There comes a moment in every early-stage company when investors start to see the reward of being patient with their holdings, and that is when the early stage shifts into a “growth spurt” gear. When this happens, market share and financial metrics grow large enough that the company’s stock earns its place in the higher ranks of the market, and it stops trading on the under-covered and obscure exchanges of the marketplace.
Today’s example is that of Datadog Inc. (NASDAQ: DDOG). This company has grown sufficiently in these key metrics to be included in the broader S&P 500 index, which typically excludes smaller technology stocks like this one.
