DigitalOcean Holdings, Inc. (NYSE:DOCN) Receives Consensus Recommendation of “Moderate Buy” from Brokerages

Shares of DigitalOcean Holdings, Inc. (NYSE:DOCN) have earned a consensus rating of “Moderate Buy” from the ten analysts that are covering the firm, MarketBeat.com reports. Five investment analysts have rated the stock with a hold rating and five have given a buy rating to the company. The average 1-year price target among brokers that have issued a report on the stock in the last year is $37.67.

A number of research analysts have recently weighed in on the stock. Piper Sandler reduced their target price on shares of DigitalOcean from $38.00 to $34.00 and set a “neutral” rating for the company in a research report on Monday, July 15th. Stifel Nicolaus upped their price target on DigitalOcean from $32.00 to $35.00 and gave the company a “hold” rating in a research report on Friday, August 9th. UBS Group reduced their target price on DigitalOcean from $40.00 to $34.00 and set a “neutral” rating for the company in a research report on Friday, August 9th. Finally, Barclays lowered their price target on DigitalOcean from $43.00 to $38.00 and set an “overweight” rating on the stock in a report on Friday, August 9th.

DigitalOcean Stock Down 0.7 %

Shares of NYSE:DOCN opened at $39.54 on Friday. The stock’s 50 day moving average is $36.74 and its 200-day moving average is $35.96. DigitalOcean has a twelve month low of $19.39 and a twelve month high of $43.88. The firm has a market capitalization of $3.60 billion, a price-to-earnings ratio of 74.60, a PEG ratio of 3.26 and a beta of 1.83.

DigitalOcean (NYSE:DOCN) last released its quarterly earnings results on Thursday, August 8th. The company reported $0.48 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.39 by $0.09. DigitalOcean had a negative return on equity of 31.71% and a net margin of 9.30%. The business had revenue of $192.00 million during the quarter, compared to the consensus estimate of $188.63 million. During the same quarter in the previous year, the business earned $0.11 EPS. The company’s quarterly revenue was up 13.1% on a year-over-year basis. Equities research analysts anticipate that DigitalOcean will post 0.86 earnings per share for the current fiscal year.

Hedge Funds Weigh In On DigitalOcean

Institutional investors and hedge funds have recently modified their holdings of the stock. FinTrust Capital Advisors LLC purchased a new position in DigitalOcean in the first quarter worth about $36,000. Covestor Ltd increased its position in shares of DigitalOcean by 571.4% during the first quarter. Covestor Ltd now owns 1,947 shares of the company’s stock valued at $74,000 after acquiring an additional 1,657 shares in the last quarter. Scarborough Advisors LLC purchased a new position in DigitalOcean in the 4th quarter worth approximately $98,000. Ables Iannone Moore & Associates Inc. purchased a new stake in DigitalOcean during the fourth quarter valued at $102,000. Finally, Assetmark Inc. lifted its holdings in DigitalOcean by 16.7% in the fourth quarter. Assetmark Inc. now owns 2,809 shares of the company’s stock valued at $103,000 after acquiring an additional 403 shares during the period. 49.77% of the stock is currently 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).