CastleKnight Management LP Trims Holdings in DigitalOcean Holdings, Inc. $DOCN

CastleKnight Management LP decreased its stake in shares of DigitalOcean Holdings, Inc. (NYSE:DOCN) by 73.3% during the fourth quarter, HoldingsChannel.com reports. The institutional investor owned 76,000 shares of the company’s stock after selling 208,700 shares during the quarter. CastleKnight Management LP’s holdings in DigitalOcean were worth $3,657,000 at the end of the most recent quarter.

Other institutional investors have also recently added to or reduced their stakes in the company. Huntington National Bank lifted its position in DigitalOcean by 638.3% during the fourth quarter. Huntington National Bank now owns 598 shares of the company’s stock worth $29,000 after buying an additional 517 shares in the last quarter. NBC Securities Inc. purchased a new position in DigitalOcean during the fourth quarter worth approximately $32,000. Allworth Financial LP lifted its position in DigitalOcean by 54.4% during the third quarter. Allworth Financial LP now owns 724 shares of the company’s stock worth $25,000 after buying an additional 255 shares in the last quarter. Transamerica Financial Advisors LLC lifted its position in DigitalOcean by 417.9% during the fourth quarter. Transamerica Financial Advisors LLC now owns 782 shares of the company’s stock worth $38,000 after buying an additional 631 shares in the last quarter. Finally, UMB Bank n.a. lifted its position in DigitalOcean by 242.1% during the fourth quarter. UMB Bank n.a. now owns 821 shares of the company’s stock worth $40,000 after buying an additional 581 shares in the last quarter. Hedge funds and other institutional investors own 49.77% of the company’s stock.

Insider Activity at DigitalOcean

In related news, CFO Matt Steinfort sold 10,000 shares of the company’s stock in a transaction that occurred on Tuesday, June 2nd. The shares were sold at an average price of $170.07, for a total transaction of $1,700,700.00. Following the sale, the chief financial officer directly owned 538,414 shares of the company’s stock, valued at $91,568,068.98. This represents a 1.82% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, Director Hilary Schneider sold 4,338 shares of the company’s stock in a transaction that occurred on Friday, May 15th. The stock was sold at an average price of $156.38, for a total transaction of $678,376.44. Following the sale, the director directly owned 24,323 shares in the company, valued at approximately $3,803,630.74. The trade was a 15.14% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last ninety days, insiders have sold 39,338 shares of company stock worth $6,191,576. 0.96% of the stock is owned by insiders.

Wall Street Analyst Weigh In

A number of equities research analysts have commented on DOCN shares. KeyCorp started coverage on DigitalOcean in a research report on Tuesday, June 2nd. They issued an “overweight” rating and a $200.00 target price on the stock. Cantor Fitzgerald lifted their target price on DigitalOcean from $68.00 to $83.00 and gave the company an “overweight” rating in a research report on Wednesday, February 25th. Stifel Nicolaus set a $57.00 target price on DigitalOcean in a research report on Tuesday, February 24th. Barclays lifted their target price on DigitalOcean from $105.00 to $183.00 and gave the company an “overweight” rating in a research report on Wednesday, May 6th. Finally, Weiss Ratings restated a “hold (c+)” rating on shares of DigitalOcean in a research report on Friday, March 27th. One research analyst has rated the stock with a Strong Buy rating, nine have issued a Buy rating and three have assigned a Hold rating to the company’s stock. According to MarketBeat, the stock has an average rating of “Moderate Buy” and an average target price of $146.36.

DigitalOcean Trading Up 2.1%

Shares of NYSE DOCN opened at $177.89 on Thursday. DigitalOcean Holdings, Inc. has a twelve month low of $25.56 and a twelve month high of $187.50. The stock has a fifty day simple moving average of $136.60 and a 200-day simple moving average of $86.90. The stock has a market capitalization of $18.56 billion, a PE ratio of 77.68 and a beta of 1.60. The company has a current ratio of 1.46, a quick ratio of 1.46 and a debt-to-equity ratio of 0.92.

DigitalOcean (NYSE:DOCN) last announced its earnings results on Tuesday, May 5th. The company reported $0.44 earnings per share for the quarter, topping the consensus estimate of $0.27 by $0.17. DigitalOcean had a net margin of 24.97% and a return on equity of 88.86%. The firm had revenue of $257.91 million for the quarter, compared to the consensus estimate of $249.76 million. During the same period in the prior year, the firm earned $0.56 EPS. The firm’s revenue for the quarter was up 22.4% on a year-over-year basis. DigitalOcean has set its Q2 2026 guidance at 0.200-0.230 EPS and its FY 2026 guidance at 1.100-1.200 EPS. On average, equities analysts forecast that DigitalOcean Holdings, Inc. will post 0.54 earnings per share for the current year.

About DigitalOcean

DigitalOcean Holdings, Inc is a cloud infrastructure provider that focuses on simplicity, performance and developer experience. The company offers a range of cloud services designed to help software developers, startups and small- to medium-sized businesses deploy, manage and scale applications. Its flagship offering, Droplets, provides virtual private servers that can be configured with various CPU, memory and storage options. In addition to compute instances, DigitalOcean’s platform includes managed Kubernetes, scalable object and block storage, managed databases, load balancers and networking capabilities such as Virtual Private Cloud (VPC) and Floating IPs.

Founded in 2011 and headquartered in New York City, DigitalOcean was created with the goal of making cloud computing more accessible to individual developers and smaller teams.