Headlines · 2026-11-04

Datadog reported third-quarter 2026 revenue of $1.197bn, up 35% year over year and above the roughly $1.15bn consensus, with non-GAAP diluted EPS of $0.81 versus $0.64-0.65 expected. Non-GAAP operating income was $334m at a 28% margin and free cash flow was $251m; customers with ARR of at least $100,000 reached about 4,860, up roughly 20%.

For the fourth quarter the company guided to revenue of $1.19bn-$1.20bn, implying 25%-26% growth, and non-GAAP EPS of $0.69-$0.71; full-year revenue is guided to $4.515bn-$4.525bn. Management said its largest customer renewed above minimum commitments in the third quarter, but the fourth-quarter outlook models only the contractual minimum, alongside seasonal slowing in late December and marketing spend including AWS re:Invent.

Shares fell as much as 12%-17% in premarket trading from a prior close of $220.52, despite the beat. Investors focused on the deceleration implied by guidance and quarterly variability tied to the largest customer rather than the size of the third-quarter outperformance.

Duolingo also reported the same day, with revenue of $309m, up 14%, EPS of $0.54 below estimates and daily active users of 64.9m, up 29%; Arista Networks, Booking and Astera Labs also beat. Datadog's drop contrasted with gains elsewhere in the group, underlining how sensitive richly valued software names are to forward guidance. Datadog did not reconcile its non-GAAP guidance to GAAP measures.

US equity futures erased all of their losses and turned positive after midterm election results came in, with the Dow Jones Industrial Average opening nearly 1,000 points higher and the Nasdaq 100 up more than 1%. Earlier in the session, S&P 500 perpetual futures fell below 7,500 and Nasdaq futures dropped more than 2%, while Japan's Nikkei and South Korea's KOSPI also slid.

According to the X account kobeissiletter, markets fell and then reversed sharply after Democrats took control of the House and Senate; the account described the prior night's decline as a "textbook bear trap" and said US stocks added more than $1 trillion in market cap at the open. The same account said gold and silver added a combined $1 trillion in market cap on the day. These market-cap and index-level figures come from a single social media source and have not been independently verified.

On the sector side, high-beta AI semiconductor names rallied after earnings, with one account citing AEHR and FN. Coverage in the past 48 hours focused on Cipher Digital (CIFR): the company reported weaker-than-expected third-quarter sales, analysts cut price targets while keeping bullish ratings, and the stock fell 53.9% in October amid AI financing concerns and an $850 million convertible debt offering.

The causal link between election results and market direction comes from social media commentary rather than official data; futures levels and the gold and silver market-cap moves lack cross-verification from authoritative sources, and readers should rely on exchange and official settlement data.

AMD reported third-quarter adjusted earnings of $2.09 per share, beating the $1.94 consensus, on revenue of $13.4 billion versus the $13.1 billion expected. Data center revenue came in at $8.55 billion, above the $8.13 billion estimate, while gross margin reached 56% against expectations of 45%.

The company guided fourth-quarter revenue to $17 billion, ahead of the $16 billion consensus, with gross margin guidance of 55%, in line with expectations. Data center revenue has grown from $1.1 billion in the same quarter of 2021, underscoring sustained AI compute demand.

AMD shares rose more than 6% in after-hours trading following the report, with some reports citing gains above 9%, adding roughly $50 billion in market capitalization. The stock was up about 4% at $486 ahead of the release.

Wall Street analysts began revising AMD price targets after the results. A separate 13F filing showed Aware Super Pty Ltd increased its AMD position by 2.5% in the third quarter.