DigitalOcean Holdings, Inc. (NYSE:DOCN) Stock Has Average Price Target of $154.69

DigitalOcean Holdings, Inc. (NYSE:DOCN) has earned a consensus recommendation of “Moderate Buy” from the seventeen research firms that are covering the firm, Marketbeat.com reports. Three investment analysts have rated the stock with a hold rating, thirteen have issued a buy rating and one has issued a strong buy rating on the company. The average 12 month price target among brokers that have updated their coverage on the stock in the last year is $154.69.

Several analysts recently commented on the company. Weiss Ratings cut DigitalOcean from a “buy (b-)” rating to a “hold (c+)” rating in a research report on Wednesday, September 9th. Barclays boosted their price target on DigitalOcean from $160.00 to $161.00 and gave the stock an “overweight” rating in a research report on Wednesday, August 5th. Stifel Nicolaus raised DigitalOcean from a “hold” rating to a “buy” rating and increased their price target for the stock from $135.00 to $160.00 in a research note on Tuesday, July 21st. Robert W. Baird began coverage on DigitalOcean in a report on Tuesday, July 21st. They set an “outperform” rating and a $165.00 price target on the stock. Finally, William Blair restated an “outperform” rating on shares of DigitalOcean in a research note on Wednesday, July 15th.

Insider Activity at DigitalOcean

In related news, CFO Matt Steinfort sold 10,000 shares of the business’s stock in a transaction that occurred on Thursday, September 3rd. The stock was sold at an average price of $105.73, for a total transaction of $1,057,300.00. Following the sale, the chief financial officer owned 503,692 shares of the company’s stock, valued at $53,255,355.16. The trade was a 1.95% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. 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. Also, CAO Cherie Barrett sold 4,456 shares of DigitalOcean stock in a transaction on Thursday, August 13th. The shares were sold at an average price of $132.37, for a total value of $589,840.72. Following the transaction, the chief accounting officer owned 65,487 shares in the company, valued at approximately $8,668,514.19. This trade represents a 6.37% decrease in their ownership of the stock. 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. Insiders have sold 22,641 shares of company stock worth $2,589,317 over the last quarter. 0.96% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On DigitalOcean

A number of institutional investors and hedge funds have recently bought and sold shares of the business. Vontobel Holding Ltd. boosted its position in shares of DigitalOcean by 0.9% during the 3rd quarter. Vontobel Holding Ltd. now owns 17,934 shares of the company’s stock valued at $2,392,000 after purchasing an additional 156 shares in the last quarter. TD Waterhouse Canada Inc. grew its stake in shares of DigitalOcean by 32,000.0% in the 3rd quarter. TD Waterhouse Canada Inc. now owns 321 shares of the company’s stock worth $45,000 after purchasing an additional 320 shares during the last quarter. NFSG Corp grew its stake in shares of DigitalOcean by 25.6% in the 3rd quarter. NFSG Corp now owns 1,105 shares of the company’s stock worth $147,000 after purchasing an additional 225 shares during the last quarter. Assenagon Asset Management S.A. raised its holdings in shares of DigitalOcean by 956.0% in the 3rd quarter. Assenagon Asset Management S.A. now owns 150,248 shares of the company’s stock worth $20,042,000 after purchasing an additional 136,020 shares in the last quarter. Finally, Focus Financial Network Inc. raised its holdings in shares of DigitalOcean by 10.0% in the 3rd quarter. Focus Financial Network Inc. now owns 1,589 shares of the company’s stock worth $212,000 after purchasing an additional 145 shares in the last quarter. 49.77% of the stock is owned by institutional investors and hedge funds.

DigitalOcean Stock Performance

NYSE DOCN traded down $11.09 on Friday, hitting $98.38. The stock had a trading volume of 4,347,449 shares, compared to its average volume of 2,780,314. The company’s 50-day moving average is $125.04 and its two-hundred day moving average is $129.78. DigitalOcean has a one year low of $37.83 and a one year high of $187.50. The stock has a market cap of $10.27 billion, a price-to-earnings ratio of 44.92, a P/E/G ratio of 93.08 and a beta of 1.70. The company has a quick ratio of 1.31, a current ratio of 1.31 and a debt-to-equity ratio of 1.14.

DigitalOcean (NYSE:DOCN) last released its quarterly earnings results on Tuesday, August 4th. The company reported $0.45 earnings per share for the quarter, beating analysts’ consensus estimates of $0.26 by $0.19. The company had revenue of $281.18 million for the quarter, compared to analysts’ expectations of $279.03 million. DigitalOcean had a return on equity of 31.01% and a net margin of 23.26%. The business’s revenue for the quarter was up 28.6% compared to the same quarter last year. During the same quarter in the previous year, the company posted $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. On average, analysts expect that DigitalOcean will post 0.64 earnings per share for the current year.

DigitalOcean Company Profile

DigitalOcean Holdings, Inc (NYSE:DOCN) provides cloud computing services designed primarily for developers, startups, and small and midsize businesses. Its platform offers on-demand infrastructure and software tools intended to simplify the development, deployment, and management of applications.

The company’s services include cloud compute through Droplets, managed Kubernetes, managed databases, object and block storage, networking, and the App Platform for deploying applications. DigitalOcean also provides developer tools, tutorials, support, and other resources intended to help customers build and scale digital products without managing traditional data-center infrastructure.

Founded in 2011 and headquartered in New York City, DigitalOcean serves customers internationally through cloud infrastructure and data-center regions located in North America, Europe, and Asia.