DigitalOcean Holdings, Inc. (NYSE:DOCN) Given Average Recommendation of “Moderate Buy” by Analysts

Shares of DigitalOcean Holdings, Inc. (NYSE:DOCN) have received an average recommendation of “Moderate Buy” from the twelve research firms that are covering the stock, MarketBeat reports. Six equities research analysts have rated the stock with a hold recommendation and six have assigned a buy recommendation to the company. The average 1 year price target among brokerages that have covered the stock in the last year is $42.73.

DOCN has been the topic of a number of recent research reports. JPMorgan Chase & Co. increased their price objective 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. Cantor Fitzgerald initiated coverage on DigitalOcean in a report on Friday, January 17th. They issued a “neutral” rating and a $39.00 price target on the stock. Barclays upped their price objective on DigitalOcean from $38.00 to $48.00 and gave the stock an “overweight” rating in a research note on Friday, October 11th. Needham & Company LLC reiterated a “hold” rating on shares of DigitalOcean in a research note on Tuesday, November 5th. Finally, Canaccord Genuity Group increased their price target on shares of DigitalOcean from $42.00 to $48.00 and gave the company a “buy” rating in a research report on Friday, October 4th.

DigitalOcean Price Performance

DOCN stock opened at $41.91 on Thursday. The company has a market capitalization of $3.87 billion, a PE ratio of 49.30, a P/E/G ratio of 2.77 and a beta of 1.78. DigitalOcean has a 12 month low of $26.63 and a 12 month high of $44.80. The firm’s 50-day moving average is $37.08 and its 200 day moving average is $37.51.

DigitalOcean (NYSE:DOCN) last issued its earnings results on Monday, November 4th. The company reported $0.52 earnings per share for the quarter, beating analysts’ consensus estimates 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 during the quarter, compared to analyst estimates of $196.64 million. During the same period in the previous year, the company posted $0.17 EPS. DigitalOcean’s revenue was up 12.1% on a year-over-year basis. Sell-side analysts forecast that DigitalOcean will post 1.01 EPS for the current fiscal year.

Insider Buying and Selling at DigitalOcean

In related news, insider Bratin Saha sold 16,989 shares of the company’s stock in a transaction on Monday, November 18th. The stock was sold at an average price of $36.85, for a total value of $626,044.65. Following the transaction, the insider now directly owns 390,296 shares of the company’s stock, valued at $14,382,407.60. This represents a 4.17 % decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, CFO Matt Steinfort sold 12,498 shares of DigitalOcean stock in a transaction dated Wednesday, December 4th. The stock was sold at an average price of $40.00, for a total value of $499,920.00. Following the sale, the chief financial officer now directly owns 517,498 shares of the company’s stock, valued at approximately $20,699,920. This represents a 2.36 % decrease in their position. The disclosure for this sale can be found here. In the last quarter, insiders have sold 37,244 shares of company stock worth $1,416,208. 0.74% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On DigitalOcean

A number of institutional investors have recently bought and sold shares of DOCN. Versor Investments LP acquired a new stake in shares of DigitalOcean in the third quarter worth $751,000. University of Texas Texas AM Investment Management Co. purchased a new stake in DigitalOcean in the second quarter valued at $11,712,000. FORA Capital LLC purchased a new position in shares of DigitalOcean during the 3rd quarter valued at about $1,149,000. Victory Capital Management Inc. lifted its holdings in shares of DigitalOcean by 79.8% in the 3rd quarter. Victory Capital Management Inc. now owns 31,169 shares of the company’s stock valued at $1,259,000 after buying an additional 13,837 shares during the period. Finally, Public Sector Pension Investment Board boosted its stake in shares of DigitalOcean by 13.5% in the third quarter. Public Sector Pension Investment Board now owns 134,214 shares of the company’s stock worth $5,421,000 after buying an additional 16,000 shares during the last quarter. 49.77% of the stock is owned by hedge funds and other institutional investors.

DigitalOcean Company Profile

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).