Overview Dividends

(DOCN) DigitalOcean Holdings - Ratings and Ratios

Exchange: NYSE • Country: United States • Currency: USD • Type: Common Stock • ISIN: US25402D1028

Compute, Storage, Networking, Databases, Kubernetes, GPU

Internet Services & Infrastructure
Market Cap in USD: 4,348m

IPO / Inception: 2021-03-24
Return 12m vs S&P 500: 18.4%

EPS (Earnings per Share)

EPS CAGR: 56.79%
EPS Trend: 78.7%

Last SUE: 0.72
Qual. Beats: 0

Revenue

Rev. CAGR: 18.98%
Rev. Trend: 97.3%

Last SUE: 2.11
Qual. Beats: 1

Dividends

Currently no dividends paid

Risk via 5d forecast
Volatility	57.7%
Value at Risk 5%th	88.1%
Relative Tail Risk	-7.24%

Reward TTM
Sharpe Ratio	0.75
Alpha	8.96
CAGR/Max DD	0.46

Character TTM
Hurst Exponent	0.535
Beta	1.967
Beta Downside	1.974

Drawdowns 3y
Max DD	60.28%
Mean DD	25.58%
Median DD	25.80%

Description: DOCN DigitalOcean Holdings November 09, 2025

DigitalOcean Holdings, Inc. (NYSE: DOCN) runs a developer-focused cloud platform across North America, Europe, Asia and other regions, delivering on-demand infrastructure-as-a-service (IaaS) and platform-as-a-service (PaaS) tools such as compute, storage, networking, managed databases, Kubernetes, serverless functions, and a marketplace of pre-configured applications. The firm also offers AI/ML capabilities-including GPU-powered droplets, a GENAI deployment platform, bare-metal GPUs, and Jupyter Notebooks-to support use cases ranging from web hosting to fintech, gaming and cybersecurity.

Key quantitative signals (FY 2023) show revenue of roughly $540 million, a year-over-year growth rate of ~30 % and a gross margin near 71 %, reflecting the high-margin nature of cloud services. The company’s primary growth driver is the expanding SMB cloud market, which is projected to grow at a 14 % CAGR through 2028, while pricing pressure from larger hyperscalers (AWS, Azure, GCP) remains a material risk. Additionally, DigitalOcean’s average revenue per user (ARPU) has been rising modestly (~8 % YoY), indicating successful upselling of higher-tier services such as managed Kubernetes and AI workloads.

If you want a data-rich, side-by-side comparison of DigitalOcean’s valuation multiples, growth outlook, and competitive positioning, the ValueRay platform provides a concise research hub worth exploring.

Piotroski VR‑10 (Strict, 0-10) 6.5

Net Income (251.9m TTM) > 0 and > 6% of Revenue (6% = 51.8m TTM)

FCFTA 0.10 (>2.0%) and ΔFCFTA 3.33pp (YES ≥ +1.0pp, WARN ≥ +0.5pp)

NWC/Revenue 4.93% (prev 49.70%; Δ -44.76pp) (YES ≤20% & Δ≤-1pp; WARN ≤25% & Δ≤0 oder ≤40% & Δ≤-3pp)

CFO/TA 0.19 (>3.0%) and CFO 327.7m > Net Income 251.9m (YES >=105%, WARN >=100%)

Net Debt (1.36b) to EBITDA (341.1m) ratio: 3.98 <= 3.0 (WARN <= 3.5)

Current Ratio 1.13 (target 1.5–3.0; WARN 1.2–<1.5 or >3.0–5.0; CFO/TA gate active)

Outstanding Shares last Quarter (103.0m) change vs 12m ago 0.43% (target <= -2.0% for YES)

Gross Margin 59.54% (prev 59.37%; Δ 0.17pp) >=18% & Δ>=+0.5pp (WARN >=15% & Δ>=0)

Asset Turnover 53.13% (prev 49.56%; Δ 3.57pp) >=50% & Δ>=+2pp (WARN >=35% & Δ>=0)

Interest Coverage Ratio 18.34 (EBITDA TTM 341.1m / Interest Expense TTM 11.7m) >= 6 (WARN >= 3)

Altman Z'' 0.88

(A) 0.02 = (Total Current Assets 367.6m - Total Current Liabilities 325.0m) / Total Assets 1.73b

(B) -0.04 = Retained Earnings (Balance) -69.4m / Total Assets 1.73b

(D) -0.04 = Book Value of Equity -70.3m / Total Liabilities 1.80b

Total Rating: 0.88 = (6.56 * A) + (3.26 * B) + (6.72 * C) + (1.05 * D)

ValueRay F-Score (Strict, 0-100) 72.56

1. Piotroski 6.50pt

2. FCF Yield 2.97%

3. FCF Margin 19.59%

4. Debt/Equity -22.89

5. Debt/Ebitda 3.98

6. ROIC - WACC (= 8.75)%

7. RoE -153.0%

8. Rev. Trend 97.31%

9. EPS Trend 78.67%

What is the price of DOCN shares?

As of December 23, 2025, the stock is trading at USD 49.21 with a total of 1,244,762 shares traded.
Over the past week, the price has changed by +7.49%, over one month by +8.99%, over three months by +30.50% and over the past year by +37.92%.

Is DOCN a buy, sell or hold?

DigitalOcean Holdings has received a consensus analysts rating of 3.64. Therefor, it is recommend to hold DOCN.

Strong Buy: 3
Buy: 4
Hold: 6
Sell: 1
Strong Sell: 0

What are the forecasts/targets for the DOCN price?

Issuer	Target	Up/Down from current
Wallstreet Target Price	53.8	9.2%
Analysts Target Price	53.8	9.2%
ValueRay Target Price	49.9	1.5%

DOCN Fundamental Data Overview December 23, 2025

Market Cap USD = 4.35b (4.35b USD * 1.0 USD.USD)
P/E Trailing = 19.008
P/E Forward = 21.1416
P/S = 5.0323
P/B = 67.9206
P/EG = 1.8713
Beta = 1.77
Revenue TTM = 864.0m USD
EBIT TTM = 214.9m USD
EBITDA TTM = 341.1m USD
Long Term Debt = 1.28b USD (from longTermDebt, last quarter)
Short Term Debt = 148.9m USD (from shortTermDebt, last quarter)
Debt = 1.59b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 1.36b USD (from netDebt column, last quarter)
Enterprise Value = 5.70b USD (4.35b + Debt 1.59b - CCE 236.6m)
Interest Coverage Ratio = 18.34 (Ebit TTM 214.9m / Interest Expense TTM 11.7m)
FCF Yield = 2.97% (FCF TTM 169.3m / Enterprise Value 5.70b)
FCF Margin = 19.59% (FCF TTM 169.3m / Revenue TTM 864.0m)
Net Margin = 29.15% (Net Income TTM 251.9m / Revenue TTM 864.0m)
Gross Margin = 59.54% ((Revenue TTM 864.0m - Cost of Revenue TTM 349.6m) / Revenue TTM)
Gross Margin QoQ = 59.63% (prev 59.87%)
Tobins Q-Ratio = 3.31 (Enterprise Value 5.70b / Total Assets 1.73b)
Interest Expense / Debt = 0.32% (Interest Expense 5.04m / Debt 1.59b)
Taxrate = -75.36% (out of range, set to none) (-68.1m / 90.3m)
NOPAT = unknown (EBIT/Op.Income or Taxrate missing)
Current Ratio = 1.13 (Total Current Assets 367.6m / Total Current Liabilities 325.0m)
Debt / Equity = -22.89 (negative equity) (Debt 1.59b / totalStockholderEquity, last quarter -69.6m)
Debt / EBITDA = 3.98 (Net Debt 1.36b / EBITDA 341.1m)
Debt / FCF = 8.02 (Net Debt 1.36b / FCF TTM 169.3m)
Total Stockholder Equity = -164.6m (last 4 quarters mean from totalStockholderEquity)
RoA = 14.60% (Net Income 251.9m / Total Assets 1.73b)
RoE = -153.0% (negative equity) (Net Income TTM 251.9m / Total Stockholder Equity -164.6m)
RoCE = 19.19% (EBIT 214.9m / Capital Employed (Equity -164.6m + L.T.Debt 1.28b))
RoIC = 18.46% (EBIT 214.9m / (Assets 1.73b - Curr.Liab 325.0m - Cash 236.6m))
WACC = 9.70% (E(4.35b)/V(5.94b) * Re(13.26%) + (debt cost/tax rate unavailable))
Discount Rate = 13.26% (= CAPM, Blume Beta Adj.)
Shares Correlation 3-Years: 100.0 | Cagr: 5.81%
[DCF Debug] Terminal Value 66.33% ; FCFE base≈141.1m ; Y1≈174.1m ; Y5≈297.0m
Fair Price DCF = 26.37 (DCF Value 2.41b / Shares Outstanding 91.5m; 5y FCF grow 25.0% → 3.0% )
EPS Correlation: 78.67 | EPS CAGR: 56.79% | SUE: 0.72 | # QB: 0
Revenue Correlation: 97.31 | Revenue CAGR: 18.98% | SUE: 2.11 | # QB: 1
EPS next Quarter (2026-03-31): EPS=0.45 | Chg30d=-0.005 | Revisions Net=-5 | Analysts=13
EPS next Year (2026-12-31): EPS=1.95 | Chg30d=-0.016 | Revisions Net=-7 | Growth EPS=-4.5% | Growth Revenue=+18.9%

Additional Sources for DOCN Stock

News: Wall Street Journal | Benzinga | Yahoo Finance
Tweets: X | Stocktwits
Fund Manager Positions: Dataroma | Stockcircle