Analysts Set DigitalOcean Holdings, Inc. (NYSE:DOCN) Price Target at $152.81

DigitalOcean Holdings, Inc. (NYSE:DOCN) has earned an average recommendation of “Buy” from the seventeen ratings firms that are currently covering the company, MarketBeat reports. Two equities research analysts have rated the stock with a hold recommendation, thirteen have assigned a buy recommendation and two have given a strong buy recommendation to the company. The average 12-month price objective among brokers that have updated their coverage on the stock in the last year is $152.8125.

Several equities research analysts recently weighed in on DOCN shares. Citigroup upped their price objective on shares of DigitalOcean from $185.00 to $190.00 and gave the stock a “buy” rating in a research report on Wednesday, August 5th. Stifel Nicolaus raised shares of DigitalOcean from a “hold” rating to a “buy” rating and raised their target price for the company from $135.00 to $160.00 in a report on Tuesday, July 21st. KeyCorp started coverage on shares of DigitalOcean in a research report on Tuesday, June 2nd. They issued an “overweight” rating and a $200.00 target price for the company. Canaccord Genuity Group reiterated a “buy” rating and set a $200.00 price target on shares of DigitalOcean in a research report on Friday, July 10th. Finally, Weiss Ratings upgraded shares of DigitalOcean from a “hold (c+)” rating to a “buy (b-)” rating in a research report on Tuesday, August 11th.

DigitalOcean Stock Up 4.4%

NYSE DOCN opened at $109.50 on Friday. The company has a current ratio of 1.31, a quick ratio of 1.31 and a debt-to-equity ratio of 1.14. The company has a market cap of $11.43 billion, a price-to-earnings ratio of 50.00, a PEG ratio of 89.78 and a beta of 1.57. The company has a 50 day moving average of $125.06 and a 200-day moving average of $117.00. DigitalOcean has a 1-year low of $30.89 and a 1-year high of $187.50.

DigitalOcean (NYSE:DOCN) last issued its quarterly earnings results on Tuesday, August 4th. The company reported $0.45 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.26 by $0.19. The business had revenue of $281.18 million for the quarter, compared to the consensus estimate of $279.03 million. DigitalOcean had a return on equity of 31.01% and a net margin of 23.26%.The firm’s quarterly revenue was up 28.6% compared to the same quarter last year. During the same quarter in the prior year, the business posted $0.39 earnings per share. DigitalOcean has set its FY 2026 guidance at 1.350-1.400 EPS and its Q3 2026 guidance at 0.280-0.300 EPS. On average, equities research analysts expect that DigitalOcean will post 0.63 earnings per share for the current fiscal year.

Insider Transactions at DigitalOcean

In other news, CAO Cherie Barrett sold 4,456 shares of the firm’s stock in a transaction that occurred on Thursday, August 13th. The shares were sold at an average price of $132.37, for a total value of $589,840.72. Following the sale, the chief accounting officer directly owned 65,487 shares in the company, valued at approximately $8,668,514.19. This trade represents a 6.37% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Matt Steinfort sold 10,000 shares of DigitalOcean stock in a transaction that occurred on Thursday, September 3rd. The shares were sold at an average price of $105.73, for a total transaction of $1,057,300.00. Following the sale, the chief financial officer directly owned 503,692 shares in the company, valued at $53,255,355.16. This trade represents a 1.95% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last 90 days, insiders sold 22,641 shares of company stock valued at $2,589,317. 0.96% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently made changes to their positions in the company. Corient Private Wealth LP increased its position in DigitalOcean by 662.2% in the 2nd quarter. Corient Private Wealth LP now owns 100,760 shares of the company’s stock valued at $15,822,000 after acquiring an additional 87,540 shares during the period. Amundi raised its position in shares of DigitalOcean by 31.7% in the 2nd quarter. Amundi now owns 30,674 shares of the company’s stock worth $4,817,000 after acquiring an additional 7,389 shares in the last quarter. VIRGINIA RETIREMENT SYSTEMS ET Al bought a new stake in DigitalOcean in the second quarter worth approximately $2,560,000. California State Teachers Retirement System increased its holdings in DigitalOcean by 16,016.1% in the second quarter. California State Teachers Retirement System now owns 14,211,058 shares of the company’s stock worth $2,231,562,000 after purchasing an additional 14,122,879 shares in the last quarter. Finally, AlphaGrep UK Ltd acquired a new position in DigitalOcean in the second quarter valued at approximately $604,000. Institutional investors and hedge funds own 49.77% of the company’s stock.

About DigitalOcean

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.