UBS Group Begins Coverage on DigitalOcean (NASDAQ:DOCN)

UBS Group started coverage on shares of DigitalOcean (NASDAQ:DOCN) in a research note released on Wednesday, MarketBeat Ratings reports. The brokerage issued a neutral rating and a $40.00 price objective on the stock.

Several other brokerages have also recently commented on DOCN. Canaccord Genuity Group lifted their price target on shares of DigitalOcean from $41.00 to $42.00 and gave the stock a buy rating in a research report on Monday, May 13th. Piper Sandler upped their target price on shares of DigitalOcean from $35.00 to $38.00 and gave the company a neutral rating in a research report on Thursday, February 22nd. Oppenheimer lifted their price objective on DigitalOcean from $37.00 to $46.00 and gave the stock an outperform rating in a research note on Thursday, February 22nd. Needham & Company LLC reissued a hold rating on shares of DigitalOcean in a research note on Monday, May 13th. Finally, JMP Securities restated a market outperform rating and set a $47.00 target price on shares of DigitalOcean in a report on Monday, May 13th. One equities research analyst has rated the stock with a sell rating, five have assigned a hold rating and five have issued a buy rating to the stock. According to MarketBeat.com, the company has an average rating of Hold and a consensus target price of $38.00.

DigitalOcean Stock Performance

NASDAQ:DOCN opened at $36.19 on Wednesday. The company has a market cap of $3.30 billion, a price-to-earnings ratio of 68.28, a P/E/G ratio of 3.56 and a beta of 1.83. The stock’s fifty day moving average price is $36.22 and its two-hundred day moving average price is $35.19. DigitalOcean has a 52-week low of $19.39 and a 52-week high of $51.69.

DigitalOcean (NASDAQ:DOCN) last posted its quarterly earnings results on Wednesday, February 21st. The company reported $0.31 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.08 by $0.23. The business had revenue of $180.87 million for the quarter, compared to analysts’ expectations of $178.26 million. DigitalOcean had a negative return on equity of 26.29% and a net margin of 7.01%. On average, equities analysts predict that DigitalOcean will post 0.78 EPS for the current fiscal year.

Institutional Investors Weigh In On DigitalOcean

Several large investors have recently made changes to their positions in DOCN. Vanguard Group Inc. increased its holdings in DigitalOcean by 3.3% during the 3rd quarter. Vanguard Group Inc. now owns 6,391,293 shares of the company’s stock worth $153,583,000 after purchasing an additional 202,179 shares in the last quarter. Hillsdale Investment Management Inc. bought a new stake in DigitalOcean in the 4th quarter valued at approximately $3,133,000. K.J. Harrison & Partners Inc bought a new stake in DigitalOcean in the 4th quarter valued at approximately $2,091,000. Mirae Asset Global Investments Co. Ltd. boosted its position in DigitalOcean by 36.6% during the 4th quarter. Mirae Asset Global Investments Co. Ltd. now owns 901,325 shares of the company’s stock worth $33,070,000 after acquiring an additional 241,706 shares during the last quarter. Finally, Schroder Investment Management Group bought a new position in shares of DigitalOcean during the 3rd quarter worth approximately $7,029,000. Institutional investors own 49.77% of the company’s stock.

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).