Jennison Associates LLC Takes Position in DigitalOcean Holdings, Inc. $DOCN

Jennison Associates LLC purchased a new stake in shares of DigitalOcean Holdings, Inc. (NYSE:DOCN) in the second quarter, according to its most recent 13F filing with the SEC. The fund purchased 15,926 shares of the company’s stock, valued at approximately $455,000.

Other hedge funds have also recently made changes to their positions in the company. CX Institutional grew its position in shares of DigitalOcean by 780.5% during the 2nd quarter. CX Institutional now owns 1,039 shares of the company’s stock valued at $30,000 after purchasing an additional 921 shares in the last quarter. GAMMA Investing LLC grew its position in shares of DigitalOcean by 336.1% during the 1st quarter. GAMMA Investing LLC now owns 1,064 shares of the company’s stock valued at $36,000 after purchasing an additional 820 shares in the last quarter. SVB Wealth LLC purchased a new position in shares of DigitalOcean during the 1st quarter valued at $48,000. Farther Finance Advisors LLC grew its position in shares of DigitalOcean by 42.3% during the 2nd 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 in the last quarter. Finally, Advisors Asset Management Inc. grew its position in shares of DigitalOcean by 39.6% during the 1st quarter. Advisors Asset Management Inc. now owns 2,229 shares of the company’s stock valued at $74,000 after purchasing an additional 632 shares in the last quarter. 49.77% of the stock is currently owned by hedge funds and other institutional investors.

Insiders Place Their Bets

In other DigitalOcean news, insider Bratin Saha sold 13,010 shares of the business’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 transaction, the insider owned 269,465 shares in the company, valued at approximately $8,587,849.55. The trade was a 4.61% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. 0.74% of the stock is owned by corporate insiders.

Wall Street Analysts Forecast Growth

A number of analysts have recently issued reports on DOCN shares. Wall Street Zen raised shares of DigitalOcean from a “hold” rating to a “buy” rating in a report on Saturday. Barclays lifted their price objective on shares of DigitalOcean from $38.00 to $40.00 and gave the stock an “overweight” rating in a report on Wednesday, August 6th. Stifel Nicolaus set a $36.00 price objective on shares of DigitalOcean in a report on Tuesday, August 5th. Weiss Ratings reaffirmed a “hold (c)” rating on shares of DigitalOcean in a report on Wednesday, October 8th. Finally, Canaccord Genuity Group lifted their price objective on shares of DigitalOcean from $49.00 to $55.00 and gave the stock a “buy” rating in a report on Thursday, October 9th. Six investment analysts have rated the stock with a Buy rating, six have issued a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat.com, DigitalOcean has an average rating of “Hold” and an average price target of $42.73.

DigitalOcean Stock Up 7.1%

DigitalOcean stock opened at $40.63 on Monday. The company has a market capitalization of $3.70 billion, a PE ratio of 31.25, a P/E/G ratio of 2.31 and a beta of 1.78. The firm has a fifty day simple moving average of $36.77 and a two-hundred day simple moving average of $31.97. DigitalOcean Holdings, Inc. has a twelve month low of $25.45 and a twelve month high of $47.02.

DigitalOcean (NYSE:DOCN) last posted its quarterly earnings results on Tuesday, August 5th. The company reported $0.59 earnings per share for the quarter, topping the consensus estimate of $0.47 by $0.12. The business had revenue of $218.70 million during the quarter, compared to the consensus estimate of $216.62 million. DigitalOcean had a net margin of 15.18% and a negative return on equity of 73.19%. The firm’s revenue for the quarter was up 13.6% on a year-over-year basis. During the same period in the previous year, the firm posted $0.48 earnings per share. DigitalOcean has set its FY 2025 guidance at 2.050-2.100 EPS. Q3 2025 guidance at 0.450-0.500 EPS. As a group, equities analysts expect that DigitalOcean Holdings, Inc. will post 1.01 earnings per share for the current fiscal year.

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).