DigitalOcean (NASDAQ:DOCN) Releases FY24 Earnings Guidance

DigitalOcean (NASDAQ:DOCN) issued an update on its FY24 earnings guidance on Thursday morning. The company provided earnings per share (EPS) guidance of $1.60-$1.70 for the period, compared to the consensus estimate of $1.64. The company issued revenue guidance of $770-$775 million, compared to the consensus revenue estimate of $769.82 million. DigitalOcean also updated its FY 2024 guidance to 1.600-1.700 EPS.

DigitalOcean Stock Up 11.9 %

Shares of DigitalOcean stock opened at $32.57 on Friday. The company has a market cap of $2.97 billion, a PE ratio of 61.45, a P/E/G ratio of 3.01 and a beta of 1.81. The business has a 50 day moving average of $33.59 and a 200 day moving average of $35.63. DigitalOcean has a 52 week low of $19.39 and a 52 week high of $41.58.

DigitalOcean (NASDAQ:DOCN) last issued its quarterly earnings results on Friday, May 10th. The company reported $0.24 earnings per share for the quarter, topping the consensus estimate of $0.18 by $0.06. The company had revenue of $184.73 million for the quarter, compared to analysts’ expectations of $182.70 million. DigitalOcean had a negative return on equity of 26.29% and a net margin of 7.01%. On average, research analysts anticipate that DigitalOcean will post 0.78 earnings per share for the current year.

Wall Street Analysts Forecast Growth

A number of research firms have recently commented on DOCN. Needham & Company LLC reissued a hold rating on shares of DigitalOcean in a research note on Monday, May 13th. Stifel Nicolaus increased their target price on DigitalOcean from $32.00 to $35.00 and gave the stock a hold rating in a research note on Friday. Piper Sandler cut their target price on DigitalOcean from $38.00 to $34.00 and set a neutral rating on the stock in a research note on Monday, July 15th. UBS Group cut their target price on DigitalOcean from $40.00 to $34.00 and set a neutral rating on the stock in a research note on Friday. Finally, Canaccord Genuity Group increased their target price on DigitalOcean from $41.00 to $42.00 and gave the stock a buy rating in a research note on Monday, May 13th. One equities research analyst has rated the stock with a sell rating, five have issued a hold rating and five have given a buy rating to the company. According to MarketBeat.com, the company presently has a consensus rating of Hold and an average price target of $36.40.

Insider Transactions at DigitalOcean

In other news, Director Amy Butte sold 5,220 shares of the firm’s stock in a transaction dated Friday, June 7th. The stock was sold at an average price of $37.46, for a total value of $195,541.20. Following the transaction, the director now owns 36,417 shares of the company’s stock, valued at $1,364,180.82. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Corporate insiders own 0.74% 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).