and revenue of 3.00B, resulting in a net margin of -5.9%.
Frequently Asked Questions
DDOG and PANW have a correlation of 0.62, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.
DDOG has higher volatility (19.12%) compared to PANW (16.97%). In terms of maximum drawdown, DDOG dropped -68.11% vs PANW's -47.98%.
DDOG currently has the higher Sharpe Ratio (1.34 vs 1.07), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.
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