DigitalOcean’s (DOCN) “Hold” Rating Reaffirmed at Needham & Company LLC

Needham & Company LLC reiterated their hold rating on shares of DigitalOcean (NYSE:DOCN) in a report published on Tuesday, Benzinga reports.

Several other equities analysts have also recently issued reports on the company. Piper Sandler reduced their price objective on DigitalOcean from $38.00 to $34.00 and set a “neutral” rating on the stock in a research note on Monday, July 15th. Canaccord Genuity Group lifted their price target on shares of DigitalOcean from $42.00 to $48.00 and gave the company a “buy” rating in a report on Friday, October 4th. JPMorgan Chase & Co. increased their price objective on shares of DigitalOcean from $32.00 to $40.00 and gave the stock a “neutral” rating in a research note on Friday, October 25th. UBS Group decreased their target price on DigitalOcean from $40.00 to $34.00 and set a “neutral” rating for the company in a research note on Friday, August 9th. Finally, Stifel Nicolaus increased their price target on DigitalOcean from $32.00 to $35.00 and gave the stock 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. According to MarketBeat, DigitalOcean currently has a consensus rating of “Moderate Buy” and a consensus price target of $40.56.

DigitalOcean Stock Performance

DOCN opened at $35.86 on Tuesday. The company has a market capitalization of $3.30 billion, a P/E ratio of 49.81, a PEG ratio of 3.24 and a beta of 1.83. The company has a 50-day moving average of $40.40 and a 200-day moving average of $36.66. DigitalOcean has a 1-year low of $23.65 and a 1-year high of $44.80.

DigitalOcean (NYSE:DOCN) last announced its quarterly earnings data on Monday, November 4th. The company reported $0.52 earnings per share for the quarter, beating the consensus estimate of $0.40 by $0.12. DigitalOcean had a negative return on equity of 31.71% and a net margin of 9.30%. The firm had revenue of $198.50 million during the quarter, compared to analyst estimates of $196.64 million. During the same period in the previous year, the company earned $0.17 earnings per share. DigitalOcean’s quarterly revenue was up 12.1% on a year-over-year basis. As a group, sell-side analysts expect that DigitalOcean will post 0.86 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently modified their holdings of the business. 180 Wealth Advisors LLC grew its position in DigitalOcean by 4.4% in the 2nd quarter. 180 Wealth Advisors LLC now owns 7,120 shares of the company’s stock valued at $237,000 after buying an additional 297 shares in the last quarter. Harbor Capital Advisors Inc. increased its stake in shares of DigitalOcean by 4.5% during the second quarter. Harbor Capital Advisors Inc. now owns 8,426 shares of the company’s stock valued at $293,000 after acquiring an additional 359 shares during the period. Sei Investments Co. raised its holdings in DigitalOcean by 1.5% during the second quarter. Sei Investments Co. now owns 30,834 shares of the company’s stock worth $1,071,000 after purchasing an additional 468 shares in the last quarter. Nisa Investment Advisors LLC boosted its stake in DigitalOcean by 56.4% during the 3rd quarter. Nisa Investment Advisors LLC now owns 1,340 shares of the company’s stock valued at $54,000 after purchasing an additional 483 shares in the last quarter. Finally, Creative Financial Designs Inc. ADV raised its stake in shares of DigitalOcean by 17.8% in the 3rd quarter. Creative Financial Designs Inc. ADV now owns 3,744 shares of the company’s stock worth $151,000 after buying an additional 566 shares in the last quarter. 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).