DigitalOcean (NYSE:DOCN) Given “Buy” Rating at Canaccord Genuity Group

DigitalOcean (NYSE:DOCN)‘s stock had its “buy” rating reaffirmed by equities researchers at Canaccord Genuity Group in a research report issued to clients and investors on Thursday,Benzinga reports. They currently have a $200.00 price objective on the stock. Canaccord Genuity Group’s target price would indicate a potential upside of 16.94% from the company’s current price.

Several other brokerages also recently issued reports on DOCN. Cantor Fitzgerald lifted their price objective on DigitalOcean from $68.00 to $83.00 and gave the stock an “overweight” rating in a research report on Wednesday, February 25th. Citizens Jmp lifted their price objective on DigitalOcean from $83.00 to $105.00 and gave the stock a “market outperform” rating in a research report on Thursday, March 26th. Stifel Nicolaus set a $57.00 price objective on DigitalOcean in a research report on Tuesday, February 24th. Bank of America lifted their price objective on DigitalOcean from $103.00 to $107.00 and gave the stock a “buy” rating in a research report on Thursday, April 9th. Finally, UBS Group boosted their price target on DigitalOcean to $175.00 and gave the company a “neutral” rating in a report on Tuesday, May 12th. One equities research analyst has rated the stock with a Strong Buy rating, nine have given a Buy rating and three have assigned a Hold rating to the company. Based on data from MarketBeat, DigitalOcean presently has a consensus rating of “Moderate Buy” and a consensus price target of $146.36.

DigitalOcean Price Performance

Shares of DigitalOcean stock traded down $0.45 during trading on Thursday, hitting $171.03. 938,732 shares of the company were exchanged, compared to its average volume of 3,891,109. The company has a quick ratio of 1.46, a current ratio of 1.46 and a debt-to-equity ratio of 0.92. DigitalOcean has a fifty-two week low of $25.56 and a fifty-two week high of $184.46. The stock has a market capitalization of $17.85 billion, a price-to-earnings ratio of 74.89 and a beta of 1.60. The firm has a 50 day moving average price of $127.88 and a 200 day moving average price of $82.31.

DigitalOcean (NYSE:DOCN) last issued its quarterly earnings data on Tuesday, May 5th. The company reported $0.44 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.27 by $0.17. DigitalOcean had a return on equity of 88.86% and a net margin of 24.97%.The firm had revenue of $257.91 million during the quarter, compared to the consensus estimate of $249.76 million. During the same period in the previous year, the firm posted $0.56 EPS. The company’s quarterly revenue was up 22.4% compared to the same quarter last year. DigitalOcean has set its Q2 2026 guidance at 0.200-0.230 EPS and its FY 2026 guidance at 1.100-1.200 EPS. On average, equities analysts expect that DigitalOcean will post 0.54 earnings per share for the current fiscal year.

Insider Buying and Selling at DigitalOcean

In other DigitalOcean news, Director Hilary Schneider sold 4,338 shares of the business’s stock in a transaction on Friday, May 15th. The stock was sold at an average price of $156.38, for a total value of $678,376.44. Following the completion of the transaction, the director directly owned 24,323 shares in the company, valued at approximately $3,803,630.74. The trade was a 15.14% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Also, CFO Matt Steinfort sold 25,000 shares of the business’s stock in a transaction on Friday, May 15th. The shares were sold at an average price of $152.50, for a total value of $3,812,500.00. Following the completion of the transaction, the chief financial officer owned 573,272 shares of the company’s stock, valued at $87,423,980. This trade represents a 4.18% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 39,338 shares of company stock valued at $6,191,576 over the last quarter. 0.96% of the stock is currently owned by insiders.

Institutional Trading of DigitalOcean

Institutional investors and hedge funds have recently made changes to their positions in the company. Allworth Financial LP lifted its holdings in DigitalOcean by 54.4% in the third quarter. Allworth Financial LP now owns 724 shares of the company’s stock worth $25,000 after acquiring an additional 255 shares during the last quarter. Parallel Advisors LLC lifted its holdings in DigitalOcean by 66.2% in the first quarter. Parallel Advisors LLC now owns 324 shares of the company’s stock worth $28,000 after acquiring an additional 129 shares during the last quarter. Huntington National Bank lifted its holdings in DigitalOcean by 638.3% in the fourth quarter. Huntington National Bank now owns 598 shares of the company’s stock worth $29,000 after acquiring an additional 517 shares during the last quarter. NBC Securities Inc. bought a new stake in shares of DigitalOcean during the fourth quarter valued at approximately $32,000. Finally, Banque Cantonale Vaudoise bought a new stake in shares of DigitalOcean during the first quarter valued at approximately $33,000. 49.77% of the stock is currently owned by institutional investors and hedge funds.

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.