DigitalOcean (NYSE:DOCN) Price Target Raised to $55.00

DigitalOcean (NYSE:DOCN) had its price target lifted by JMP Securities from $47.00 to $55.00 in a research report sent to investors on Monday morning,Benzinga reports. JMP Securities currently has a market outperform rating on the stock.

Several other research analysts have also recently commented on DOCN. Barclays upped 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. Needham & Company LLC reissued a “hold” rating on shares of DigitalOcean in a report on Tuesday, November 5th. Canaccord Genuity Group lifted their target price on DigitalOcean from $42.00 to $48.00 and gave the company a “buy” rating in a research note on Friday, October 4th. Citigroup assumed coverage on DigitalOcean in a research note on Friday. They issued a “buy” rating and a $45.00 price target for the company. Finally, Morgan Stanley upgraded shares of DigitalOcean from an “equal weight” rating to an “overweight” rating and lifted their price objective for the company from $40.00 to $41.00 in a research note on Thursday, January 16th. Six analysts have rated the stock with a hold rating and six have given a buy rating to the company’s stock. According to data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and a consensus target price of $42.73.

DigitalOcean Price Performance

Shares of DOCN opened at $40.18 on Monday. The business’s fifty day moving average price is $36.91 and its 200 day moving average price is $37.42. DigitalOcean has a 12-month low of $26.63 and a 12-month high of $44.80. The stock has a market capitalization of $3.71 billion, a PE ratio of 47.27, a price-to-earnings-growth ratio of 2.77 and a beta of 1.78.

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

Insider Activity

In related news, CFO Matt Steinfort sold 12,498 shares of the firm’s stock in a transaction that occurred on Wednesday, December 4th. The shares were sold at an average price of $40.00, for a total value of $499,920.00. Following the completion of the transaction, the chief financial officer now owns 517,498 shares of the company’s stock, valued at approximately $20,699,920. This trade represents a 2.36 % decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, insider Bratin Saha sold 16,989 shares of the business’s stock in a transaction on Monday, November 18th. The shares were sold at an average price of $36.85, for a total transaction of $626,044.65. Following the sale, the insider now directly owns 390,296 shares in the company, valued at approximately $14,382,407.60. This trade represents a 4.17 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last quarter, insiders sold 37,244 shares of company stock worth $1,416,208. Corporate insiders own 0.74% of the company’s stock.

Institutional Trading of DigitalOcean

Several hedge funds and other institutional investors have recently modified their holdings of DOCN. Sei Investments Co. lifted its stake in DigitalOcean by 1.5% in the 2nd quarter. Sei Investments Co. now owns 30,834 shares of the company’s stock worth $1,071,000 after acquiring an additional 468 shares in the last quarter. Nisa Investment Advisors LLC lifted its position in shares of DigitalOcean by 56.4% in the third quarter. Nisa Investment Advisors LLC now owns 1,340 shares of the company’s stock worth $54,000 after purchasing an additional 483 shares in the last quarter. Creative Financial Designs Inc. ADV boosted its holdings in shares of DigitalOcean by 17.8% during the third quarter. Creative Financial Designs Inc. ADV now owns 3,744 shares of the company’s stock worth $151,000 after purchasing an additional 566 shares during the period. Harbor Investment Advisory LLC grew its position in DigitalOcean by 380.0% during the fourth quarter. Harbor Investment Advisory LLC now owns 720 shares of the company’s stock valued at $25,000 after purchasing an additional 570 shares in the last quarter. Finally, Advisors Asset Management Inc. increased its stake in DigitalOcean by 150.4% in the 3rd quarter. Advisors Asset Management Inc. now owns 974 shares of the company’s stock valued at $39,000 after buying an additional 585 shares during the period. 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).