Brokerages Set DigitalOcean Holdings, Inc. (NYSE:DOCN) Target Price at $41.45

DigitalOcean Holdings, Inc. (NYSE:DOCN) has been assigned a consensus recommendation of “Hold” from the twelve ratings firms that are covering the company, Marketbeat.com reports. One investment analyst has rated the stock with a sell rating, five have assigned a hold rating and six have assigned a buy rating to the company. The average twelve-month target price among brokerages that have issued a report on the stock in the last year is $41.4545.

A number of research firms recently commented on DOCN. The Goldman Sachs Group lowered their price target on shares of DigitalOcean from $46.00 to $41.00 and set a “buy” rating on the stock in a research report on Wednesday, May 7th. Citigroup reduced their price objective on shares of DigitalOcean from $50.00 to $40.00 and set a “buy” rating on the stock in a research note on Wednesday, May 7th. Barclays increased their price objective on shares of DigitalOcean from $38.00 to $40.00 and gave the stock an “overweight” rating in a research note on Wednesday, August 6th. Needham & Company LLC reiterated a “hold” rating on shares of DigitalOcean in a research note on Tuesday, May 6th. Finally, Stifel Nicolaus set a $36.00 price objective on shares of DigitalOcean in a research note on Tuesday, August 5th.

Insider Buying and Selling at DigitalOcean

In other news, insider Bratin Saha sold 3,461 shares of the firm’s stock in a transaction that occurred on Wednesday, June 18th. The shares were sold at an average price of $27.77, for a total value of $96,111.97. Following the sale, the insider directly owned 294,546 shares in the company, valued at approximately $8,179,542.42. This trade represents a 1.16% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Insiders own 0.96% of the company’s stock.

Institutional Investors Weigh In On DigitalOcean

Several hedge funds have recently added to or reduced their stakes in the business. Marex Group plc acquired a new stake in DigitalOcean during the 2nd quarter worth approximately $242,000. State of Wyoming boosted its position in DigitalOcean by 49.6% during the 2nd quarter. State of Wyoming now owns 6,750 shares of the company’s stock worth $193,000 after buying an additional 2,239 shares during the period. Hudson Bay Capital Management LP acquired a new stake in DigitalOcean during the 2nd quarter worth approximately $1,714,000. Public Sector Pension Investment Board boosted its position in DigitalOcean by 6.0% during the 2nd quarter. Public Sector Pension Investment Board now owns 214,160 shares of the company’s stock worth $6,116,000 after buying an additional 12,205 shares during the period. Finally, Tower Research Capital LLC TRC raised its holdings in DigitalOcean by 170.3% during the 2nd quarter. Tower Research Capital LLC TRC now owns 8,878 shares of the company’s stock worth $254,000 after purchasing an additional 5,594 shares during the last quarter. 49.77% of the stock is currently owned by institutional investors and hedge funds.

DigitalOcean Price Performance

Shares of DOCN stock opened at $30.2090 on Monday. The stock has a market cap of $2.75 billion, a P/E ratio of 23.24, a P/E/G ratio of 1.80 and a beta of 1.75. The company has a fifty day moving average price of $29.24 and a two-hundred day moving average price of $32.38. DigitalOcean has a one year low of $25.45 and a one year high of $47.02.

DigitalOcean (NYSE:DOCN) last issued its quarterly earnings data on Tuesday, August 5th. The company reported $0.59 earnings per share for the quarter, beating the consensus estimate of $0.47 by $0.12. The company had revenue of $218.70 million for the quarter, compared to analyst estimates of $216.62 million. DigitalOcean had a net margin of 15.18% and a negative return on equity of 73.19%. The company’s revenue was up 13.6% on a year-over-year basis. During the same period in the prior year, the firm earned $0.48 earnings per share. DigitalOcean has set its FY 2025 guidance at 2.050-2.100 EPS. Q3 2025 guidance at 0.450-0.500 EPS. As a group, equities research analysts anticipate that DigitalOcean will post 1.01 EPS for the current fiscal year.

DigitalOcean Company Profile

DigitalOcean Holdings, Inc, through its subsidiaries, operates a cloud computing platform in North America, Europe, Asia, and internationally. The company’s platform provides on-demand infrastructure and platform tools for developers, start-ups, and small and growing digital businesses. It also offers infrastructure-as-a-service (IaaS) solutions comprising compute and storage services, as well as networking projects, including Cloud Firewalls software, Managed Load Balancers software, and Virtual Private Cloud (VPC).