DigitalOcean Holdings, Inc. (DOCN) is a publicly traded company in the Technology — Software - Infrastructure industry listed on NYSE. This overview shows the latest price, key valuation ratios, profitability metrics and financial-health indicators used by fundamental investors.
DigitalOcean Holdings, Inc., through its various operating entities, provides a global cloud computing environment with reach across North America, Europe, Asia, and beyond. This adaptable platform delivers on-demand infrastructure and essential developer tools, specifically designed for individual developers, new start-ups, and small to mid-sized businesses.
Is DigitalOcean Holdings, Inc. stock overvalued or undervalued in 2026?
DigitalOcean Holdings, Inc. (DOCN) trades at 45.4× earnings (P/E), above the median of the 314 technology companies over $2bn in Kaplio's universe. At its sector median (32.0×) $70 (-30 %). Note: these prices use the last twelve months' earnings, and analysts expect them to fall 19 % in 2027; at this price, its 2027 P/E would be 56.2×.
Kaplio overview: DigitalOcean Holdings, Inc.
Market cap $12B · 52 weeks $38 – $181 (45 % below the high) · P/E 45.4× · 2027 expected P/E 56.2× · Dividend none · Next earnings November 3, 2026 · expected EPS $0.32 · Closing price, Oct 29 · accounts published Aug 4.
- Valuation: P/E 45.4× (expensive).
- Business: ROIC 5 % (weak).
- Balance sheet: Net debt/EBITDA 1.3× (solid).
- Earnings: 8 of 8 (on track).
Analysts expect earnings per share to fall 19 % in 2027: at this price, its 2027 P/E would be 56.2×.
What would it be worth at its usual multiples?
At its sector median (32.0×) $70 (-30 %). Implied price from applying the reference multiples to today's earnings (or book value, or FFO) per share. Not a fair value: it is where the stock would trade at its usual multiples.
Note: these prices use the last twelve months' earnings, and analysts expect them to fall 19 % in 2027; at this price, its 2027 P/E would be 56.2×.
P/E calculated by Kaplio with 12-month GAAP earnings; the data provider reports 36.8×.
What matters in technology: 4 of 8 pass
- Rule of 40 (SaaS only) 24, fails.
- Gross margin 59.9 %, fails.
- FCF / Revenue 4.6 %, fails.
- ROIC 5.4 %, fails.
- 3y revenue growth 19.9 %, passes.
- SBC / Revenue 8.9 %, passes.
- Net debt / EBITDA 1.3×, passes.
- EV/EBITDA vs own 5y 35.4×, passes.
Against its peers (reference peers) — DigitalOcean Holdings, Inc.: P/E 45.4×; EV/EBITDA 35.4×; ROIC 5.4 %; $11.8B. GoDaddy Inc. (P/E 15.7×; EV/EBITDA 11.5×; ROIC 20.6 %; $13.4B), Kingsoft Cloud Holdings Limited (P/E —; EV/EBITDA 5.7×; ROIC -1.5 %; $2.4B), PayPay Corporation (P/E 12.6×; EV/EBITDA 13.9×; ROIC 2.1 %; $9.8B).
Profitability
| Return on Equity | 54.71% |
| Return on Invested Capital | 5.37% |
| Return on Assets | 7.53% |
| Gross Margin | 57.22% |
| Operating Margin | 14.80% |
| Net Margin | 23.27% |
Financial Health
| Debt / Equity | 1.61 |
| Current Ratio | 1.31 |
| Piotroski F-Score | 8 |
| Altman Z-Score | 2.03 |
Price Performance
| 1 month | -25.06% |
| 3 months | -14.92% |
| Year-to-date | +107.75% |
| 1 year | +163.49% |
| 3 years | +388.61% |
| 5 years | +2.44% |
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Explore sector: Technology · Software - Infrastructure
More sections of DOCN: Financials · Valuation · Statistics · Estimates · Technical · Ownership · News · Events
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