E20 Capital Ltd Makes New Investment in DigitalOcean Holdings, Inc. $DOCN

E20 Capital Ltd bought a new position in DigitalOcean Holdings, Inc. (NYSE:DOCN) in the 2nd quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The fund bought 76,026 shares of the company’s stock, valued at approximately $11,938,000. DigitalOcean comprises about 1.0% of E20 Capital Ltd’s investment portfolio, making the stock its 20th largest position. E20 Capital Ltd owned 0.07% of DigitalOcean as of its most recent SEC filing.

A number of other institutional investors have also modified their holdings of the stock. Hilltop National Bank acquired a new stake in DigitalOcean during the second quarter valued at approximately $38,000. Rakuten Securities Inc. acquired a new position in shares of DigitalOcean in the 2nd quarter worth approximately $43,000. Parallel Advisors LLC grew its position in shares of DigitalOcean by 66.2% in the 1st quarter. Parallel Advisors LLC now owns 324 shares of the company’s stock worth $28,000 after acquiring an additional 129 shares in the last quarter. Banque Cantonale Vaudoise bought a new stake in shares of DigitalOcean in the 1st quarter valued at approximately $33,000. Finally, LRI Investments LLC bought a new stake in shares of DigitalOcean in the 2nd quarter valued at approximately $64,000. Institutional investors and hedge funds own 49.77% of the company’s stock.

Wall Street Analyst Weigh In

Several equities research analysts recently issued reports on DOCN shares. Morgan Stanley upped their price target on DigitalOcean from $75.00 to $175.00 and gave the company an “overweight” rating in a research report on Wednesday, May 6th. Stifel Nicolaus upgraded shares of DigitalOcean from a “hold” rating to a “buy” rating and boosted their target price for the company from $135.00 to $160.00 in a research note on Tuesday, July 21st. KeyCorp initiated coverage on shares of DigitalOcean in a report on Tuesday, June 2nd. They set an “overweight” rating and a $200.00 target price on the stock. Canaccord Genuity Group reaffirmed a “buy” rating and issued a $200.00 price target on shares of DigitalOcean in a report on Friday, July 10th. Finally, William Blair reaffirmed an “outperform” rating on shares of DigitalOcean in a research report on Wednesday, July 15th. Two equities research analysts have rated the stock with a Strong Buy rating, twelve have issued a Buy rating and two have given a Hold rating to the stock. According to MarketBeat, the company has a consensus rating of “Buy” and an average target price of $151.33.

Insider Transactions at DigitalOcean

In other news, CFO Matt Steinfort sold 10,000 shares of the stock in a transaction on Tuesday, June 2nd. The stock was sold at an average price of $170.07, for a total value of $1,700,700.00. Following the completion of the transaction, the chief financial officer owned 538,414 shares of the company’s stock, valued at approximately $91,568,068.98. This represents a 1.82% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, Director Warren J. Adelman sold 4,200 shares of DigitalOcean stock in a transaction dated Friday, August 7th. The shares were sold at an average price of $124.01, for a total transaction of $520,842.00. Following the sale, the director owned 67,433 shares in the company, valued at approximately $8,362,366.33. This represents a 5.86% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last quarter, insiders sold 18,656 shares of company stock valued at $2,811,383. 0.96% of the stock is currently owned by corporate insiders.

DigitalOcean Stock Performance

DOCN opened at $115.12 on Monday. The business’s 50 day moving average is $134.86 and its 200-day moving average is $113.86. The stock has a market cap of $12.01 billion, a PE ratio of 52.57, a price-to-earnings-growth ratio of 98.99 and a beta of 1.61. The company has a current ratio of 1.31, a quick ratio of 1.31 and a debt-to-equity ratio of 1.14. DigitalOcean Holdings, Inc. has a twelve month low of $30.05 and a twelve month high of $187.50.

DigitalOcean (NYSE:DOCN) last issued its quarterly earnings data on Tuesday, August 4th. The company reported $0.45 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.26 by $0.19. DigitalOcean had a return on equity of 31.01% and a net margin of 23.26%.The business had revenue of $281.18 million during the quarter, compared to analyst estimates of $279.03 million. During the same period in the prior year, the company posted $0.39 EPS. The business’s revenue for the quarter was up 28.6% compared to the same quarter last year. DigitalOcean has set its FY 2026 guidance at 1.350-1.400 EPS and its Q3 2026 guidance at 0.280-0.300 EPS. On average, analysts predict that DigitalOcean Holdings, Inc. will post 0.63 earnings per share for the current year.

DigitalOcean Company Profile

DigitalOcean Holdings, Inc is a cloud infrastructure provider that focuses on simplicity, performance and developer experience. The company offers a range of cloud services designed to help software developers, startups and small- to medium-sized businesses deploy, manage and scale applications. Its flagship offering, Droplets, provides virtual private servers that can be configured with various CPU, memory and storage options. In addition to compute instances, DigitalOcean’s platform includes managed Kubernetes, scalable object and block storage, managed databases, load balancers and networking capabilities such as Virtual Private Cloud (VPC) and Floating IPs.

Founded in 2011 and headquartered in New York City, DigitalOcean was created with the goal of making cloud computing more accessible to individual developers and smaller teams.