William Blair Estimates DigitalOcean Q1 Earnings

DigitalOcean Holdings, Inc. (NYSE:DOCN) – Analysts at William Blair issued their Q1 2025 earnings per share (EPS) estimates for DigitalOcean in a research report issued on Tuesday, February 25th. William Blair analyst J. Ader anticipates that the company will post earnings per share of $0.19 for the quarter. The consensus estimate for DigitalOcean’s current full-year earnings is $1.01 per share. William Blair also issued estimates for DigitalOcean’s Q2 2025 earnings at $0.21 EPS, Q3 2025 earnings at $0.22 EPS, Q4 2025 earnings at $0.22 EPS and FY2026 earnings at $1.13 EPS.

A number of other equities research analysts also recently issued reports on DOCN. Citigroup began coverage on shares of DigitalOcean in a research note on Friday, January 24th. They set a “buy” rating and a $45.00 price objective on the stock. UBS Group upped their target price on DigitalOcean from $39.00 to $44.00 and gave the company a “neutral” rating in a report on Wednesday. Bank of America upped their target price on DigitalOcean from $28.00 to $31.00 and gave the company an “underperform” rating in a report on Wednesday. Morgan Stanley upgraded DigitalOcean from an “equal weight” rating to an “overweight” rating and upped their target price for the company from $40.00 to $41.00 in a report on Thursday, January 16th. Finally, Cantor Fitzgerald upped their target price on DigitalOcean from $39.00 to $43.00 and gave the company a “neutral” rating in a report on Wednesday. One research analyst has rated the stock with a sell rating, six have issued a hold rating and five have issued a buy rating to the stock. Based on data from MarketBeat.com, the company has a consensus rating of “Hold” and an average target price of $43.27.

DigitalOcean Stock Performance

NYSE:DOCN opened at $42.71 on Friday. DigitalOcean has a 52 week low of $26.63 and a 52 week high of $47.02. The firm has a market cap of $3.94 billion, a price-to-earnings ratio of 50.24, a P/E/G ratio of 3.12 and a beta of 1.81. The firm’s 50-day simple moving average is $39.03 and its 200 day simple moving average is $39.16.

Insider Buying and Selling

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

Institutional Investors Weigh In On DigitalOcean

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. Harbor Investment Advisory LLC increased its stake in DigitalOcean by 380.0% in the 4th quarter. Harbor Investment Advisory LLC now owns 720 shares of the company’s stock valued at $25,000 after buying an additional 570 shares during the last quarter. Farther Finance Advisors LLC purchased a new stake in DigitalOcean in the 3rd quarter valued at about $30,000. Advisors Asset Management Inc. grew its position in shares of DigitalOcean by 150.4% during the 3rd quarter. Advisors Asset Management Inc. now owns 974 shares of the company’s stock valued at $39,000 after acquiring an additional 585 shares during the period. Blue Trust Inc. grew its position in shares of DigitalOcean by 380.6% during the 3rd quarter. Blue Trust Inc. now owns 1,211 shares of the company’s stock valued at $49,000 after acquiring an additional 959 shares during the period. Finally, JTC Employer Solutions Trustee Ltd bought a new position in shares of DigitalOcean during the 4th quarter valued at approximately $45,000. Hedge funds and other 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).