UBS Group Raises DigitalOcean (NYSE:DOCN) Price Target to $48.00

DigitalOcean (NYSE:DOCN) had its price target boosted by equities researchers at UBS Group from $40.00 to $48.00 in a research report issued on Thursday,Benzinga reports. The brokerage currently has a “neutral” rating on the stock. UBS Group’s price objective suggests a potential upside of 1.67% from the company’s current price.

DOCN has been the subject of several other reports. Stifel Nicolaus set a $36.00 price objective on DigitalOcean in a research note on Tuesday, August 5th. Wall Street Zen upgraded DigitalOcean from a “hold” rating to a “buy” rating in a report on Saturday, November 1st. Canaccord Genuity Group upped their price target on DigitalOcean from $49.00 to $55.00 and gave the stock a “buy” rating in a research note on Thursday, October 9th. Weiss Ratings restated a “hold (c)” rating on shares of DigitalOcean in a research note on Wednesday, October 8th. Finally, Morgan Stanley upped their price target on DigitalOcean from $41.00 to $44.00 and gave the stock an “overweight” rating in a research note on Wednesday, August 6th. Seven analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the stock. Based on data from MarketBeat, DigitalOcean has a consensus rating of “Moderate Buy” and an average price target of $46.91.

DigitalOcean Stock Performance

Shares of DigitalOcean stock traded up $1.40 on Thursday, hitting $47.21. The company’s stock had a trading volume of 3,040,784 shares, compared to its average volume of 2,018,574. DigitalOcean has a 1 year low of $25.45 and a 1 year high of $49.62. The firm has a fifty day moving average price of $37.42 and a 200-day moving average price of $32.25. The company has a market capitalization of $4.30 billion, a price-to-earnings ratio of 36.03, a price-to-earnings-growth ratio of 2.21 and a beta of 1.78.

DigitalOcean (NYSE:DOCN) last announced its quarterly earnings results on Tuesday, August 5th. The company reported $0.59 earnings per share for the quarter, beating the consensus estimate of $0.47 by $0.12. DigitalOcean had a negative return on equity of 73.19% and a net margin of 15.18%.The firm had revenue of $218.70 million during the quarter, compared to analyst estimates of $216.62 million. During the same quarter in the previous year, the business earned $0.48 EPS. DigitalOcean’s revenue for the quarter was up 13.6% compared to the same quarter last year. As a group, analysts forecast that DigitalOcean will post 1.01 EPS for the current year.

Insider Buying and Selling at DigitalOcean

In related news, insider Bratin Saha sold 13,010 shares of the firm’s stock in a transaction dated Wednesday, September 3rd. The shares were sold at an average price of $31.87, for a total value of $414,628.70. Following the completion of the sale, the insider owned 269,465 shares in the company, valued at $8,587,849.55. This trade represents a 4.61% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Company insiders own 0.96% of the company’s stock.

Institutional Investors Weigh In On DigitalOcean

A number of hedge funds have recently added to or reduced their stakes in DOCN. CX Institutional lifted its position in DigitalOcean by 780.5% in the second quarter. CX Institutional now owns 1,039 shares of the company’s stock valued at $30,000 after purchasing an additional 921 shares during the period. GAMMA Investing LLC lifted its position in DigitalOcean by 336.1% in the first quarter. GAMMA Investing LLC now owns 1,064 shares of the company’s stock valued at $36,000 after purchasing an additional 820 shares during the period. Wilmington Savings Fund Society FSB acquired a new stake in DigitalOcean in the third quarter valued at about $37,000. SVB Wealth LLC acquired a new stake in DigitalOcean in the first quarter valued at about $48,000. Finally, Farther Finance Advisors LLC lifted its position in DigitalOcean by 42.3% in the second quarter. Farther Finance Advisors LLC now owns 1,924 shares of the company’s stock valued at $55,000 after purchasing an additional 572 shares during the period. Institutional investors and hedge funds own 49.77% of the company’s stock.

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).