DigitalOcean (NYSE:DOCN) Price Target Raised to $83.00

DigitalOcean (NYSE:DOCN) had its price objective increased by Citizens Jmp from $60.00 to $83.00 in a report issued on Wednesday morning,Benzinga reports. They currently have a market outperform rating on the stock.

Several other research firms also recently commented on DOCN. Citigroup reiterated a “buy” rating on shares of DigitalOcean in a research note on Friday, February 13th. Barclays lifted their price target on DigitalOcean from $49.00 to $63.00 and gave the stock an “overweight” rating in a research report on Monday, January 12th. Bank of America increased their price objective on DigitalOcean from $72.00 to $86.00 and gave the company a “buy” rating in a report on Wednesday. Royal Bank Of Canada set a $60.00 price objective on DigitalOcean in a research note on Tuesday. Finally, Oppenheimer started coverage on shares of DigitalOcean in a report on Monday, November 10th. They issued an “outperform” rating and a $60.00 price target on the stock. Nine research analysts have rated the stock with a Buy rating and five have issued a Hold rating to the stock. According to data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and a consensus price target of $69.23.

DigitalOcean Stock Up 3.4%

DOCN stock opened at $56.09 on Wednesday. The stock has a market capitalization of $5.16 billion, a PE ratio of 22.17, a price-to-earnings-growth ratio of 20.44 and a beta of 1.77. DigitalOcean has a 52 week low of $25.45 and a 52 week high of $70.43. The firm has a 50 day moving average of $56.43 and a 200 day moving average of $45.48.

Hedge Funds Weigh In On DigitalOcean

Several large investors have recently made changes to their positions in the company. Alpine Global Management LLC purchased a new stake in DigitalOcean during the fourth quarter worth $577,000. Pacer Advisors Inc. raised its position in shares of DigitalOcean by 225.7% in the fourth quarter. Pacer Advisors Inc. now owns 16,426 shares of the company’s stock worth $790,000 after acquiring an additional 11,382 shares during the period. Invesco Ltd. boosted its stake in shares of DigitalOcean by 12.3% during the 4th quarter. Invesco Ltd. now owns 288,571 shares of the company’s stock worth $13,886,000 after acquiring an additional 31,618 shares in the last quarter. Mercer Global Advisors Inc. ADV purchased a new stake in shares of DigitalOcean during the 4th quarter worth about $400,000. Finally, Vident Advisory LLC purchased a new position in shares of DigitalOcean in the 4th quarter valued at about $438,000. 49.77% of the stock is currently owned by institutional investors and hedge funds.

Key DigitalOcean News

Here are the key news stories impacting DigitalOcean this week:

• Positive Sentiment: Q4 AI momentum — DigitalOcean said its annual run‑rate revenue for its AI business jumped ~150% year‑over‑year in Q4, underscoring faster growth in its higher‑margin AI offerings aimed at SMBs, which supports a higher growth multiple. This Glorious Growth Stock Is Up 68% in 12 Months. Here’s Why More Gains Could Follow
• Positive Sentiment: Analyst upgrades — Multiple firms raised price targets recently (Barclays to $69, Bank of America to $86, Cantor Fitzgerald to $83), signaling increased sell‑side confidence in DigitalOcean’s revenue trajectory and margin leverage. DigitalOcean (NYSE:DOCN) Price Target Raised to $86.00 at Bank of America
• Positive Sentiment: Revenue guidance and scale — Management and press reports highlight a push toward >$1B revenue in 2026, which if achieved would mark a material inflection in scale for this SMB‑focused cloud player. DigitalOcean predicts $1B+ in 2026 revenue
• Positive Sentiment: Record Q4 revenue growth — Earnings commentary and highlights point to record revenue growth and improving fundamentals, giving investors more conviction in sustained topline expansion. DigitalOcean Holdings Inc (DOCN) Q4 2025 Earnings Call Highlights: Record Revenue Growth and …
• Positive Sentiment: Institutional expansion — Reports of strengthening cloud infrastructure presence and institutional expansion suggest broader market adoption beyond core SMB customers, supporting longer‑term growth. DigitalOcean (NYSE:DOCN) Strengthens Cloud Infrastructure Presence With Institutional Expansion
• Neutral Sentiment: Investor access / visibility — CEO and CFO will present at the Morgan Stanley TMT conference (March 3); the fireside chat and webcast increase investor access and may amplify guidance or detail AI monetization plans. DigitalOcean to Participate in Morgan Stanley Technology, Media & Telecom Conference
• Negative Sentiment: Profit‑taking volatility — After hitting a record high, the stock has seen pullbacks driven by short‑term profit‑taking, which can amplify intraday moves and create selling pressure even amid positive fundamentals. DigitalOcean (DOCN) Sheds 8.45% on Profit-Taking After Record High
• Negative Sentiment: Convertible‑note hedge risk — Analysts flagged complexity and potential dilution/counterparty risks tied to DigitalOcean’s 2030 convertible notes hedge, a disclosure that could concern value‑focused investors if dilution scenarios materialize. DigitalOcean’s 2030 Convertible Notes Hedge Poses Complex Dilution, Pricing, and Counterparty Risks

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.