DigitalOcean (NYSE:DOCN) Issues FY 2025 Earnings Guidance

DigitalOcean (NYSE:DOCN) issued an update on its FY 2025 earnings guidance on Tuesday morning. The company provided earnings per share guidance of 1.850-1.950 for the period, compared to the consensus earnings per share estimate of 1.840. The company issued revenue guidance of $870.0 million-$890.0 million, compared to the consensus revenue estimate of $877.7 million. DigitalOcean also updated its FY25 guidance to $1.85-1.95 EPS.

DigitalOcean Stock Performance

Shares of DOCN traded up $2.94 during midday trading on Wednesday, hitting $43.77. 828,551 shares of the stock traded hands, compared to its average volume of 1,279,072. The business’s 50 day moving average price is $38.70 and its two-hundred day moving average price is $39.10. The firm has a market capitalization of $4.04 billion, a PE ratio of 51.63, a price-to-earnings-growth ratio of 3.12 and a beta of 1.81. DigitalOcean has a 1-year low of $26.63 and a 1-year high of $47.02.

Analyst Upgrades and Downgrades

DOCN has been the topic of several recent analyst reports. Bank of America boosted their target price on DigitalOcean from $28.00 to $31.00 and gave the stock an “underperform” rating in a report on Wednesday. Cantor Fitzgerald upped their price target on DigitalOcean from $39.00 to $43.00 and gave the company a “neutral” rating in a report on Wednesday. Stifel Nicolaus increased their price target on DigitalOcean from $35.00 to $40.00 and gave the company a “hold” rating in a research report on Wednesday, December 18th. JPMorgan Chase & Co. boosted their price objective on shares of DigitalOcean from $40.00 to $45.00 and gave the company a “neutral” rating in a research report on Wednesday. Finally, JMP Securities boosted their target price on DigitalOcean from $47.00 to $55.00 and gave the stock a “market outperform” rating in a report on Monday, January 27th. One investment analyst has rated the stock with a sell rating, six have given a hold rating and five have issued a buy rating to the stock. According to data from MarketBeat.com, the stock currently has a consensus rating of “Hold” and a consensus target price of $42.18.

Insider Buying and Selling

In related news, CFO Matt Steinfort sold 12,498 shares of the business’s stock in a transaction that occurred on Wednesday, December 4th. The stock was sold at an average price of $40.00, for a total value of $499,920.00. Following the completion of the sale, the chief financial officer now directly owns 517,498 shares in the company, valued at approximately $20,699,920. The trade was a 2.36 % decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is accessible through this link. Also, insider Bratin Saha sold 4,289 shares of DigitalOcean stock in a transaction dated Tuesday, January 21st. The shares were sold at an average price of $36.80, for a total value of $157,835.20. Following the completion of the transaction, the insider now owns 372,762 shares in the company, valued at approximately $13,717,641.60. This represents a 1.14 % decrease in their position. The disclosure for this sale can be found here. In the last three months, insiders sold 20,255 shares of company stock valued at $790,163. 0.74% of the stock is owned by corporate insiders.

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).