DigitalOcean Holdings, Inc. (NYSE:DOCN) Receives $151.93 Average PT from Analysts

Shares of DigitalOcean Holdings, Inc. (NYSE:DOCN) have earned an average rating of “Moderate Buy” from the sixteen analysts that are currently covering the firm, Marketbeat.com reports. Three equities research analysts have rated the stock with a hold recommendation, eleven have assigned a buy recommendation and two have assigned a strong buy recommendation to the company. The average 1-year price target among brokers that have issued a report on the stock in the last year is $151.3333.

A number of research analysts recently commented on DOCN shares. Morgan Stanley upped their price target on shares of DigitalOcean from $75.00 to $175.00 and gave the company an “overweight” rating in a research note on Wednesday, May 6th. Barclays boosted their price objective on DigitalOcean from $160.00 to $161.00 and gave the stock an “overweight” rating in a report on Wednesday. Oppenheimer set a $190.00 target price on DigitalOcean in a research note on Wednesday, May 6th. UBS Group dropped their price target on DigitalOcean from $155.00 to $140.00 and set a “neutral” rating for the company in a report on Wednesday. Finally, Citigroup boosted their price target on DigitalOcean from $185.00 to $190.00 and gave the company a “buy” rating in a research note on Wednesday.

DigitalOcean Trading Up 0.0%

Shares of DigitalOcean stock opened at $124.16 on Monday. The company has a debt-to-equity ratio of 1.14, a current ratio of 1.31 and a quick ratio of 1.31. The business has a fifty day simple moving average of $144.25 and a two-hundred day simple moving average of $108.97. DigitalOcean has a 1 year low of $28.79 and a 1 year high of $187.50. The company has a market capitalization of $12.96 billion, a price-to-earnings ratio of 56.69, a P/E/G ratio of 113.10 and a beta of 1.61.

DigitalOcean (NYSE:DOCN) last issued its quarterly earnings data on Tuesday, August 4th. The company reported $0.45 earnings per share for the quarter, beating the consensus estimate of $0.26 by $0.19. The company had revenue of $281.18 million for the quarter, compared to analyst estimates of $279.03 million. DigitalOcean had a net margin of 23.26% and a return on equity of 31.01%. The company’s revenue was up 28.6% on a year-over-year basis. During the same period in the prior year, the firm earned $0.39 earnings per share. DigitalOcean has set its FY 2026 guidance at 1.350-1.400 EPS and its Q3 2026 guidance at 0.280-0.300 EPS. Research analysts forecast that DigitalOcean will post 0.59 EPS for the current year.

Insider Transactions at DigitalOcean

In other DigitalOcean news, Director Hilary Schneider sold 4,338 shares of DigitalOcean stock in a transaction dated Friday, May 15th. The shares were sold at an average price of $156.38, for a total value of $678,376.44. Following the completion of the sale, the director owned 24,323 shares in the company, valued at $3,803,630.74. The trade was a 15.14% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, CFO Matt Steinfort sold 10,000 shares of the business’s stock in a transaction dated Tuesday, June 2nd. The shares were sold at an average price of $170.07, for a total transaction of $1,700,700.00. Following the completion of the sale, the chief financial officer directly owned 538,414 shares of the company’s stock, valued at $91,568,068.98. This represents a 1.82% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. 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. In the last three months, insiders sold 39,338 shares of company stock valued at $6,191,576. 0.96% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Several hedge funds have recently made changes to their positions in DOCN. Fuller & Thaler Asset Management Inc. increased its stake in DigitalOcean by 11.6% during the 4th quarter. Fuller & Thaler Asset Management Inc. now owns 2,420,341 shares of the company’s stock worth $116,467,000 after acquiring an additional 252,303 shares during the period. Lazard Asset Management LLC raised its holdings in DigitalOcean by 34.5% in the 2nd quarter. Lazard Asset Management LLC now owns 1,660,731 shares of the company’s stock valued at $47,430,000 after acquiring an additional 426,264 shares in the last quarter. Van Berkom & Associates Inc. lifted its position in shares of DigitalOcean by 2.9% during the 4th quarter. Van Berkom & Associates Inc. now owns 1,610,671 shares of the company’s stock valued at $77,505,000 after acquiring an additional 45,680 shares during the period. First Trust Advisors LP grew its holdings in shares of DigitalOcean by 9.3% during the 1st quarter. First Trust Advisors LP now owns 1,441,151 shares of the company’s stock worth $123,622,000 after purchasing an additional 122,675 shares in the last quarter. Finally, Dimensional Fund Advisors LP grew its holdings in shares of DigitalOcean by 2.4% during the 4th quarter. Dimensional Fund Advisors LP now owns 1,359,695 shares of the company’s stock worth $65,432,000 after purchasing an additional 31,682 shares in the last quarter. 49.77% of the stock is owned by institutional investors.

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.