JPMorgan Chase & Co. Raises DigitalOcean (NYSE:DOCN) Price Target to $40.00

DigitalOcean (NYSE:DOCN) had its price target boosted by JPMorgan Chase & Co. from $32.00 to $40.00 in a research report sent to investors on Friday, Benzinga reports. The brokerage currently has a neutral rating on the stock.

A number of other analysts have also issued reports on the stock. UBS Group cut their price target on shares of DigitalOcean from $40.00 to $34.00 and set a “neutral” rating on the stock in a research note on Friday, August 9th. Stifel Nicolaus upped their target price on shares of DigitalOcean from $32.00 to $35.00 and gave the stock a “hold” rating in a research note on Friday, August 9th. Barclays raised their price target on shares of DigitalOcean from $38.00 to $48.00 and gave the company an “overweight” rating in a research report on Friday, October 11th. Canaccord Genuity Group upped their price objective on DigitalOcean from $42.00 to $48.00 and gave the stock a “buy” rating in a research report on Friday, October 4th. Finally, Piper Sandler decreased their target price on DigitalOcean from $38.00 to $34.00 and set a “neutral” rating for the company in a report on Monday, July 15th. Five research analysts have rated the stock with a hold rating and five have given a buy rating to the stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average price target of $40.56.

DigitalOcean Price Performance

Shares of DOCN opened at $41.04 on Friday. The firm has a 50-day simple moving average of $40.12 and a two-hundred day simple moving average of $36.43. The stock has a market cap of $3.74 billion, a PE ratio of 77.43, a P/E/G ratio of 3.38 and a beta of 1.83. DigitalOcean has a 1-year low of $19.39 and a 1-year high of $44.80.

DigitalOcean (NYSE:DOCN) last announced its earnings results on Thursday, August 8th. The company reported $0.48 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.39 by $0.09. DigitalOcean had a negative return on equity of 31.71% and a net margin of 9.30%. The company had revenue of $192.00 million for the quarter, compared to analyst estimates of $188.63 million. During the same quarter in the previous year, the company earned $0.11 earnings per share. The firm’s quarterly revenue was up 13.1% compared to the same quarter last year. As a group, sell-side analysts expect that DigitalOcean will post 0.86 earnings per share for the current fiscal year.

Institutional Trading of DigitalOcean

A number of institutional investors have recently bought and sold shares of the business. Vanguard Group Inc. raised its holdings in DigitalOcean by 11.5% during the first quarter. Vanguard Group Inc. now owns 6,728,563 shares of the company’s stock worth $256,897,000 after purchasing an additional 696,426 shares in the last quarter. Van Berkom & Associates Inc. boosted its stake in DigitalOcean by 1.6% in the second quarter. Van Berkom & Associates Inc. now owns 1,273,103 shares of the company’s stock valued at $44,240,000 after acquiring an additional 19,731 shares in the last quarter. Principal Financial Group Inc. grew its holdings in shares of 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 during the last quarter. Dimensional Fund Advisors LP increased its position in shares of DigitalOcean by 23.4% during the second quarter. Dimensional Fund Advisors LP now owns 1,079,579 shares of the company’s stock worth $37,512,000 after purchasing an additional 205,007 shares in the last quarter. Finally, Jacobs Levy Equity Management Inc. lifted its holdings in shares of DigitalOcean by 8.0% in the 1st quarter. Jacobs Levy Equity Management Inc. now owns 864,514 shares of the company’s stock valued at $33,007,000 after purchasing an additional 63,771 shares during the last quarter. 49.77% of the stock is owned by hedge funds and other institutional investors.

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).