Brown Capital Management released its “The Brown Capital Management Small Company Fund” second quarter 2025 investor letter. Small-cap US stocks rebounded in Q2, with the fund returning 8.59%, lagging the Russell 2000® Growth index’s 11.97%. Check the fund’s top five holdings for its best picks in 2025.

In the same letter, the fund highlighted Datadog, Inc. (NASDAQ:DDOG), an observability and security platform for cloud applications. DDOG had a one-month return of 5.76% and gained 22.53% over the past year. On September 12, 2025, DDOG closed at $136.50 per share, with a market cap of $47.604 billion.

Datadog, Inc. (NASDAQ:DDOG) was noted as a contributor to performance in Q2 2025. 103 hedge fund portfolios held DDOG at the end of Q2, compared to 84 in the previous quarter. DDOG reported revenue of $827 million in Q2, a 28% YoY increase.

Datadog, Inc. (NASDAQ:DDOG) is not among the 30 most popular stocks among hedge funds. While DDOG has potential as an investment, there are AI stocks with greater upside potential and less downside risk. An article covers DDOG and lists the best tech stocks to buy for the long term.

Read more at Yahoo Finance: Do You Believe in Datadog’s (DDOG) Growth Potential?