Analyzing Stock On Your Own: DigitalOcean Holdings Inc (NYSE: DOCN)

DigitalOcean Holdings Inc (NYSE:DOCN) does about 1.42M shares in volume on a normal day but saw 1221842 shares change hands in the recent trading day. The company now has a market cap of 2.95B USD. Its current market price is $32.41, marking a decrease of -6.52% compared to the previous close of $34.67. The 52 week high reached by this stock is $51.69 whilst the lowest price level in 52 weeks is $19.39. The script in recent trading has seen the stock touch a high of $80 and a low of $33.

DigitalOcean Holdings Inc (DOCN) has a 20-day trading average at $34.78 and the current price is -37.30% off the 52-week high compared with 67.15% distance from its 52-week low. The 50-day simple moving average of the closing price is $35.68 and its 200-day simple moving average is $33.12. If we look at the stock’s price movements over the week, volatility stands at 3.49%, which increases to 3.62% over 1 month. It is also key to look at other market indicators of price movement for the stock, where we see that the relative strength index (RSI) is at 37.12 to suggest the stock is neutral.

The consensus objective for the share price is $39.18, suggesting that the stock has a potential upside of 17.28% over the period. The median price target is 25.49% away from the current levels at $43.5.

6 analysts have rated it as a buy and 3 have advised that investors hold their positions. The consensus recommendation rating is Buy and Wall Street’s advice is for investors to Moderate Buy the stock.

The company shares received a number of brokerage firm price updates over the past month, with the latest being on May 22, 2024 when UBS initiated the stock to “Neutral” and issued a price target of $40. Oppenheimer upgraded the stock to “Outperform” from Perform on November 21, 2023 at a price target of $37. Goldman upgraded its price target at $33.

DigitalOcean Holdings Inc (DOCN) stock is down -6.52% over the week and -14.62% over the past month. Its price is -11.67% year-to-date and -29.74% over the past year.

Its 12-month price target is $43.5. To reach the target analysts have set, the stock logically needs to grow 17.28 percent from here. Of course, the average price target is just what the average analysts believe a stock will be worth in the next 52 weeks, and is only one metric. There are analysts with lower targets than the average, including one bearish Wall Street research firm advocating investors to wait for the price to pull back to $33, given the recent momentum. And then, on the bullish side of things, one analyst is expecting the stock to peak at $80.

The company has a return on investment of 3.87%. The price to earnings ratio (P/E ratio) amounts to 62.62 while the forward price to earnings ratio is 17.54. The beta has a value of 1.80. Price to sales ratio is 4.14.