DigitalOcean (NYSE:DOCN) Earns “Hold” Rating from Needham & Company LLC

DigitalOcean (NYSE:DOCN)‘s stock had its “hold” rating restated by equities research analysts at Needham & Company LLC in a research note issued on Tuesday, Benzinga reports.

DOCN has been the subject of a number of other research reports. JPMorgan Chase & Co. upped their target price on shares of DigitalOcean from $32.00 to $40.00 and gave the stock a “neutral” rating in a report on Friday, October 25th. Piper Sandler cut their price objective on shares of DigitalOcean from $38.00 to $34.00 and set a “neutral” rating for the company in a report on Monday, July 15th. Stifel Nicolaus upped their price target on DigitalOcean from $32.00 to $35.00 and gave the company a “hold” rating in a research report on Friday, August 9th. UBS Group reduced their price objective on DigitalOcean from $40.00 to $34.00 and set a “neutral” rating on the stock in a research report on Friday, August 9th. Finally, Canaccord Genuity Group upped their target price on DigitalOcean from $42.00 to $48.00 and gave the company a “buy” rating in a report on Friday, October 4th. Five research analysts have rated the stock with a hold rating and five have issued a buy rating to the company’s stock. According to MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average price target of $40.56.

DigitalOcean Price Performance

NYSE DOCN traded up $0.17 on Tuesday, hitting $35.50. The company had a trading volume of 289,947 shares, compared to its average volume of 1,251,996. The company has a market capitalization of $3.27 billion, a PE ratio of 49.67, a PEG ratio of 3.24 and a beta of 1.83. DigitalOcean has a 12-month low of $23.65 and a 12-month high of $44.80. The company’s fifty day moving average price is $40.40 and its 200-day moving average price is $36.66.

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

Hedge Funds Weigh In On DigitalOcean

A number of hedge funds have recently modified their holdings of the business. Vanguard Group Inc. increased its position in shares of DigitalOcean by 11.5% during the first quarter. Vanguard Group Inc. now owns 6,728,563 shares of the company’s stock valued at $256,897,000 after acquiring an additional 696,426 shares during the last quarter. University of Texas Texas AM Investment Management Co. acquired a new stake in DigitalOcean in the 2nd quarter valued at approximately $11,712,000. Bank of New York Mellon Corp raised its position in DigitalOcean by 66.9% in the second quarter. Bank of New York Mellon Corp now owns 766,043 shares of the company’s stock valued at $26,620,000 after purchasing an additional 307,162 shares during the period. Principal Financial Group Inc. lifted its stake in DigitalOcean by 27.9% during the second quarter. Principal Financial Group Inc. now owns 1,178,848 shares of the company’s stock worth $40,965,000 after purchasing an additional 257,229 shares in the last quarter. Finally, Renaissance Technologies LLC boosted its position in shares of DigitalOcean by 152.6% during the second quarter. Renaissance Technologies LLC now owns 375,600 shares of the company’s stock worth $13,052,000 after buying an additional 226,900 shares during the period. 49.77% of the stock is currently owned by hedge funds and other institutional investors.

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).