Short Interest in DigitalOcean Holdings, Inc. (NYSE:DOCN) Expands By 8.9%

DigitalOcean Holdings, Inc. (NYSE:DOCN) saw a large increase in short interest in January. As of January 31st, there was short interest totalling 7,010,000 shares, an increase of 8.9% from the January 15th total of 6,440,000 shares. Currently, 11.3% of the company’s stock are sold short. Based on an average daily volume of 944,900 shares, the short-interest ratio is presently 7.4 days.

Wall Street Analyst Weigh In

Several brokerages have weighed in on DOCN. Morgan Stanley upgraded DigitalOcean from an “equal weight” rating to an “overweight” rating and raised their price objective for the company from $40.00 to $41.00 in a research note on Thursday, January 16th. Needham & Company LLC restated a “hold” rating on shares of DigitalOcean in a research note on Tuesday, November 5th. Citigroup started coverage on DigitalOcean in a research report on Friday, January 24th. They set a “buy” rating and a $45.00 target price for the company. Cantor Fitzgerald started coverage on DigitalOcean in a research report on Friday, January 17th. They set a “neutral” rating and a $39.00 target price for the company. Finally, JPMorgan Chase & Co. raised their target price on DigitalOcean from $32.00 to $40.00 and gave the company a “neutral” rating in a research report on Friday, October 25th. Six research analysts have rated the stock with a hold rating and six have issued a buy rating to the company. Based on data from MarketBeat, DigitalOcean currently has an average rating of “Moderate Buy” and a consensus target price of $42.73.

DigitalOcean Stock Performance

Shares of DOCN opened at $44.52 on Tuesday. The business has a 50-day moving average of $38.28 and a 200 day moving average of $38.55. DigitalOcean has a fifty-two week low of $26.63 and a fifty-two week high of $46.46. The firm has a market cap of $4.11 billion, a P/E ratio of 52.38, a price-to-earnings-growth ratio of 3.19 and a beta of 1.81.

Insider Buying and Selling

In other DigitalOcean news, CFO Matt Steinfort sold 12,498 shares of the firm’s stock in a transaction on Wednesday, December 4th. The stock was sold at an average price of $40.00, for a total transaction of $499,920.00. Following the transaction, the chief financial officer now directly owns 517,498 shares in the company, valued at approximately $20,699,920. This trade represents a 2.36 % decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, insider Bratin Saha sold 4,289 shares of the firm’s stock in a transaction on Tuesday, January 21st. The shares were sold at an average price of $36.80, for a total value of $157,835.20. Following the transaction, the insider now owns 372,762 shares in the company, valued at approximately $13,717,641.60. This trade represents a 1.14 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 20,255 shares of company stock worth $790,163 in the last ninety days. Corporate insiders own 0.74% of the company’s stock.

Institutional Inflows and Outflows

Large investors have recently added to or reduced their stakes in the stock. Harbor Investment Advisory LLC boosted its stake in DigitalOcean by 380.0% in the 4th quarter. Harbor Investment Advisory LLC now owns 720 shares of the company’s stock worth $25,000 after purchasing an additional 570 shares during the period. Farther Finance Advisors LLC bought a new position in DigitalOcean in the 3rd quarter worth about $30,000. Advisors Asset Management Inc. boosted its stake in DigitalOcean by 150.4% in the 3rd quarter. Advisors Asset Management Inc. now owns 974 shares of the company’s stock worth $39,000 after purchasing an additional 585 shares during the period. JTC Employer Solutions Trustee Ltd bought a new position in DigitalOcean in the 4th quarter worth about $45,000. Finally, Blue Trust Inc. boosted its stake in DigitalOcean by 380.6% in the 3rd quarter. Blue Trust Inc. now owns 1,211 shares of the company’s stock worth $49,000 after purchasing an additional 959 shares during the period. Institutional investors own 49.77% of the company’s stock.

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).