DigitalOcean (NYSE:DOCN) Price Target Raised to $68.00

DigitalOcean (NYSE:DOCN) had its price target lifted by UBS Group from $48.00 to $68.00 in a research note issued to investors on Wednesday morning,Benzinga reports. They currently have a neutral rating on the stock.

DOCN has been the topic of a number of other research reports. Piper Sandler restated a “neutral” rating and set a $67.00 target price on shares of DigitalOcean in a report on Tuesday. Wall Street Zen lowered shares of DigitalOcean from a “buy” rating to a “hold” rating in a research note on Sunday, January 4th. Canaccord Genuity Group upped their target price on shares of DigitalOcean from $65.00 to $80.00 and gave the company a “buy” rating in a research note on Friday, February 20th. Citizens Jmp increased their target price on shares of DigitalOcean from $60.00 to $83.00 and gave the stock a “market outperform” rating in a report on Wednesday. Finally, Weiss Ratings reissued a “hold (c+)” rating on shares of DigitalOcean in a research report on Monday, December 29th. Nine analysts have rated the stock with a Buy rating and five have given a Hold rating to the company. According to data from MarketBeat.com, DigitalOcean presently has an average rating of “Moderate Buy” and an average price target of $69.23.

DigitalOcean Stock Up 3.4%

DOCN stock opened at $56.09 on Wednesday. DigitalOcean has a twelve month low of $25.45 and a twelve month high of $70.43. The company has a market cap of $5.16 billion, a P/E ratio of 22.17, a price-to-earnings-growth ratio of 20.44 and a beta of 1.77. The business’s fifty day moving average is $56.43 and its 200-day moving average is $45.48.

Institutional Trading of DigitalOcean

Several hedge funds and other institutional investors have recently modified their holdings of DOCN. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC grew its holdings in shares of DigitalOcean by 5.0% during the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 339,670 shares of the company’s stock worth $11,342,000 after buying an additional 16,162 shares in the last quarter. Intech Investment Management LLC boosted its position in DigitalOcean by 59.2% during the 1st quarter. Intech Investment Management LLC now owns 39,429 shares of the company’s stock worth $1,317,000 after acquiring an additional 14,655 shares during the last quarter. Sumitomo Mitsui Trust Group Inc. grew its stake in shares of DigitalOcean by 12.9% during the 2nd quarter. Sumitomo Mitsui Trust Group Inc. now owns 18,884 shares of the company’s stock worth $539,000 after acquiring an additional 2,155 shares in the last quarter. AlphaQuest LLC raised its holdings in shares of DigitalOcean by 66.5% in the second quarter. AlphaQuest LLC now owns 15,386 shares of the company’s stock valued at $439,000 after purchasing an additional 6,145 shares during the last quarter. Finally, Y Intercept Hong Kong Ltd bought a new stake in shares of DigitalOcean in the second quarter worth $478,000. Institutional investors and hedge funds own 49.77% of the company’s stock.

DigitalOcean News Summary

Here are the key news stories impacting DigitalOcean this week:

• Positive Sentiment: Q4 AI momentum — DigitalOcean said its annual run?rate revenue for its AI business jumped ~150% year?over?year in Q4, underscoring faster growth in its higher?margin AI offerings aimed at SMBs, which supports a higher growth multiple. This Glorious Growth Stock Is Up 68% in 12 Months. Here’s Why More Gains Could Follow
• Positive Sentiment: Analyst upgrades — Multiple firms raised price targets recently (Barclays to $69, Bank of America to $86, Cantor Fitzgerald to $83), signaling increased sell?side confidence in DigitalOcean’s revenue trajectory and margin leverage. DigitalOcean (NYSE:DOCN) Price Target Raised to $86.00 at Bank of America
• Positive Sentiment: Revenue guidance and scale — Management and press reports highlight a push toward >$1B revenue in 2026, which if achieved would mark a material inflection in scale for this SMB?focused cloud player. DigitalOcean predicts $1B+ in 2026 revenue
• Positive Sentiment: Record Q4 revenue growth — Earnings commentary and highlights point to record revenue growth and improving fundamentals, giving investors more conviction in sustained topline expansion. DigitalOcean Holdings Inc (DOCN) Q4 2025 Earnings Call Highlights: Record Revenue Growth and …
• Positive Sentiment: Institutional expansion — Reports of strengthening cloud infrastructure presence and institutional expansion suggest broader market adoption beyond core SMB customers, supporting longer?term growth. DigitalOcean (NYSE:DOCN) Strengthens Cloud Infrastructure Presence With Institutional Expansion
• Neutral Sentiment: Investor access / visibility — CEO and CFO will present at the Morgan Stanley TMT conference (March 3); the fireside chat and webcast increase investor access and may amplify guidance or detail AI monetization plans. DigitalOcean to Participate in Morgan Stanley Technology, Media & Telecom Conference
• Negative Sentiment: Profit?taking volatility — After hitting a record high, the stock has seen pullbacks driven by short?term profit?taking, which can amplify intraday moves and create selling pressure even amid positive fundamentals. DigitalOcean (DOCN) Sheds 8.45% on Profit-Taking After Record High
• Negative Sentiment: Convertible?note hedge risk — Analysts flagged complexity and potential dilution/counterparty risks tied to DigitalOcean’s 2030 convertible notes hedge, a disclosure that could concern value?focused investors if dilution scenarios materialize. DigitalOcean’s 2030 Convertible Notes Hedge Poses Complex Dilution, Pricing, and Counterparty Risks

About DigitalOcean

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.