A Business at a Glance
0 of 1 daily views used (1 remaining). Sign up free for +5 more daily views (6 total), or try AAPL for a full preview.
DigitalOcean Holdings, Inc.
DOCN
$12.7B
Mkt Cap
$123.54
-5.80%
DigitalOcean Holdings, Inc. (DOCN) has a current P/E ratio of 49.0, compared to its historical median P/E of 29.4. The stock is currently considered Expensive based on its historical valuation range.
DigitalOcean Holdings, Inc. (DOCN) has a 5-year average return on invested capital (ROIC) of 4.2%. This is below average and may indicate limited pricing power.
DigitalOcean Holdings, Inc. (DOCN) has a market capitalization of $12.9B. It is classified as a large-cap stock.
DigitalOcean Holdings, Inc. (DOCN) does not currently pay a regular dividend. However, the company returns capital to shareholders through share buybacks, with a buyback yield of 0.18%.
Based on historical P/E analysis, DigitalOcean Holdings, Inc. (DOCN) appears expensive. The current P/E of 49.0 is 67% above its historical median of 29.4. The estimated fair value CAGR (P/E method) is 82.7%.
DigitalOcean Holdings, Inc. (DOCN) operates in the Services-Computer Programming, Data Processing, Etc. industry, within the Technology sector.
Our mission is to empower AI-driven and digital-native businesses to build, run, and scale intelligent applications with speed, simplicity and predictable economics through an agentic inference cloud platform that reduces operational complexity and accelerates time to product. DigitalOcean is an agentic inference cloud platform that helps AI and Digital Native Enterprises build, run, and scale intelligent applications with speed, simplicity, and predictable economics. The platform combines production-ready GPU infrastructure, a full-stack cloud, model-first inference workflows, and an agentic experience layer to reduce operational complexity and accelerate time to production.
| Metric | TTM | FY2025 | FY2024 | FY2023 | FY2022 | FY2021 |
|---|---|---|---|---|---|---|
| Revenue | 949M | 901M | 781M | 693M | 576M | 429M |
| Net Income | 237M | 259M | 84M | 19M | -28M | -20M |
| EPS | $2.57 | $2.52 | $0.89 | $0.20 | $-0.28 | $-0.21 |
| Free Cash Flow | 185M | 54M | 105M | 116M | 89M | 36M |
| ROIC | 18.3% | 14.7% | 8.7% | 1.1% | -1.6% | -1.8% |
| Gross Margin | 58.5% | 59.9% | 59.7% | 57.4% | 63.2% | 60.2% |
| Debt/Equity | 1.04 | -54.75 | -8.33 | -5.28 | 34.38 | 2.53 |
| Dividends/Share | $0.00 | - | - | - | - | - |
| Operating Income | 156M | 157M | 91M | 12M | -26M | -11M |
| Operating Margin | 16.4% | 17.4% | 11.7% | 1.7% | -4.5% | -2.6% |
| ROE | 26.7% | -223.8% | -32.7% | -14.6% | -8.9% | -7.7% |
| Shares Outstanding | 104M | 103M | 95M | 97M | 99M | 93M |
| Metric | ||||||||
|---|---|---|---|---|---|---|---|---|
| Income Statement | ||||||||
| Revenue | 255M | 318M | 429M | 576M | 693M | 781M | 901M | 949M |
| Gross Margin | 52.0% | 54.3% | 60.2% | 63.2% | 57.4% | 59.7% | 59.9% | 58.5% |
| R&D | 60M | 75M | 116M | 144M | 137M | 142M | 162M | 171M |
| SG&A | 71M | 80M | 103M | 165M | 163M | 161M | 139M | 143M |
| EBIT | -30M | -16M | -11M | -26M | 12M | 91M | 157M | 156M |
| Op. Margin | -11.7% | -5.0% | -2.6% | -4.5% | 1.7% | 11.7% | 17.4% | 16.4% |
| Net Income | -40M | -44M | -20M | -28M | 19M | 84M | 259M | 237M |
| Net Margin | -15.9% | -13.7% | -4.6% | -4.8% | 2.8% | 10.8% | 28.8% | 25.0% |
| Non-Recurring | 546K | 1.2M | 285K | 1.6M | 22M | 356K | 52K | 52K |
| Returns on Capital | ||||||||
| ROIC | N/A | -89.1% | -1.8% | -1.6% | 1.1% | 8.7% | 14.7% | 18.3% |
| ROE | 62.6% | 60.4% | -7.7% | -8.9% | -14.6% | -32.7% | -223.8% | 26.7% |
| ROA | N/A | -20.1% | -1.5% | -1.4% | 1.2% | 5.5% | 14.9% | 9.2% |
| Cash Flow | ||||||||
| Op. Cash Flow | 40M | 58M | 133M | 195M | 235M | 283M | 310M | 292M |
| Free Cash Flow | -14M | -40M | 36M | 89M | 116M | 105M | 54M | 185M |
| Owner Earnings | -42M | -47M | -17M | -13M | 29M | 62M | 92M | 55M |
| CapEx | 54M | 98M | 97M | 106M | 119M | 178M | 256M | 107M |
| Maint. CapEx | 63M | 76M | 88M | 102M | 118M | 130M | 137M | 154M |
| Growth CapEx | 0 | 23M | 8.7M | 4.2M | 1.4M | 48M | 118M | 0 |
| D&A | 63M | 76M | 88M | 102M | 118M | 130M | 137M | 154M |
| CapEx/OCF | N/A | N/A | 72.9% | 54.5% | 50.8% | 63.0% | 82.7% | 36.6% |
| Capital Allocation | ||||||||
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Dividend Yield | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Share Buybacks | 0 | 0 | 350M | 600M | 488M | 60M | 82M | 23M |
| Buyback Yield | 0.0% | N/A | 4.7% | 25.5% | 13.2% | 1.8% | 1.6% | 0.2% |
| Stock-Based Comp | 19M | 29M | 62M | 106M | 88M | 91M | 80M | 83M |
| Debt Repayment | 0 | 85M | 63M | 1.5M | 0 | 0 | 0 | 0 |
| Balance Sheet | ||||||||
| Net Debt | -36M | 159M | -251M | 771M | 1.2B | 1.3B | 1.3B | 178M |
| Cash & Equiv. | 36M | 100M | 1.7B | 141M | 317M | 428M | 254M | 741M |
| Long-Term Debt | 0 | 242M | 1.5B | 1.5B | 1.5B | 1.5B | 971M | 608M |
| Debt/Equity | 0.00 | -3.60 | 2.53 | 34.38 | -5.28 | -8.33 | -54.75 | 1.04 |
| Interest Coverage | -3.2 | -1.2 | -3.0 | -3.1 | 1.3 | 14.1 | 11.3 | 9.0 |
| Equity | -72M | -72M | 578M | 48M | -314M | -203M | -29M | 887M |
| Total Assets | N/A | 430M | 2.1B | 1.8B | 1.5B | 1.6B | 1.8B | 2.6B |
| Total Liabilities | N/A | 329M | 1.5B | 1.8B | 1.8B | 1.8B | 1.9B | 1.7B |
| Intangibles | N/A | 35M | 43M | 119M | 140M | 118M | 100M | 98M |
| Retained Earnings | N/A | -167M | -187M | -214M | -344M | -259M | -44M | -28M |
| Working Capital | N/A | 63M | 1.7B | 780M | 310M | 321M | -192M | 297M |
| Current Assets | N/A | 148M | 1.8B | 946M | 503M | 542M | 427M | 944M |
| Current Liabilities | N/A | 85M | 58M | 166M | 193M | 221M | 619M | 647M |
| Per Share Data | ||||||||
| EPS | -1.06 | -1.05 | -0.21 | -0.28 | 0.20 | 0.89 | 2.52 | 2.57 |
| Owner EPS | -1.10 | -1.12 | -0.18 | -0.13 | 0.30 | 0.65 | 0.89 | 0.53 |
| Book Value | -1.90 | -1.74 | 6.23 | 0.48 | -3.23 | -2.14 | -0.28 | 8.51 |
| Cash Flow/Share | 1.05 | 1.41 | 1.43 | 1.97 | 2.42 | 2.98 | 3.01 | 3.74 |
| Dividends/Share | N/A | N/A | N/A | N/A | N/A | N/A | N/A | 0.00 |
| Shares Out. | 38.1M | 41.5M | 92.9M | 99.3M | 97.0M | 94.9M | 102.9M | 104.3M |
| Valuation | ||||||||
| P/E Ratio | N/A | N/A | N/A | N/A | 190.2 | 39.2 | 19.7 | 48.1 |
| P/FCF | N/A | N/A | 207.4 | 26.5 | 31.9 | 31.7 | 94.9 | 69.5 |
| EV/EBIT | N/A | N/A | N/A | N/A | 399.9 | 43.3 | 39.5 | 83.8 |
| Price/Book | N/A | N/A | 12.9 | 49.5 | N/A | N/A | N/A | 14.5 |
| Price/Sales | N/A | N/A | 14.2 | 7.7 | 4.6 | 4.5 | 4.1 | 13.6 |
| FCF Yield | N/A | N/A | 0.5% | 3.8% | 3.1% | 3.2% | 1.1% | 1.4% |
| Market Cap | 0 | N/A | 7.5B | 2.4B | 3.7B | 3.3B | 5.1B | 12.9B |
| Avg. Price | 0.00 | N/A | 65.32 | 44.75 | 32.73 | 36.93 | 35.84 | 123.54 |
| Year-End Price | 0.00 | N/A | 80.47 | 23.71 | 38.04 | 34.92 | 49.52 | 123.54 |
DigitalOcean Holdings, Inc. passes 4 of 9 quality checks, suggesting mixed fundamentals.
DigitalOcean Holdings, Inc. trades at 49.0x trailing earnings, compared to its 15-year median P/E of 29.4x, suggesting it is currently Expensive relative to its historical range. On a free-cash-flow basis, the stock trades at 63.0x vs a median of 31.8x. The company's 5-year average ROIC is 4.2% with a gross margin of 60.1%. Total shareholder yield (buybacks) is 0.2%. At current prices, the estimated annualized return to fair value is +60.6%.
DigitalOcean Holdings, Inc. (DOCN) reported annual revenue of $901 million in its most recent fiscal year, based on SEC EDGAR filings.
DigitalOcean Holdings, Inc. (DOCN) has a net profit margin of 28.8%. This is a strong margin indicating high profitability.
DigitalOcean Holdings, Inc. (DOCN) generated $54 million in free cash flow in its most recent fiscal year. Positive free cash flow supports dividends, buybacks, and debt reduction.
DigitalOcean Holdings, Inc. (DOCN) reported earnings per share (EPS) of $2.52 in its most recent fiscal year.
DigitalOcean Holdings, Inc. (DOCN) has a return on equity (ROE) of -223.8%. A negative ROE may indicate losses or negative equity.
DigitalOcean Holdings, Inc. (DOCN) has a 5-year average gross margin of 60.1%. This high margin suggests strong pricing power and a potential competitive moat.
The Ledger Terminal provides 7 years of financial data for DigitalOcean Holdings, Inc. (DOCN), sourced directly from SEC EDGAR filings. This includes income statements, balance sheets, cash flow statements, and key financial ratios.
DigitalOcean Holdings, Inc. (DOCN) has a book value per share of $-0.28, based on its most recent annual SEC filing.