There is no doubt that DigitalOcean Holdings Inc (DOCN) ticks all the boxes.

DigitalOcean Holdings Inc (NYSE: DOCN) stock fell -1.07% on Monday to $28.59 against a previous-day closing price of $28.90. With 1.6 million shares changed hands, the volume of the stock remained lighter than its average volume of 1.6 million shares. During the session, the Software – Infrastructure company that operates in wider Technology sector, reached to the highest price of $28.99 whereas the lowest price it dropped to was $28.29. The 52-week range on DOCN shows that it touched its highest point at $51.69 and its lowest point at $19.39 during that stretch. It currently has a 1-year price target of $30.56. Beta for the stock currently stands at 1.68.

Price Performance and Earnings:

Stock performance is one of the indicators that investors use to determine whether they will profit from a stock. The price performance of DOCN was up-trending over the past week, with a rise of 11.77%, but this was up by 32.85% over a month. Three-month performance dropped to -11.43% while six-month performance fell -18.24%. The stock gained 0.18% in the past year, while it has gained 12.25% so far this year. A look at the trailing 12-month EPS for DOCN yields -0.28 with Next year EPS estimates of 1.62. For the next quarter, that number is 0.37. This implies an EPS growth rate of 60.18% for this year and 7.46% for next year. EPS is expected to grow by 38.30% annually over the next five years; however, over the past five years, the company experienced an annual growth rate of 8.38%.

Float and Shares Shorts:

At present, 96.73 million DOCN shares are outstanding with a float of 50.39 million shares on hand for trading. On Oct 30, 2023, short shares totaled 6.79 million, which was 7.90% higher than short shares on Sep 28, 2023. In addition to Mr. Warren J. Adelman as the firm’s Executive Chairman, Mr. Yancey L. Spruill serves as its CEO & Director.

Institutional Ownership:

Through their ownership of 59.39% of DOCN’s outstanding shares, institutional investors have majority control over the company. Other institutions hold 27.39% of DOCN, in contrast to 19.75% held by mutual funds. Shares owned by individuals account for 15.75%. As the largest shareholder in DOCN with 7.00% of the stake, The Vanguard Group, Inc. holds 6,218,341 shares worth 6,218,341. A second-largest stockholder of DOCN, BlackRock Fund Advisors, holds 3,884,143 shares, controlling over 4.37% of the firm’s shares. First Trust Advisors LP is the third largest shareholder in DOCN, holding 1,735,810 shares or 1.95% stake. With a 2.08% stake in DOCN, the Vanguard Total Stock Market ETF is the largest stakeholder. A total of 1,845,132 shares are owned by the mutual fund manager. The Vanguard Small Cap Index Fund, which owns about 1.68% of DOCN stock, is the second-largest Mutual Fund holder. It holds 1,490,502 shares valued at 30.5 million. iShares Russell 2000 ETF holds 1.66% of the stake in DOCN, owning 1,475,844 shares worth 30.2 million.

Analysts Ratings:

Reading analyst opinions is an effective way to decide where to invest, and there are several opinions available for DOCN since 0 analysts follow the stock currently. In the same way, a target price assigned to a stock can also reveal much about its potential. With DOCN analysts setting a high price target of $47.00 and a low target of $25.00, the average target price over the next 12 months is $30.56. Based on these targets, DOCN could surge 64.39% to reach the target high and fall by -12.56% to reach the target low. Reaching the average price target will result in a growth of 6.89% from current levels.

Summary of Insider Activity:

Insiders traded DOCN stock several times over the past three months with 9 Buys and 5 Sells. In these transactions, 217,106 shares were bought while 46,385 shares were sold. The number of buy transactions has increased to 54 while that of sell transactions has risen to 46 over the past year. The total number of shares bought during that period was 1,372,520 while 405,807 shares were sold.