D.A. Davidson & CO. Buys New Position in DigitalOcean Holdings, Inc. $DOCN

D.A. Davidson & CO. bought a new position in DigitalOcean Holdings, Inc. (NYSE:DOCN) in the 3rd quarter, according to the company in its most recent filing with the SEC. The institutional investor bought 33,805 shares of the company’s stock, valued at approximately $1,155,000.

A number of other institutional investors and hedge funds also recently modified their holdings of the business. Advisors Asset Management Inc. raised its position in DigitalOcean by 18.0% in the second quarter. Advisors Asset Management Inc. now owns 2,630 shares of the company’s stock worth $75,000 after acquiring an additional 401 shares during the period. Man Group plc boosted its holdings in shares of 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 acquiring an additional 420 shares during the period. CWM LLC boosted its holdings in shares of DigitalOcean by 2.6% in the second quarter. CWM LLC now owns 18,272 shares of the company’s stock worth $522,000 after acquiring an additional 470 shares during the period. Farther Finance Advisors LLC grew its position in shares of DigitalOcean by 42.3% in the second quarter. Farther Finance Advisors LLC now owns 1,924 shares of the company’s stock valued at $55,000 after purchasing an additional 572 shares in the last quarter. Finally, PNC Financial Services Group Inc. raised its stake in shares of DigitalOcean by 6.5% during the 2nd quarter. PNC Financial Services Group Inc. now owns 10,242 shares of the company’s stock valued at $293,000 after purchasing an additional 628 shares during the period. 49.77% of the stock is owned by hedge funds and other institutional investors.

Analyst Upgrades and Downgrades

DOCN has been the subject of a number of recent analyst reports. Wall Street Zen lowered DigitalOcean from a “buy” rating to a “hold” rating in a report on Sunday, January 4th. Barclays raised their price objective on shares of DigitalOcean from $40.00 to $49.00 and gave the company an “overweight” rating in a research report on Thursday, November 6th. Canaccord Genuity Group upped their target price on shares of DigitalOcean from $55.00 to $60.00 and gave the stock a “buy” rating in a report on Thursday, November 6th. UBS Group raised their price target on shares of DigitalOcean from $40.00 to $48.00 and gave the company a “neutral” rating in a report on Thursday, November 6th. Finally, Piper Sandler upped their price target on shares of DigitalOcean from $47.00 to $50.00 and gave the stock a “neutral” rating in a report on Monday, January 5th. Eight equities research analysts have rated the stock with a Buy rating and seven have given a Hold rating to the company. According to MarketBeat, DigitalOcean presently has an average rating of “Moderate Buy” and an average price target of $48.85.

DigitalOcean Stock Performance

Shares of NYSE:DOCN opened at $53.17 on Friday. The firm has a market capitalization of $4.86 billion, a PE ratio of 21.44, a price-to-earnings-growth ratio of 7.64 and a beta of 1.76. DigitalOcean Holdings, Inc. has a 52-week low of $25.45 and a 52-week high of $54.41. The firm has a fifty day moving average of $47.32 and a 200 day moving average of $38.31.

DigitalOcean (NYSE:DOCN) last issued its quarterly earnings results on Wednesday, November 5th. The company reported $0.54 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.31 by $0.23. The firm had revenue of $229.63 million during the quarter, compared to analyst estimates of $226.55 million. DigitalOcean had a negative return on equity of 92.51% and a net margin of 29.15%.The company’s revenue was up 15.9% compared to the same quarter last year. During the same quarter in the previous year, the company posted $0.52 earnings per share. DigitalOcean has set its Q4 2025 guidance at 0.350-0.400 EPS and its FY 2025 guidance at 2.000-2.050 EPS. On average, sell-side analysts forecast that DigitalOcean Holdings, Inc. will post 1.01 EPS for the current fiscal year.

DigitalOcean Company Profile

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.