DigitalOcean (NYSE:DOCN) CFO Matt Steinfort Sells 10,000 Shares of Stock

Key Points

• DigitalOcean CFO Matt Steinfort sold 10,000 shares at an average price of $105.73, generating $1.06 million. The sale was conducted under a pre-arranged Rule 10b5-1 plan to cover tax obligations from vested equity awards, leaving him with 503,692 shares.
• DigitalOcean reported quarterly revenue of $281.18 million, up 28.6% year over year, and earnings of $0.45 per share—well above the $0.26 analyst consensus.
• Analysts remain broadly positive, with the stock carrying a consensus “Buy” rating and an average price target of $152.81, despite shares trading at $109.50 in the cited session.

DigitalOcean Holdings, Inc. (NYSE:DOCN - Get Free Report) CFO Matt Steinfort sold 10,000 shares of the business's stock in a transaction that occurred on Thursday, September 3rd. The stock was sold at an average price of $105.73, for a total value of $1,057,300.00. Following the sale, the chief financial officer owned 503,692 shares of the company's stock, valued at approximately $53,255,355.16. This trade represents a 1.95% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available 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.

DigitalOcean Price Performance

NYSE DOCN traded up $4.63 during mid-day trading on Thursday, hitting $109.50. The stock had a trading volume of 1,846,413 shares, compared to its average volume of 2,135,332. DigitalOcean Holdings, Inc. has a twelve month low of $30.89 and a twelve month high of $187.50. The company has a debt-to-equity ratio of 1.14, a current ratio of 1.31 and a quick ratio of 1.31. The firm's 50 day moving average is $125.06 and its 200 day moving average is $117.00. The stock has a market capitalization of $11.43 billion, a price-to-earnings ratio of 50.00, a PEG ratio of 89.78 and a beta of 1.57.

DigitalOcean (NYSE:DOCN - Get Free Report) last posted its quarterly earnings results on Tuesday, August 4th. The company reported $0.45 earnings per share for the quarter, topping the consensus estimate of $0.26 by $0.19. DigitalOcean had a net margin of 23.26% and a return on equity of 31.01%. The firm had revenue of $281.18 million for the quarter, compared to the consensus estimate of $279.03 million. During the same period last year, the firm posted $0.39 earnings per share. The company's revenue for the quarter was up 28.6% on a year-over-year basis. DigitalOcean has set its FY 2026 guidance at 1.350-1.400 EPS and its Q3 2026 guidance at 0.280-0.300 EPS. Equities research analysts forecast that DigitalOcean Holdings, Inc. will post 0.63 earnings per share for the current fiscal year.

Institutional Trading of DigitalOcean

Several hedge funds and other institutional investors have recently made changes to their positions in the company. EverSource Wealth Advisors LLC lifted its holdings in shares of DigitalOcean by 14.8% in the 1st quarter. EverSource Wealth Advisors LLC now owns 551 shares of the company's stock valued at $47,000 after buying an additional 71 shares during the period. Parallel Advisors LLC increased its holdings in shares of DigitalOcean by 66.2% in the 1st quarter. Parallel Advisors LLC now owns 324 shares of the company's stock valued at $28,000 after purchasing an additional 129 shares in the last quarter. Maryland State Retirement & Pension System increased its holdings in shares of DigitalOcean by 1.9% in the 4th quarter. Maryland State Retirement & Pension System now owns 10,001 shares of the company's stock valued at $481,000 after purchasing an additional 185 shares in the last quarter. Hilltop National Bank acquired a new stake in shares of DigitalOcean in the second quarter valued at about $38,000. Finally, Allworth Financial LP grew its position in DigitalOcean by 54.4% during the third quarter. Allworth Financial LP now owns 724 shares of the company's stock worth $25,000 after buying an additional 255 shares during the period. Hedge funds and other institutional investors own 49.77% of the company's stock.

Analysts Set New Price Targets

A number of analysts have issued reports on DOCN shares. The Goldman Sachs Group boosted their target price on DigitalOcean from $78.00 to $179.00 and gave the company a "buy" rating in a research report on Wednesday, May 6th. Truist Financial started coverage on DigitalOcean in a report on Thursday, August 27th. They issued a "buy" rating and a $175.00 price objective on the stock. UBS Group reduced their price target on shares of DigitalOcean from $155.00 to $140.00 and set a "neutral" rating on the stock in a research report on Wednesday, August 5th. Citigroup increased their target price on shares of DigitalOcean from $185.00 to $190.00 and gave the stock a "buy" rating in a report on Wednesday, August 5th. Finally, Canaccord Genuity Group reaffirmed a "buy" rating and issued a $200.00 price target on shares of DigitalOcean in a research report on Friday, July 10th. Two investment analysts have rated the stock with a Strong Buy rating, thirteen have given a Buy rating and two have assigned a Hold rating to the company's stock. According to MarketBeat.com, the company currently has an average rating of "Buy" and an average price target of $152.81.

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.

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