Better Buy: Alphabet vs. Datadog
Alphabet (NASDAQ: GOOG) (NASDAQ: GOOGL) and Datadog (NASDAQ: DDOG) went in opposite directions over the past few months as the rotation from growth to value stocks rattled the tech sector. Alphabet's stock has risen nearly 40% since the beginning of 2021 as Google's advertising business recovered from the pandemic and its cloud business expanded. Its balance of growth and value, a quality that it shares with the other FAANG stocks, also shielded it from the sell-off in pricier tech stocks.
Datadog's stock has dipped about 3% this year, disappointing investors, who expected a continuation of its 160% rally in 2020. Like many other high-growth software stocks, Datadog's frothy valuations exposed it to the broader tech sell-off more than mature tech companies like Alphabet.
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Source Fool.com
