Head to Head Review: DigitalOcean (NYSE:DOCN) versus Leafbuyer Technologies (OTCMKTS:LBUYD)

DigitalOcean (NYSE:DOCN) and Leafbuyer Technologies (OTCMKTS:LBUYD) are both technology companies, but which is the better investment? We will compare the two companies based on the strength of their institutional ownership, analyst recommendations, risk, valuation, earnings, dividends and profitability.

Insider & Institutional Ownership

49.8% of DigitalOcean shares are held by institutional investors. Comparatively, 11.0% of Leafbuyer Technologies shares are held by institutional investors. 1.0% of DigitalOcean shares are held by company insiders. Comparatively, 25.8% of Leafbuyer Technologies shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Profitability

This table compares DigitalOcean and Leafbuyer Technologies’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
DigitalOcean	23.26%	31.01%	5.76%
Leafbuyer Technologies	2.66%	-8.43%	11.11%

Earnings & Valuation

This table compares DigitalOcean and Leafbuyer Technologies”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
DigitalOcean	$1.01 billion	12.82	$259.26 million	$2.19	56.69
Leafbuyer Technologies	$6.47 million	0.02	$260,000.00	N/A	N/A

DigitalOcean has higher revenue and earnings than Leafbuyer Technologies.

Volatility and Risk

DigitalOcean has a beta of 1.61, meaning that its share price is 61% more volatile than the S&P 500. Comparatively, Leafbuyer Technologies has a beta of 2.12, meaning that its share price is 112% more volatile than the S&P 500.

Analyst Ratings

This is a summary of recent ratings for DigitalOcean and Leafbuyer Technologies, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
DigitalOcean	0	3	11	2	2.94
Leafbuyer Technologies	0	0	0	0	0.00

DigitalOcean presently has a consensus price target of $151.33, suggesting a potential upside of 21.89%. Given DigitalOcean’s stronger consensus rating and higher probable upside, analysts plainly believe DigitalOcean is more favorable than Leafbuyer Technologies.

Summary

DigitalOcean beats Leafbuyer Technologies on 10 of the 13 factors compared between the two stocks.

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). The company also provides platform-as-a-service (PaaS) solutions, such as managed databases; managed Kubernetes and container registry; application platform to build, deploy, and scale applications; Functions, a serverless compute solution; and Uptime for real-time uptime and latency alerts, as well as software-as-a-service (SaaS), including managed hosting and DigitalOcean Marketplace, a platform where developers can find pre-configured applications and solutions. In addition, it offers artificial intelligence (AI)/machine learning (ML) applications comprising GPU virtual machines for scaling AI applications; Notebooks, a simple cloud workspace that runs on GPUs that provides a managed interactive development environment for exploring data, and training and building machine learning models; and Deployments for deploying their machine learning model as an API endpoint. The company’s customers include software engineers, researchers, data scientists, system administrators, students, and hobbyists. Its customers use its platform in various industry verticals and for a range of use cases, such as web and mobile applications, website hosting, e-commerce, media and gaming, personal web projects, managed services, and AI/ML applications. DigitalOcean Holdings, Inc. was incorporated in 2012 and is headquartered in New York, New York.

About Leafbuyer Technologies

Leafbuyer Technologies, Inc., through its subsidiary, LB Media Group, LLC, provides online resources for cannabis deals and specials in the United States. The company was founded in 2012 and is headquartered in Greenwood Village, Colorado.