DigitalOcean Holdings, Inc. (NYSE:DOCN) Given Average Recommendation of “Hold” by Brokerages

Shares of DigitalOcean Holdings, Inc. (NYSE:DOCN) have received an average recommendation of “Hold” from the nine ratings firms that are presently covering the firm, MarketBeat.com reports. Five analysts have rated the stock with a hold recommendation and four have assigned a buy recommendation to the company. The average 1 year target price among analysts that have updated their coverage on the stock in the last year is $41.50.

A number of equities analysts have recently commented on DOCN shares. Barclays increased their price target on shares of DigitalOcean from $38.00 to $48.00 and gave the stock an “overweight” rating in a report on Friday, October 11th. Canaccord Genuity Group increased 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. Needham & Company LLC restated a “hold” rating on shares of DigitalOcean in a research report on Tuesday, November 5th. Finally, JPMorgan Chase & Co. upped their price objective on DigitalOcean from $32.00 to $40.00 and gave the stock a “neutral” rating in a report on Friday, October 25th.

DigitalOcean Stock Performance

Shares of DOCN stock opened at $38.29 on Wednesday. The company has a market capitalization of $3.53 billion, a PE ratio of 45.04, a price-to-earnings-growth ratio of 2.58 and a beta of 1.76. DigitalOcean has a 52-week low of $26.63 and a 52-week high of $44.80. The business’s fifty day moving average is $40.04 and its 200 day moving average is $37.25.

DigitalOcean (NYSE:DOCN) last issued its quarterly earnings results on Monday, November 4th. The company reported $0.52 earnings per share (EPS) 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 firm had revenue of $198.50 million during the quarter, compared to the consensus estimate of $196.64 million. During the same quarter last year, the company posted $0.17 EPS. The company’s revenue for the quarter was up 12.1% on a year-over-year basis. On average, sell-side analysts forecast that DigitalOcean will post 1.01 EPS for the current fiscal year.

Insider Transactions at DigitalOcean

In other DigitalOcean news, CFO Matt Steinfort sold 12,498 shares of the firm’s stock in a transaction 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 sale, the chief financial officer now owns 517,498 shares of the company’s stock, valued at $20,699,920. This trade represents a 2.36 % decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, insider Bratin Saha sold 16,989 shares of the company’s stock in a transaction dated Monday, November 18th. The shares were sold at an average price of $36.85, for a total transaction of $626,044.65. Following the transaction, the insider now directly owns 390,296 shares of the company’s stock, 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. Company insiders own 0.74% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently bought and sold shares of the business. Franklin Resources Inc. grew its position in shares of DigitalOcean by 17.1% in the 3rd quarter. Franklin Resources Inc. now owns 39,078 shares of the company’s stock worth $1,714,000 after buying an additional 5,718 shares during the last quarter. Tidal Investments LLC bought a new stake in DigitalOcean in the third quarter valued at $423,000. Geode Capital Management LLC increased its position in DigitalOcean by 7.9% during the 3rd quarter. Geode Capital Management LLC now owns 1,464,333 shares of the company’s stock valued at $59,156,000 after purchasing an additional 106,636 shares during the period. Stifel Financial Corp raised its holdings in DigitalOcean by 3.6% in the 3rd quarter. Stifel Financial Corp now owns 22,218 shares of the company’s stock worth $897,000 after purchasing an additional 777 shares in the last quarter. Finally, Jacobs Levy Equity Management Inc. lifted its position in shares of DigitalOcean by 32.8% in the 3rd quarter. Jacobs Levy Equity Management Inc. now owns 1,397,588 shares of the company’s stock worth $56,449,000 after purchasing an additional 345,119 shares during the period. Institutional investors 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).