Share Price | DigitalOcean Holdings, Inc. Stock Analysis & Recommendation

Q: What does DigitalOcean Holdings, Inc. do?

Overview: DigitalOcean Holdings, Inc. operates in the software products industry and is classified as a small-cap company.Financial Snapshot: Most recent Net Sales: 211 Million (Quarterly Results - Mar 2025) Most recent Net Profit: 38 Million (Quarterly Results - Mar 2025) Market-cap: USD 2,540.75 Million (Small Cap)Key Metrics: P/E: 24.00 Dividend Yield: 0.00% Debt Equity: -5.79 Return on Equity: -51.50% Price to Book: -12.06Contact Details: Registrar Address: Not available.

Q: Is DigitalOcean Holdings, Inc. overvalued or undervalued?

As of 6 May 2021, the valuation grade for DigitalOcean Holdings, Inc. moved from does not qualify to risky, indicating increased concerns regarding its valuation. The company appears to be overvalued based on several key metrics, including a P/E ratio of 24, an EV to EBITDA ratio of 15.65, and a PEG ratio of 0.23, which suggests that the stock may not be justified at its current price level given its growth prospects.In comparison to its peers, DigitalOcean's P/E ratio of 23.94 is notably higher than HashiCorp, Inc. which has a P/E of -56.15, and Envestnet, Inc. at 85.75, highlighting a divergence in valuation despite the risky classification across the board. Additionally, the company's recent performance shows a 1-month return of 17.38%, outperforming the S&P 500's 2.33%, but a 1-year return of -8.75% significantly lags behind the S&P 500's 17.14%, reinforcing the notion of overvaluation.

Q: Is DigitalOcean Holdings, Inc. technically bullish or bearish?

As of 3 October 2025, the technical trend for DigitalOcean Holdings, Inc. has changed from mildly bearish to sideways. The current technical stance is neutral, with mixed signals across different indicators. The weekly MACD is bullish, while the monthly MACD is mildly bullish. Bollinger Bands are bullish for both weekly and monthly periods. However, the daily moving averages indicate a mildly bearish stance. The KST shows a bullish weekly trend but a bearish monthly trend, and Dow Theory reflects a mildly bullish outlook on both weekly and monthly bases. In terms of performance, DigitalOcean has outperformed the S&P 500 over the past week and month, with returns of 8.39% and 17.19% compared to 1.09% and 4.15% for the index, respectively. However, it has underperformed over the longer term, with a 1-year return of -10.51% versus the S&P 500's 17.82%.

Price Point

High/Low

1Day

52 Week

Valuation

Technical

Day's Volume

CASH

4.38 M

Shareholding (Dec 2025)

FII

14.12%

Held by 158 FIIs

DII

47.38%

Held by 46 DIIs

Promoter

2.32%

How big is DigitalOcean Holdings, Inc.?

22-Jun-2025

As of Jun 18, DigitalOcean Holdings, Inc. has a market capitalization of $2.54 billion, with net sales of $806.59 million and a net profit of $108.56 million for the latest four quarters. Shareholder's funds were reported at -$202.96 million, while total assets amounted to $1.64 billion.

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What does DigitalOcean Holdings, Inc. do?

22-Jun-2025

DigitalOcean Holdings, Inc. is a small-cap software company with recent net sales of $211 million and a net profit of $38 million. Key metrics include a P/E ratio of 24.00 and a market cap of approximately $2.54 billion.

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Is DigitalOcean Holdings, Inc. overvalued or undervalued?

20-Sep-2025

As of May 6, 2021, DigitalOcean Holdings, Inc. is classified as risky due to concerns over its overvaluation, indicated by a P/E ratio of 24 and a 1-year return of -8.75%, despite a recent 1-month return of 17.38% that outperformed the S&P 500.

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Is DigitalOcean Holdings, Inc. technically bullish or bearish?

07-Oct-2025

As of October 3, 2025, DigitalOcean Holdings, Inc. shows a neutral technical trend with mixed signals, outperforming the S&P 500 in the short term but underperforming over the past year.

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Compare DigitalOcean Holdings, Inc. with Similar Stocks

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Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Dashboard

With a Negative Book Value, the company has a Weak Long Term Fundamental Strength

Poor long term growth as Operating profit has grown by an annual rate 138.18% of over the last 5 years
High Debt Company with a Debt to Equity ratio (avg) at times

Risky - Negative Book Value

Mojo Parameters

Stock DNA

Industry

Software Products

Market cap

USD 6,625 Million (Small Cap)

P/E

33.00

Industry P/E

Dividend Yield

0.00%

Debt Equity

-17.19

Return on Equity

-292.64%

Price to Book

-95.16

Revenue and Profits:

Net Sales:

242 Million

(Quarterly Results - Dec 2025)

Net Profit:

26 Million

Total Returns

Total Returns (Price + Dividend)

TimePeriod

Price Return

Dividend Return

Total Return

3 Months

80.07%

6 Months

122.12%

1 Year

130.87%

2 Years

103.72%

3 Years

142.52%

4 Years

40.97%

5 Years

0.0%

DigitalOcean Holdings, Inc. for the last several years.

Risk Adjusted Returns v/s

News & Corporate Actions

News

No Recent News for the Company

Announcements

No announcement available

Corporate Actions

No corporate action available

Key Factors

Quality key factors

Factor

Value

Sales Growth (5y)

21.50%

EBIT Growth (5y)

186.07%

EBIT to Interest (avg)

1.60

Debt to EBITDA (avg)

4.32

Net Debt to Equity (avg)

-5.79

Sales to Capital Employed (avg)

0.57

Tax Ratio

13.03%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

90.45%

ROCE (avg)

3.76%

ROE (avg)

Valuation key factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

-95.16

EV to EBIT

51.89

EV to EBITDA

28.24

EV to Capital Employed

6.94

EV to Sales

9.05

PEG Ratio

0.22

Dividend Yield

ROCE (Latest)

13.37%

ROE (Latest)

Negative BV

Technicals key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

Bearish

No Signal

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bullish

OBV

Bullish

No Trend

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Shareholding

Shareholding Snapshot : Dec 2025

Shareholding Compare (%holding)

Majority shareholders

Domestic Funds

Held in 78 Schemes (36.02%)

Foreign Institutions

Held by 158 Foreign Institutions (14.12%)

Strategic Entities with highest holding

Highest Public shareholder

Financial

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    "header": "Quarterly Results Snapshot (Consolidated) - Dec'25 - YoY",
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        "prefix": "Consolidated Net Profit ",
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        "Dec'24",
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          "val2": "204.90",
          "chgp": "18.30%",
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          "val2": "61.80",
          "chgp": "28.16%",
          "chgp_class": "positive"
        },
        {
          "field": "Interest",
          "val1": "8.50",
          "val2": "2.20",
          "chgp": "286.36%",
          "chgp_class": "negative"
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        {
          "field": "Exceptional Items",
          "val1": "0.00",
          "val2": "0.00",
          "chgp": "",
          "chgp_class": "neutral"
        },
        {
          "field": "Consolidate Net Profit",
          "val1": "25.70",
          "val2": "18.30",
          "chgp": "40.44%",
          "chgp_class": "positive"
        },
        {
          "field": "Operating Profit Margin (Excl OI)",
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          "val2": "158.80%",
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        "prefix": "Consolidated Net Profit ",
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        "Dec'25",
        "Dec'24",
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          "chgp": "33.15%",
          "chgp_class": "positive"
        },
        {
          "field": "Interest",
          "val1": "17.90",
          "val2": "9.10",
          "chgp": "96.70%",
          "chgp_class": "negative"
        },
        {
          "field": "Exceptional Items",
          "val1": "48.10",
          "val2": "0.00",
          "chgp": "",
          "chgp_class": "neutral"
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          "field": "Consolidate Net Profit",
          "val1": "259.30",
          "val2": "84.50",
          "chgp": "206.86%",
          "chgp_class": "positive"
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        {
          "field": "Operating Profit Margin (Excl OI)",
          "val1": "174.20%",
          "val2": "116.60%",
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Quarterly Results Snapshot (Consolidated) - Dec'25 - YoY

Dec'25

Dec'24

Change(%)

Net Sales

242.40

204.90

18.30%

Operating Profit (PBDIT) excl Other Income

79.20

61.80

28.16%

Interest

8.50

2.20

286.36%

Exceptional Items

0.00

Consolidate Net Profit

25.70

18.30

40.44%

Operating Profit Margin (Excl OI)

160.10%

158.80%

0.13%

USD in Million.

Compare with Peers

Net Sales

YoY Growth in quarter ended Dec 2025 is 18.30% vs 13.27% in Dec 2024

Consolidated Net Profit

YoY Growth in quarter ended Dec 2025 is 40.44% vs 15.09% in Dec 2024

All Quarterly Results

Annual Results Snapshot (Consolidated) - Dec'25

Dec'25

Dec'24

Change(%)

Net Sales

901.40

780.60

15.48%

Operating Profit (PBDIT) excl Other Income

294.40

221.10

33.15%

Interest

17.90

9.10

96.70%

Exceptional Items

48.10

0.00

Consolidate Net Profit

259.30

84.50

206.86%

Operating Profit Margin (Excl OI)

174.20%

116.60%

5.76%

USD in Million.

Compare with Peers

Net Sales

YoY Growth in year ended Dec 2025 is 15.48% vs 12.66% in Dec 2024

Consolidated Net Profit

YoY Growth in year ended Dec 2025 is 206.86% vs 335.57% in Dec 2024

All Annual Results

Company CV

About DigitalOcean Holdings, Inc.

DigitalOcean Holdings, Inc.

Software Products

No Details Available.

Company Coordinates

No Company Details Available