Short Interest in DigitalOcean Holdings, Inc. (NYSE:DOCN) Expands By 8.9%

DigitalOcean Holdings, Inc. (NYSE:DOCN) was the target of a significant growth in short interest in January. As of January 31st, there was short interest totalling 7,010,000 shares, a growth of 8.9% from the January 15th total of 6,440,000 shares. Approximately 11.3% of the company’s stock are short sold. Based on an average daily trading volume, of 944,900 shares, the days-to-cover ratio is currently 7.4 days.

Wall Street Analyst Weigh In

DOCN has been the subject of several research reports. Needham & Company LLC reaffirmed a “hold” rating on shares of DigitalOcean in a report on Tuesday, November 5th. Citigroup began coverage on DigitalOcean in a report on Friday, January 24th. They set a “buy” rating and a $45.00 target price for the company. Stifel Nicolaus lifted their target price on DigitalOcean from $35.00 to $40.00 and gave the stock a “hold” rating in a report on Wednesday, December 18th. Morgan Stanley raised DigitalOcean from an “equal weight” rating to an “overweight” rating and lifted their target price for the stock from $40.00 to $41.00 in a report on Thursday, January 16th. Finally, JMP Securities boosted their price target on DigitalOcean from $47.00 to $55.00 and gave the company a “market outperform” rating in a research note on Monday, January 27th. Six equities research analysts have rated the stock with a hold rating and six have issued a buy rating to the company’s stock. Based on data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and an average target price of $42.73.

DigitalOcean Stock Performance

NYSE:DOCN opened at $44.52 on Tuesday. The company has a market capitalization of $4.11 billion, a PE ratio of 52.38, a P/E/G ratio of 3.19 and a beta of 1.81. The company has a 50 day simple moving average of $38.28 and a two-hundred day simple moving average of $38.55. DigitalOcean has a fifty-two week low of $26.63 and a fifty-two week high of $46.46.

Insider Activity at DigitalOcean

In other DigitalOcean news, CFO Matt Steinfort sold 12,498 shares of the firm’s stock in a transaction on Wednesday, December 4th. The stock was sold at an average price of $40.00, for a total transaction of $499,920.00. Following the completion of the sale, the chief financial officer now owns 517,498 shares of the company’s stock, valued at $20,699,920. This trade represents a 2.36 % decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, insider Bratin Saha sold 3,468 shares of the firm’s stock in a transaction on Wednesday, December 18th. The shares were sold at an average price of $38.18, for a total value of $132,408.24. Following the sale, the insider now directly owns 379,795 shares of the company’s stock, valued at $14,500,573.10. This represents a 0.90 % decrease in their position. The disclosure for this sale can be found here. Over the last three months, insiders sold 20,255 shares of company stock valued at $790,163. 0.74% of the stock is owned by corporate insiders.

Institutional Trading of DigitalOcean

A number of institutional investors and hedge funds have recently added to or reduced their stakes in DOCN. Vanguard Group Inc. boosted its holdings in shares of DigitalOcean by 1.4% during the 4th quarter. Vanguard Group Inc. now owns 8,434,555 shares of the company’s stock worth $287,365,000 after buying an additional 117,133 shares in the last quarter. Jacobs Levy Equity Management Inc. boosted its holdings in shares of DigitalOcean by 16.6% during the 4th quarter. Jacobs Levy Equity Management Inc. now owns 1,628,995 shares of the company’s stock worth $55,500,000 after buying an additional 231,407 shares in the last quarter. Fuller & Thaler Asset Management Inc. boosted its holdings in shares of DigitalOcean by 7.3% during the 4th quarter. Fuller & Thaler Asset Management Inc. now owns 1,545,642 shares of the company’s stock worth $52,660,000 after buying an additional 105,235 shares in the last quarter. First Trust Advisors LP boosted its holdings in shares of DigitalOcean by 6.2% during the 4th quarter. First Trust Advisors LP now owns 1,533,699 shares of the company’s stock worth $52,253,000 after buying an additional 89,349 shares in the last quarter. Finally, Geode Capital Management LLC lifted its holdings in shares of DigitalOcean by 0.6% in the 4th quarter. Geode Capital Management LLC now owns 1,473,421 shares of the company’s stock worth $50,211,000 after purchasing an additional 9,088 shares in the last quarter. Institutional investors and hedge funds own 49.77% of the company’s stock.

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).