Sterling Investment Advisors Ltd. Invests $212,000 in DigitalOcean Holdings, Inc. $DOCN

Sterling Investment Advisors Ltd. bought a new position in DigitalOcean Holdings, Inc. (NYSE:DOCN) in the fourth quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The institutional investor bought 4,400 shares of the company’s stock, valued at approximately $212,000.

A number of other institutional investors and hedge funds have also recently made changes to their positions in the stock. Hantz Financial Services Inc. lifted its holdings in shares of DigitalOcean by 164.9% in the fourth quarter. Hantz Financial Services Inc. now owns 898 shares of the company’s stock worth $43,000 after acquiring an additional 559 shares during the last quarter. Lisanti Capital Growth LLC bought a new position in shares of DigitalOcean in the fourth quarter worth about $3,692,000. Legato Capital Management LLC bought a new position in shares of DigitalOcean in the fourth quarter worth about $1,365,000. Nano Cap New Millennium Growth Fund L P bought a new position in shares of DigitalOcean in the fourth quarter worth about $2,310,000. Finally, Summit Creek Advisors LLC bought a new position in shares of DigitalOcean in the fourth quarter worth about $7,126,000. Institutional investors own 49.77% of the company’s stock.

DigitalOcean Stock Up 1.6%

Shares of NYSE DOCN opened at $161.06 on Wednesday. The company has a 50 day simple moving average of $109.20 and a 200 day simple moving average of $72.99. The firm has a market cap of $16.81 billion, a PE ratio of 70.33 and a beta of 1.42. DigitalOcean Holdings, Inc. has a 1 year low of $25.56 and a 1 year high of $165.99. The company has a debt-to-equity ratio of 0.92, a current ratio of 1.46 and a quick ratio of 1.46.

DigitalOcean (NYSE:DOCN) last issued its quarterly earnings data on Tuesday, May 5th. The company reported $0.44 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.27 by $0.17. The business had revenue of $257.91 million during the quarter, compared to analyst estimates of $249.76 million. DigitalOcean had a net margin of 24.97% and a return on equity of 88.86%. The firm’s quarterly revenue was up 22.4% on a year-over-year basis. During the same quarter last year, the business earned $0.56 EPS. DigitalOcean has set its Q2 2026 guidance at 0.200-0.230 EPS and its FY 2026 guidance at 1.100-1.200 EPS. On average, research analysts forecast that DigitalOcean Holdings, Inc. will post 0.55 EPS for the current year.

Insiders Place Their Bets

In other DigitalOcean news, CAO Cherie Barrett sold 22,000 shares of the firm’s stock in a transaction that occurred on Monday, March 2nd. The shares were sold at an average price of $54.77, for a total transaction of $1,204,940.00. Following the completion of the transaction, the chief accounting officer owned 62,469 shares in the company, valued at approximately $3,421,427.13. This trade represents a 26.05% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, CFO Matt Steinfort sold 25,000 shares of the firm’s stock in a transaction that occurred on Friday, May 15th. The stock was sold at an average price of $152.50, for a total transaction of $3,812,500.00. Following the transaction, the chief financial officer owned 573,272 shares of the company’s stock, valued at approximately $87,423,980. The trade was a 4.18% decrease in their position. The SEC filing for this sale provides additional information. In the last 90 days, insiders sold 71,338 shares of company stock worth $6,803,816. 0.96% of the stock is currently owned by insiders.

Analyst Upgrades and Downgrades

A number of research analysts have recently commented on the stock. The Goldman Sachs Group increased their target price on shares of DigitalOcean from $78.00 to $179.00 and gave the stock a “buy” rating in a report on Wednesday, May 6th. Citizens Jmp raised their price objective on shares of DigitalOcean from $83.00 to $105.00 and gave the company a “market outperform” rating in a report on Thursday, March 26th. Cantor Fitzgerald raised their price objective on shares of DigitalOcean from $68.00 to $83.00 and gave the company an “overweight” rating in a report on Wednesday, February 25th. Canaccord Genuity Group raised their price objective on shares of DigitalOcean from $120.00 to $200.00 and gave the company a “buy” rating in a report on Wednesday, May 6th. Finally, Oppenheimer set a $190.00 price objective on shares of DigitalOcean in a report on Wednesday, May 6th. Nine research analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the company. According to data from MarketBeat, the company has an average rating of “Moderate Buy” and a consensus price target of $142.23.

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.