DigitalOcean (NYSE:DOCN) Issues FY24 Earnings Guidance

DigitalOcean (NYSE:DOCN - Get Free Report) issued an update on its FY24 earnings guidance on Monday morning. The company provided earnings per share (EPS) guidance of $1.70-1.75 for the period, compared to the consensus estimate of $1.67. The company issued revenue guidance of $775-777 million, compared to the consensus revenue estimate of $773.92 million. DigitalOcean also updated its FY 2024 guidance to 1.700-1.750 EPS.

Wall Street Analysts Forecast Growth

Several analysts have recently commented on the stock. Stifel Nicolaus raised their price objective on shares of DigitalOcean from $32.00 to $35.00 and gave the company a "hold" rating in a research report on Friday, August 9th. JPMorgan Chase & Co. raised their target price on shares of DigitalOcean from $32.00 to $40.00 and gave the company a "neutral" rating in a research note on Friday, October 25th. Piper Sandler dropped their price objective on shares of DigitalOcean from $38.00 to $34.00 and set a "neutral" rating for the company in a report on Monday, July 15th. Canaccord Genuity Group increased their price target on DigitalOcean from $42.00 to $48.00 and gave the company a "buy" rating in a research note on Friday, October 4th. Finally, Barclays lifted their price objective on DigitalOcean from $38.00 to $48.00 and gave the stock an "overweight" rating in a research note on Friday, October 11th. Five investment analysts have rated the stock with a hold rating and five have assigned a buy rating to the stock. According to data from MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and an average target price of $40.56.

DigitalOcean Price Performance

Shares of DOCN traded down $5.50 during mid-day trading on Monday, reaching $35.33. 3,438,965 shares of the company's stock traded hands, compared to its average volume of 1,256,495. The stock's 50-day moving average is $40.45 and its two-hundred day moving average is $36.64. DigitalOcean has a 12 month low of $23.65 and a 12 month high of $44.80. The stock has a market cap of $3.25 billion, a P/E ratio of 50.81, a P/E/G ratio of 3.14 and a beta of 1.83.

DigitalOcean (NYSE:DOCN - Get Free Report) last posted its quarterly earnings results on Thursday, August 8th. The company reported $0.48 EPS for the quarter, topping analysts' consensus estimates of $0.39 by $0.09. The firm had revenue of $192.00 million for the quarter, compared to analysts' expectations of $188.63 million. DigitalOcean had a net margin of 9.30% and a negative return on equity of 31.71%. The business's revenue for the quarter was up 13.1% on a year-over-year basis. During the same period in the prior year, the business posted $0.11 earnings per share. Research analysts predict that DigitalOcean will post 0.86 earnings per share 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).