Brokerages Set DigitalOcean Holdings, Inc. (NYSE:DOCN) Target Price at $42.13

Shares of DigitalOcean Holdings, Inc. (NYSE:DOCN) have received a consensus rating of “Hold” from the nine analysts that are covering the company, MarketBeat Ratings reports. Five equities research analysts have rated the stock with a hold recommendation and four have assigned a buy recommendation to the company. The average 1-year price target among brokerages that have updated their coverage on the stock in the last year is $42.13.

A number of brokerages recently issued reports on DOCN. Barclays boosted their target price on shares of DigitalOcean from $38.00 to $48.00 and gave the stock an “overweight” rating in a research report on Friday, October 11th. Stifel Nicolaus boosted their price objective on shares of DigitalOcean from $35.00 to $40.00 and gave the stock a “hold” rating in a report on Wednesday, December 18th. JPMorgan Chase & Co. increased their target price on shares of DigitalOcean from $32.00 to $40.00 and gave the company a “neutral” rating in a research note on Friday, October 25th. Needham & Company LLC reissued a “hold” rating on shares of DigitalOcean in a report on Tuesday, November 5th. Finally, Canaccord Genuity Group boosted their price target on DigitalOcean from $42.00 to $48.00 and gave the company a “buy” rating in a research note on Friday, October 4th.

DigitalOcean Stock Performance

DigitalOcean stock opened at $34.95 on Friday. The firm’s 50 day moving average price is $37.51 and its two-hundred day moving average price is $37.18. The firm has a market cap of $3.23 billion, a PE ratio of 41.12, a P/E/G ratio of 2.47 and a beta of 1.78. DigitalOcean has a twelve month low of $26.63 and a twelve month high of $44.80.

DigitalOcean (NYSE:DOCN) last announced its earnings results on Monday, November 4th. The company reported $0.52 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.40 by $0.12. The firm had revenue of $198.50 million during the quarter, compared to analysts’ expectations of $196.64 million. DigitalOcean had a negative return on equity of 43.11% and a net margin of 10.86%. The company’s revenue was up 12.1% on a year-over-year basis. During the same quarter in the prior year, the business earned $0.17 earnings per share. Equities analysts anticipate that DigitalOcean will post 1.01 EPS for the current fiscal year.

Insider Buying and Selling at DigitalOcean

In other DigitalOcean news, CFO Matt Steinfort sold 12,498 shares of the firm’s stock in a transaction dated Wednesday, December 4th. The stock was sold at an average price of $40.00, for a total transaction of $499,920.00. Following the transaction, the chief financial officer now owns 517,498 shares in the company, valued at approximately $20,699,920. This trade represents a 2.36 % decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, insider Bratin Saha sold 3,468 shares of the company’s stock in a transaction dated Wednesday, December 18th. The shares were sold at an average price of $38.18, for a total value of $132,408.24. Following the completion of the sale, the insider now directly owns 379,795 shares of the company’s stock, valued at approximately $14,500,573.10. This trade represents a 0.90 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders have sold 32,955 shares of company stock worth $1,258,373. Company insiders own 0.74% of the company’s stock.

Hedge Funds Weigh In On DigitalOcean

Hedge funds and other institutional investors have recently made changes to their positions in the company. Zurcher Kantonalbank Zurich Cantonalbank lifted its holdings in DigitalOcean by 34.8% during the second quarter. Zurcher Kantonalbank Zurich Cantonalbank now owns 11,676 shares of the company’s stock worth $406,000 after acquiring an additional 3,013 shares in the last quarter. Rhumbline Advisers grew its position in shares of DigitalOcean by 94.1% in the 2nd quarter. Rhumbline Advisers now owns 172,713 shares of the company’s stock valued at $6,002,000 after purchasing an additional 83,722 shares during the period. Victory Capital Management Inc. increased its stake in DigitalOcean by 95.8% during the 2nd quarter. Victory Capital Management Inc. now owns 17,332 shares of the company’s stock worth $602,000 after purchasing an additional 8,481 shares in the last quarter. Quest Partners LLC raised its holdings in DigitalOcean by 11,041.9% during the 2nd quarter. Quest Partners LLC now owns 3,454 shares of the company’s stock worth $120,000 after buying an additional 3,423 shares during the period. Finally, Van Berkom & Associates Inc. lifted its stake in DigitalOcean by 1.6% in the second quarter. Van Berkom & Associates Inc. now owns 1,273,103 shares of the company’s stock valued at $44,240,000 after buying an additional 19,731 shares in the last quarter. 49.77% of the stock is owned by institutional investors.

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).