DigitalOcean (NYSE:DOCN) Issues Q1 Earnings Guidance

DigitalOcean (NYSE:DOCN) issued an update on its first quarter earnings guidance on Friday morning. The company provided earnings per share (EPS) guidance of $0.41-0.46 for the period, compared to the consensus estimate of $0.44. The company issued revenue guidance of $207-209 million, compared to the consensus revenue estimate of $208.63 million. DigitalOcean also updated its FY25 guidance to $1.85-1.95 EPS.

Analyst Ratings Changes

A number of analysts have recently issued reports on DOCN shares. Canaccord Genuity Group increased their price target on shares of DigitalOcean from $48.00 to $50.00 and gave the stock a “buy” rating in a research report on Wednesday, February 26th. Cantor Fitzgerald upped their price target on shares of DigitalOcean from $39.00 to $43.00 and gave the stock a “neutral” rating in a research note on Wednesday, February 26th. JPMorgan Chase & Co. increased their price objective on DigitalOcean from $40.00 to $45.00 and gave the stock a “neutral” rating in a report on Wednesday, February 26th. Bank of America upped their target price on DigitalOcean from $28.00 to $31.00 and gave the stock an “underperform” rating in a research report on Wednesday, February 26th. Finally, Needham & Company LLC reiterated a “hold” rating on shares of DigitalOcean in a report on Wednesday, February 26th. One research analyst has rated the stock with a sell rating, six have given a hold rating and six have assigned a buy rating to the company’s stock. According to MarketBeat, the stock presently has a consensus rating of “Hold” and a consensus target price of $43.27.

DigitalOcean Stock Down 8.3 %

NYSE DOCN traded down $2.59 during midday trading on Friday, hitting $28.64. The company had a trading volume of 3,024,792 shares, compared to its average volume of 1,254,801. The firm has a fifty day simple moving average of $39.86 and a two-hundred day simple moving average of $39.11. DigitalOcean has a fifty-two week low of $26.63 and a fifty-two week high of $47.02. The stock has a market cap of $2.64 billion, a price-to-earnings ratio of 33.69, a P/E/G ratio of 3.12 and a beta of 1.80.

Insider Buying and Selling

In related news, insider Bratin Saha sold 3,948 shares of the firm’s stock in a transaction on Tuesday, March 18th. The stock was sold at an average price of $36.63, for a total value of $144,615.24. Following the completion of the transaction, the insider now directly owns 358,696 shares of the company’s stock, valued at $13,139,034.48. This trade represents a 1.09 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. 0.74% of the stock is owned by company insiders.

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).