CenterBook Partners LP Reduces Position in DigitalOcean Holdings, Inc. (NYSE:DOCN)

Key Points

• CenterBook Partners LP significantly reduced its holdings in DigitalOcean Holdings, Inc. by 77.5% in Q1, now owning 50,371 shares valued at $1.68 million.
• Institutional ownership stands at 49.77% with notable investors like Jacobs Levy Equity Management increasing their stake by 16.6% recently.
• Analysts have mixed ratings on DigitalOcean, with seven buy ratings and a new average target price of $41.45, down from previous highs.

CenterBook Partners LP reduced its position in DigitalOcean Holdings, Inc. (NYSE:DOCN - Free Report) by 77.5% in the 1st quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The fund owned 50,371 shares of the company's stock after selling 173,659 shares during the quarter. CenterBook Partners LP owned approximately 0.06% of DigitalOcean worth $1,682,000 at the end of the most recent quarter.

Several other hedge funds and other institutional investors have also recently bought and sold shares of DOCN. GAMMA Investing LLC boosted its stake in DigitalOcean by 336.1% in the first quarter. GAMMA Investing LLC now owns 1,064 shares of the company's stock valued at $36,000 after acquiring an additional 820 shares during the period. Farther Finance Advisors LLC boosted its position in shares of DigitalOcean by 135,100.0% during the first quarter. Farther Finance Advisors LLC now owns 1,352 shares of the company's stock worth $46,000 after buying an additional 1,351 shares during the period. Canada Pension Plan Investment Board acquired a new position in shares of DigitalOcean during the fourth quarter worth approximately $133,000. Cerity Partners LLC acquired a new position in shares of DigitalOcean during the first quarter worth approximately $223,000. Finally, Mariner LLC boosted its position in shares of DigitalOcean by 14.4% during the fourth quarter. Mariner LLC now owns 6,685 shares of the company's stock worth $228,000 after buying an additional 839 shares during the period. 49.77% of the stock is owned by institutional investors.

Analyst Ratings Changes

DOCN has been the subject of several analyst reports. UBS Group reduced their price objective on DigitalOcean from $44.00 to $32.00 and set a "neutral" rating for the company in a research report on Thursday, May 8th. Needham & Company LLC reiterated a "hold" rating on shares of DigitalOcean in a research report on Tuesday, May 6th. Morgan Stanley upped their target price on DigitalOcean from $41.00 to $44.00 and gave the stock an "overweight" rating in a research report on Wednesday, August 6th. Canaccord Genuity Group upped their target price on DigitalOcean from $45.00 to $49.00 and gave the stock a "buy" rating in a research report on Wednesday, August 6th. Finally, Wall Street Zen upgraded DigitalOcean from a "hold" rating to a "buy" rating in a research report on Sunday, June 29th. One analyst has rated the stock with a sell rating, five have issued a hold rating and seven have issued a buy rating to the stock. According to data from MarketBeat.com, the company currently has an average rating of "Hold" and a consensus target price of $41.45.

Insider Buying and Selling

In other news, insider Bratin Saha sold 3,461 shares of DigitalOcean stock in a transaction that occurred on Wednesday, June 18th. The shares were sold at an average price of $27.77, for a total transaction of $96,111.97. Following the sale, the insider owned 294,546 shares in the company, valued at $8,179,542.42. This trade represents a 1.16% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. Insiders own 0.96% of the company's stock.

DigitalOcean Stock Performance

NYSE:DOCN traded down $3.50 during midday trading on Monday, reaching $29.56. 3,660,439 shares of the stock traded hands, compared to its average volume of 1,590,150. DigitalOcean Holdings, Inc. has a 12 month low of $25.45 and a 12 month high of $47.02. The stock has a market capitalization of $2.69 billion, a P/E ratio of 22.87, a PEG ratio of 2.36 and a beta of 1.75. The company has a fifty day moving average of $28.97 and a 200 day moving average of $32.85.

DigitalOcean (NYSE:DOCN - Get Free Report) last issued its quarterly earnings results on Tuesday, August 5th. The company reported $0.59 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.47 by $0.12. The company had revenue of $218.70 million during the quarter, compared to analyst estimates of $216.62 million. DigitalOcean had a net margin of 15.18% and a negative return on equity of 73.19%. DigitalOcean's quarterly revenue was up 13.6% compared to the same quarter last year. During the same period last year, the business earned $0.48 EPS. On average, analysts predict that DigitalOcean Holdings, Inc. will post 1.01 EPS for the current fiscal year.

DigitalOcean Company Profile

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).