Summit Partners Public Asset Management LLC Makes New Investment in DigitalOcean Holdings, Inc. $DOCN

Summit Partners Public Asset Management LLC bought a new position in DigitalOcean Holdings, Inc. (NYSE:DOCN) in the fourth quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The fund bought 284,000 shares of the company’s stock, valued at approximately $13,666,000. Summit Partners Public Asset Management LLC owned approximately 0.31% of DigitalOcean as of its most recent filing with the Securities and Exchange Commission (SEC).

A number of other hedge funds have also added to or reduced their stakes in the business. Allworth Financial LP increased its holdings in DigitalOcean by 54.4% in the third quarter. Allworth Financial LP now owns 724 shares of the company’s stock worth $25,000 after purchasing an additional 255 shares in the last quarter. CWM LLC increased its holdings in DigitalOcean by 1.3% in the fourth quarter. CWM LLC now owns 20,971 shares of the company’s stock worth $1,009,000 after purchasing an additional 270 shares in the last quarter. Oregon Public Employees Retirement Fund increased its holdings in DigitalOcean by 2.6% in the fourth quarter. Oregon Public Employees Retirement Fund now owns 15,729 shares of the company’s stock worth $757,000 after purchasing an additional 398 shares in the last quarter. GAMMA Investing LLC increased its holdings in DigitalOcean by 33.8% in the fourth quarter. GAMMA Investing LLC now owns 1,581 shares of the company’s stock worth $76,000 after purchasing an additional 399 shares in the last quarter. Finally, Man Group plc increased its holdings in DigitalOcean by 0.5% in the second quarter. Man Group plc now owns 82,485 shares of the company’s stock worth $2,356,000 after purchasing an additional 420 shares in the last quarter. 49.77% of the stock is currently owned by institutional investors.

Insider Buying and Selling at DigitalOcean

In related news, Director Hilary Schneider sold 4,338 shares of the company’s stock in a transaction on Friday, May 15th. The stock was sold at an average price of $156.38, for a total transaction of $678,376.44. Following the completion of the sale, the director owned 24,323 shares in the company, valued at approximately $3,803,630.74. This represents a 15.14% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through this link. Also, CFO Matt Steinfort sold 10,000 shares of the company’s stock in a transaction on Tuesday, June 2nd. The stock was sold at an average price of $170.07, for a total value of $1,700,700.00. Following the sale, the chief financial officer owned 538,414 shares of the company’s stock, valued at $91,568,068.98. This trade represents a 1.82% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders have sold 39,338 shares of company stock valued at $6,191,576 in the last quarter. 0.96% of the stock is currently owned by corporate insiders.

Analyst Upgrades and Downgrades

A number of brokerages have weighed in on DOCN. Weiss Ratings reiterated a “hold (c+)” rating on shares of DigitalOcean in a report on Friday, March 27th. Morgan Stanley boosted their price objective on DigitalOcean from $75.00 to $175.00 and gave the company an “overweight” rating in a report on Wednesday, May 6th. Bank of America boosted their price objective on DigitalOcean from $103.00 to $107.00 and gave the company a “buy” rating in a report on Thursday, April 9th. KeyCorp began coverage on DigitalOcean in a report on Tuesday, June 2nd. They set an “overweight” rating and a $200.00 price objective for the company. Finally, Citizens Jmp boosted their price objective on DigitalOcean from $83.00 to $105.00 and gave the company a “market outperform” rating in a report on Thursday, March 26th. One research analyst has rated the stock with a Strong Buy rating, nine have issued a Buy rating and three have assigned a Hold rating to the company’s stock. According to data from MarketBeat.com, DigitalOcean has an average rating of “Moderate Buy” and a consensus price target of $146.36.

DigitalOcean Trading Down 3.8%

NYSE DOCN opened at $174.44 on Wednesday. The company has a market cap of $18.20 billion, a price-to-earnings ratio of 76.18 and a beta of 1.60. DigitalOcean Holdings, Inc. has a 52 week low of $25.56 and a 52 week high of $185.99. The business has a 50 day moving average price of $134.78 and a 200-day moving average price of $85.97. The company has a quick ratio of 1.46, a current ratio of 1.46 and a debt-to-equity ratio of 0.92.

DigitalOcean (NYSE:DOCN) last released its quarterly earnings data on Tuesday, May 5th. The company reported $0.44 EPS for the quarter, beating the consensus estimate of $0.27 by $0.17. DigitalOcean had a return on equity of 88.86% and a net margin of 24.97%.The firm had revenue of $257.91 million during the quarter, compared to the consensus estimate of $249.76 million. During the same quarter in the previous year, the company posted $0.56 earnings per share. The company’s quarterly revenue was up 22.4% on a year-over-year basis. DigitalOcean has set its Q2 2026 guidance at 0.200-0.230 EPS and its FY 2026 guidance at 1.100-1.200 EPS. As a group, equities analysts expect that DigitalOcean Holdings, Inc. will post 0.54 earnings per share for the current fiscal year.

About DigitalOcean

DigitalOcean Holdings, Inc is a cloud infrastructure provider that focuses on simplicity, performance and developer experience. The company offers a range of cloud services designed to help software developers, startups and small- to medium-sized businesses deploy, manage and scale applications. Its flagship offering, Droplets, provides virtual private servers that can be configured with various CPU, memory and storage options. In addition to compute instances, DigitalOcean’s platform includes managed Kubernetes, scalable object and block storage, managed databases, load balancers and networking capabilities such as Virtual Private Cloud (VPC) and Floating IPs.

Founded in 2011 and headquartered in New York City, DigitalOcean was created with the goal of making cloud computing more accessible to individual developers and smaller teams.