DigitalOcean Holdings, Inc. (NASDAQ:DOCN) Receives Average Rating of “Hold” from Brokerages

DigitalOcean Holdings, Inc. (NASDAQ:DOCN) has been given a consensus rating of “Hold” by the eleven research firms that are currently covering the stock, Marketbeat Ratings reports. One equities research analyst has rated the stock with a sell recommendation, five have issued a hold recommendation and five have assigned a buy recommendation to the company. The average twelve-month price target among brokerages that have issued a report on the stock in the last year is $36.40.

DOCN has been the topic of a number of recent research reports. Needham & Company LLC reissued a “hold” rating on shares of DigitalOcean in a research note on Monday, May 13th. JMP Securities reissued a “market outperform” rating and issued a $47.00 price objective on shares of DigitalOcean in a report on Monday, May 13th. UBS Group reduced their target price on shares of DigitalOcean from $40.00 to $34.00 and set a “neutral” rating on the stock in a research note on Friday, August 9th. Canaccord Genuity Group upped their price objective on DigitalOcean from $41.00 to $42.00 and gave the company a “buy” rating in a report on Monday, May 13th. Finally, Stifel Nicolaus increased their price objective on DigitalOcean from $32.00 to $35.00 and gave the stock a “hold” rating in a research report on Friday, August 9th.

DigitalOcean Stock Up 1.1 %

Shares of NASDAQ DOCN opened at $36.30 on Thursday. The firm has a 50-day simple moving average of $33.49 and a 200-day simple moving average of $35.68. The stock has a market capitalization of $3.31 billion, a price-to-earnings ratio of 68.49, a price-to-earnings-growth ratio of 3.01 and a beta of 1.81. DigitalOcean has a 52 week low of $19.39 and a 52 week high of $41.58.

DigitalOcean (NASDAQ:DOCN) last released its quarterly earnings data on Thursday, August 8th. The company reported $0.48 EPS for the quarter, beating analysts’ consensus estimates of $0.39 by $0.09. The company had revenue of $192.00 million during the quarter, compared to the consensus estimate of $188.63 million. DigitalOcean had a net margin of 7.01% and a negative return on equity of 26.29%. DigitalOcean’s quarterly revenue was up 13.1% on a year-over-year basis. During the same quarter in the prior year, the firm earned $0.11 EPS. As a group, equities research analysts expect that DigitalOcean will post 0.78 EPS for the current year.

Insiders Place Their Bets

In other news, Director Amy Butte sold 5,220 shares of the firm’s stock in a transaction that occurred on Friday, June 7th. The shares were sold at an average price of $37.46, for a total value of $195,541.20. Following the completion of the transaction, the director now owns 36,417 shares of the company’s stock, valued at $1,364,180.82. The transaction was disclosed in a legal filing with the SEC, which is available at the SEC website. Insiders own 0.74% of the company’s stock.

Institutional Trading of DigitalOcean

Several hedge funds have recently modified their holdings of DOCN. Global Retirement Partners LLC acquired a new position in shares of DigitalOcean during the first quarter worth about $34,000. Tennessee Valley Asset Management Partners purchased a new stake in shares of DigitalOcean during the 4th quarter worth $35,000. FinTrust Capital Advisors LLC purchased a new position in DigitalOcean in the first quarter valued at $36,000. Headlands Technologies LLC acquired a new stake in DigitalOcean in the fourth quarter valued at $67,000. Finally, Covestor Ltd raised its stake in DigitalOcean by 571.4% in the first quarter. Covestor Ltd now owns 1,947 shares of the company’s stock valued at $74,000 after buying an additional 1,657 shares in the last quarter. 49.77% of the stock is currently 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).