DigitalOcean (NYSE:DOCN) Releases FY 2024 Earnings Guidance

DigitalOcean (NYSE:DOCN) issued an update on its FY 2024 earnings guidance on Monday morning. The company provided earnings per share (EPS) guidance of 1.700-1.750 for the period, compared to the consensus estimate of 1.670. The company issued revenue guidance of $775.0 million-$777.0 million, compared to the consensus revenue estimate of $773.9 million. DigitalOcean also updated its FY24 guidance to $1.70-1.75 EPS.

Analyst Ratings Changes

DOCN has been the subject of several recent research reports. UBS Group decreased their price target on shares of DigitalOcean from $40.00 to $34.00 and set a “neutral” rating for the company in a research report on Friday, August 9th. Canaccord Genuity Group increased their price objective on DigitalOcean from $42.00 to $48.00 and gave the company a “buy” rating in a report on Friday, October 4th. JPMorgan Chase & Co. lifted their target price on DigitalOcean from $32.00 to $40.00 and gave the stock a “neutral” rating in a report on Friday, October 25th. Stifel Nicolaus increased their price target on DigitalOcean from $32.00 to $35.00 and gave the company a “hold” rating in a research note on Friday, August 9th. Finally, Piper Sandler lowered their price objective on DigitalOcean from $38.00 to $34.00 and set a “neutral” rating for the company in a research report on Monday, July 15th. Five investment analysts have rated the stock with a hold rating and five have given a buy rating to the company. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and a consensus price target of $40.56.

DigitalOcean Price Performance

NYSE DOCN opened at $38.82 on Thursday. The stock has a market capitalization of $3.57 billion, a P/E ratio of 53.92, a P/E/G ratio of 3.24 and a beta of 1.83. The business has a 50 day simple moving average of $40.37 and a 200 day simple moving average of $36.69. DigitalOcean has a one year low of $24.07 and a one year high of $44.80.

DigitalOcean (NYSE:DOCN) last released its quarterly earnings data on Monday, November 4th. The company reported $0.52 earnings per share for the quarter, beating the consensus estimate of $0.40 by $0.12. The company had revenue of $198.50 million during the quarter, compared to analyst estimates of $196.64 million. DigitalOcean had a net margin of 9.30% and a negative return on equity of 31.71%. DigitalOcean’s revenue for the quarter was up 12.1% compared to the same quarter last year. During the same quarter in the previous year, the business posted $0.17 EPS. Equities analysts expect that DigitalOcean will post 0.86 earnings per share for the current year.

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).