Northwestern Mutual Wealth Management Co. Sells 8,145 Shares of DigitalOcean Holdings, Inc. $DOCN

Key Points

• Northwestern Mutual Wealth Management Co. reduced its stake in DigitalOcean Holdings, Inc. by 9.4%, selling 8,145 shares, leaving it with approximately 78,059 shares valued at $2.6 million.
• Several institutional investors have made notable changes to their positions, with Fuller & Thaler Asset Management Inc. increasing its shares by 28.6%, and Sumitomo Mitsui Trust Group Inc. growing its position by 119.6% in the first quarter.
• DigitalOcean reported earnings of $0.59 per share for the last quarter, surpassing estimates, and had a year-over-year revenue increase of 13.6%.

Northwestern Mutual Wealth Management Co. trimmed its stake in shares of DigitalOcean Holdings, Inc. (NYSE:DOCN - Free Report) by 9.4% during the first quarter, according to its most recent disclosure with the Securities and Exchange Commission. The institutional investor owned 78,059 shares of the company's stock after selling 8,145 shares during the period. Northwestern Mutual Wealth Management Co. owned approximately 0.09% of DigitalOcean worth $2,606,000 at the end of the most recent reporting period.

A number of other large investors also recently modified their holdings of DOCN. GAMMA Investing LLC lifted its position in shares of DigitalOcean by 336.1% during the first quarter. GAMMA Investing LLC now owns 1,064 shares of the company's stock worth $36,000 after purchasing an additional 820 shares in the last quarter. Farther Finance Advisors LLC lifted 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 purchasing an additional 1,351 shares in the last quarter. Covestor Ltd lifted its position in shares of DigitalOcean by 35.8% during the first quarter. Covestor Ltd now owns 3,182 shares of the company's stock worth $106,000 after purchasing an additional 838 shares in the last quarter. Cerity Partners LLC acquired a new position in shares of DigitalOcean during the first quarter worth approximately $223,000. Finally, Mariner LLC lifted 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 purchasing an additional 839 shares in the last quarter. 49.77% of the stock is currently owned by institutional investors and hedge funds.

Wall Street Analysts Forecast Growth

Several brokerages recently weighed in on DOCN. UBS Group cut their price objective on shares of DigitalOcean from $44.00 to $32.00 and set a "neutral" rating on the stock in a report on Thursday, May 8th. Barclays increased their target price on shares of DigitalOcean from $38.00 to $40.00 and gave the stock an "overweight" rating in a report on Wednesday, August 6th. Canaccord Genuity Group increased their price objective on shares of DigitalOcean from $45.00 to $49.00 and gave the stock a "buy" rating in a research report on Wednesday, August 6th. Citigroup lowered their price objective on shares of DigitalOcean from $50.00 to $40.00 and set a "buy" rating for the company in a research report on Wednesday, May 7th. Finally, Morgan Stanley increased their price objective on shares of DigitalOcean from $41.00 to $44.00 and gave the stock an "overweight" rating in a research report on Wednesday, August 6th. Six investment analysts have rated the stock with a Buy rating, five have given a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat.com, the stock currently has a consensus rating of "Hold" and an average price target of $41.45.

Insiders Place Their Bets

In related news, insider Bratin Saha sold 3,461 shares of the firm's stock in a transaction on Wednesday, June 18th. The shares were sold at an average price of $27.77, for a total value of $96,111.97. Following the completion of the transaction, the insider owned 294,546 shares of the company's stock, valued at approximately $8,179,542.42. This trade represents a 1.16% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. Company insiders own 0.74% of the company's stock.

DigitalOcean Stock Performance

DigitalOcean stock traded up $0.05 during mid-day trading on Wednesday, reaching $31.92. The company's stock had a trading volume of 949,329 shares, compared to its average volume of 1,742,894. The company has a market capitalization of $2.91 billion, a price-to-earnings ratio of 24.54, a price-to-earnings-growth ratio of 1.85 and a beta of 1.77. DigitalOcean Holdings, Inc. has a 12 month low of $25.45 and a 12 month high of $47.02. The business's 50 day simple moving average is $29.96 and its 200 day simple moving average is $31.54.

DigitalOcean (NYSE:DOCN - Get Free Report) last released its earnings results on Tuesday, August 5th. The company reported $0.59 earnings per share for the quarter, beating analysts' consensus estimates 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% compared to the same quarter last year. During the same quarter last year, the firm earned $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, sell-side analysts expect that DigitalOcean Holdings, Inc. will post 1.01 EPS for the current 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).