DigitalOcean (NYSE:DOCN) Issues FY 2024 Earnings Guidance

DigitalOcean (NYSE:DOCN) issued an update on its FY 2024 earnings guidance on Monday morning. The company provided earnings per share (EPS) guidance of 1.700-1.750 for the period, compared to the consensus estimate of 1.670. The company issued revenue guidance of $775.0 million-$777.0 million, compared to the consensus revenue estimate of $773.9 million. DigitalOcean also updated its Q4 2024 guidance to 0.270-0.320 EPS.

DigitalOcean Trading Up 3.2 %

NYSE:DOCN opened at $40.83 on Monday. DigitalOcean has a 12 month low of $20.21 and a 12 month high of $44.80. The company has a 50-day moving average price of $40.45 and a 200-day moving average price of $36.64. The stock has a market cap of $3.76 billion, a price-to-earnings ratio of 56.71, a P/E/G ratio of 3.14 and a beta of 1.83.

DigitalOcean (NYSE:DOCN) last issued 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. The company had revenue of $192.00 million during the quarter, compared to analysts’ expectations of $188.63 million. DigitalOcean had a net margin of 9.30% and a negative return on equity of 31.71%. DigitalOcean’s revenue was up 13.1% on a year-over-year basis. During the same period last year, the company posted $0.11 EPS. Equities analysts forecast that DigitalOcean will post 0.86 EPS for the current fiscal year.

Analyst Upgrades and Downgrades

DOCN has been the subject of a number of research reports. JPMorgan Chase & Co. boosted 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. Piper Sandler lowered their target price on DigitalOcean from $38.00 to $34.00 and set a “neutral” rating on the stock in a report on Monday, July 15th. Barclays boosted their price target on DigitalOcean from $38.00 to $48.00 and gave the company an “overweight” rating in a research note on Friday, October 11th. UBS Group lowered their price objective on shares of DigitalOcean from $40.00 to $34.00 and set a “neutral” rating on the stock in a research note on Friday, August 9th. Finally, Stifel Nicolaus boosted their target price on shares of DigitalOcean from $32.00 to $35.00 and gave the company a “hold” rating in a research report on Friday, August 9th. Five equities research analysts have rated the stock with a hold rating and five have assigned a buy rating to the company’s stock. Based on data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and an average price target of $40.56.

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).