DigitalOcean (NYSE:DOCN) Research Coverage Started at Oppenheimer

Oppenheimer assumed coverage on shares of DigitalOcean (NYSE:DOCN) in a research report report published on Monday morning. The firm issued an outperform rating and a $60.00 target price on the stock.

A number of other equities analysts have also weighed in on DOCN. Wall Street Zen lowered shares of DigitalOcean from a “buy” rating to a “hold” rating in a report on Sunday. UBS Group increased their target price on DigitalOcean from $40.00 to $48.00 and gave the stock a “neutral” rating in a research report on Thursday, November 6th. Weiss Ratings reissued a “hold (c)” rating on shares of DigitalOcean in a research report on Wednesday, October 8th. Cantor Fitzgerald set a $47.00 price objective on DigitalOcean and gave the stock a “neutral” rating in a report on Thursday, November 6th. Finally, Stifel Nicolaus set a $36.00 price objective on DigitalOcean in a research note on Tuesday, August 5th. Eight research analysts have rated the stock with a Buy rating and six have given a Hold rating to the company. According to MarketBeat.com, DigitalOcean has a consensus rating of “Moderate Buy” and a consensus target price of $48.75.

DigitalOcean Trading Down 3.5%

Shares of NYSE:DOCN opened at $48.24 on Monday. The firm has a market cap of $4.41 billion, a price-to-earnings ratio of 19.45, a PEG ratio of 6.29 and a beta of 1.78. The stock’s 50-day moving average price is $39.09 and its two-hundred day moving average price is $32.98. DigitalOcean has a 12-month low of $25.45 and a 12-month high of $52.20.

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

Insider Activity at DigitalOcean

In other news, insider Bratin Saha sold 13,010 shares of the company’s stock in a transaction dated Wednesday, September 3rd. The stock was sold at an average price of $31.87, for a total value of $414,628.70. Following the completion of the sale, the insider owned 269,465 shares of the company’s stock, valued at $8,587,849.55. This represents a 4.61% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. 0.96% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On DigitalOcean

Several hedge funds and other institutional investors have recently bought and sold shares of the stock. Teacher Retirement System of Texas acquired a new stake in DigitalOcean in the first quarter valued at approximately $315,000. Cerity Partners LLC purchased a new position in shares of DigitalOcean in the first quarter valued at $223,000. CWM LLC grew its holdings in DigitalOcean by 4.7% during the 1st quarter. CWM LLC now owns 17,802 shares of the company’s stock valued at $594,000 after purchasing an additional 799 shares in the last quarter. Jackson Creek Investment Advisors LLC purchased a new stake in DigitalOcean during the 1st quarter worth $1,194,000. Finally, AMH Equity Ltd acquired a new position in DigitalOcean in the 1st quarter worth $3,185,000. 49.77% of the stock is owned by institutional investors and hedge funds.

About DigitalOcean

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).