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Simplified cloud-computing platform for developers, startups and small businesses, now adding AI/GPU tools.
Simplified cloud-computing platform for developers, startups and small businesses, now adding AI/GPU tools.
Customers pay by the hour or month for the computing they use, at flat published prices, so revenue builds as developers and small businesses grow their usage. It bought the hosting service Cloudways in 2022 and the GPU provider Paperspace in 2023 to reach a broader customer base and AI work.
Moat: narrow (brand, distribution). Simplicity and developer-friendly pricing build loyalty, but it competes against much larger, well-funded clouds.
Headquarters: New York, New York, US · Founded: 2011 · Employees: 1,462
Size DigitalOcean (DOCN) is a United States Information Technology company (Packaged Software) with a market value of $8.55B, the 859th largest of 3,117 United States companies the cockpit tracks. Shares closed at $72.48 on 6 Nov 2026.
Performance Over six months the shares fell 55.8%, against +10.1% for the median peer and -1.1% for the United States market (cap-weighted) — lowest of 21 in its peer set.
Growth Revenue grew 27.6% over the last twelve months (peer median +19.6%); the operating margin is 12.5% (peer median 2.9%).
Valuation It trades at 44.7× forward earnings against a peer median of 38.8× (9th most expensive of 19).
Price implies For today's price to make sense, revenue must grow about 42% a year for seven years (Req g). Recent delivered growth is +23%, so the hurdle is +19 pp: the price needs faster growth than the company has been delivering — of companies that just grew 25–50% a year, 93.8% slowed down over the next four years.
Capital Return on invested capital runs 7.6 points below its cost of capital (11.8% WACC).
Credit DigitalOcean has 2 bonds outstanding ($465M).
Short interest Short interest is 9.2% of the free float (15 Oct 2026).
Next results Next results expected around 25 Feb 2027 (exchange calendar; dates can move).
| TTM | FY2025 | FY2024 | FY2023 | FY2022 | |
|---|---|---|---|---|---|
| Revenue | $1.10B | $901M | $781M | $693M | $576M |
| Revenue growth | — | +15% | +13% | +20% | — |
| Gross profit | $603M | $540M | $466M | $409M | $364M |
| EBITDA | $350M | $294M | $221M | $157M | $82.0M |
| Net income | $34.3M | $259M | $84.5M | $19.4M | -$27.8M |
| Free cash flow | $221M | $170M | $96.2M | $110M | $78.3M |
| Capital expenditure | $156M | $142M | $187M | $125M | $120M |
| Total debt | $2.05B | $1.70B | $1.70B | $1.66B | $1.64B |
The default views of Competitor Analysis ▸ Charts, drawn from the same data. Open them in the cockpit to change the axes, pin companies and read every value.
| Company | Market cap | 6M return | Revenue growth | Op. margin | Forward P/E | Req g |
|---|---|---|---|---|---|---|
| DigitalOcean DOCN | $8.55B | -56% | +28% | 12% | 44.7× | 41.6% |
| Amazon AMZN | $2.80T | -5% | +15% | 13% | 26.3× | n/a |
| Alphabet Inc. (Class A) GOOGL | $3.47T | -29% | +22% | 33% | 20.5× | 18.5% |
| Microsoft MSFT | $3.94T | +28% | +18% | 47% | 25.5× | 17.2% |
| Akamai Technologies AKAM | $11.9B | -44% | +6% | 12% | 12.8× | 17.0% |
Peer set: Industry: the same industry and sector in any market, nearest in size. This is the same default set the interactive Competitor Analysis opens with.
| Measure | DOCN | Peer median | Rank in peer set |
|---|---|---|---|
| 1-month return | -41.5% | -3.6% | lowest of 21 |
| 6-month return | -55.8% | +10.1% | lowest of 21 |
| Distance from 52-week high | -61.3% | -28.3% | 2nd lowest of 21 |
| Revenue growth (TTM) | +27.6% | +19.6% | 6th highest of 21 |
| Operating margin | 12.5% | 2.9% | 9th highest of 21 |
| Forward P/E | 44.7× | 38.8× | 9th most expensive of 19 |
| Growth the price implies (Req g, 7 yrs) | 41.6% | 18.8% | 5th most demanding of 18 |
| Growth delivered (Del g) | +23.1% | +22.8% | 9th highest of 18 |
| Hurdle (Req g minus delivered) | +18.5 pp | -7.2 pp | 4th most demanding of 18 |
| ROIC minus cost of capital | -7.6 pp | -6.4 pp | 7th lowest of 18 |
| EV / EBITDA | 27.9× | 18.4× | 3rd most expensive of 10 |
| Net debt / EBITDA | 3.5× | -0.7× | most indebted of 10 |
| Company | Market | Market cap | 6M return | Revenue growth | Op. margin | Forward P/E | Req g | Delivered g |
|---|---|---|---|---|---|---|---|---|
| DigitalOcean DOCN | United States | $8.55B | -56% | +28% | 12% | 44.7× | 41.6% | +23.1% |
| CSG Digital Power Grid Research Institute 301638.SZ | China | $8.52B | -37% | +18% | 10% | n/a | 18.0% | +8.2% |
| 360 Security Technology 601360.SS | China | $8.63B | -26% | +7% | -4% | 172.6× | 55.2% | -5.7% |
| Netskope NTSK | United States | $8.70B | +83% | +30% | -94% | n/a | n/a | n/a |
| Nemetschek NEM.DE | Germany | $8.39B | +10% | +13% | 26% | 29.9× | 11.1% | +14.8% |
| Snap SNAP | United States | $8.39B | -18% | +13% | -5% | 32.3× | 2.7% | +18.8% |
| Xero XRO.AX | Australia | $8.36B | -13% | +27% | 13% | 66.7× | 25.9% | +25.3% |
| Descartes Systems DSG.TO | Canada | $8.10B | +32% | +12% | 33% | 37.9× | 4.4% | +16.8% |
| Paylocity PCTY | United States | $9.03B | +56% | +11% | 22% | 19.0× | 2.3% | +22.8% |
| Elastic ESTC | United States | $9.12B | +65% | +16% | -1% | 24.4× | 13.0% | +23.4% |
| Gitlab GTLB | United States | $8.01B | +85% | +23% | -8% | 55.0× | 18.8% | +44.4% |
| ServiceTitan TTAN | United States | $7.89B | +36% | +23% | -13% | 55.6× | 20.7% | +27.1% |
| Sangfor Technologies 300454.SZ | China | $7.84B | +5% | +21% | 2% | 71.4× | 46.1% | +6.9% |
| Hinge Health HNGE | United States | $9.34B | +107% | +50% | 19% | 39.6× | 34.1% | +49.9% |
| Full Truck Alliance Co. Ltd. Sponsored ADR YMM | United States | $9.35B | +4% | +9% | 34% | 12.8× | -10.9% | +36.0% |
| Zeta Global ZETA | United States | $7.79B | +81% | +36% | 3% | 28.2× | 49.7% | +28.8% |
| Oracle Financial Services Software OFSS.NS | India | $9.43B | +8% | +28% | 52% | 22.7× | 22.0% | +9.0% |
| Oracle Corporation Japan 4716.T | Japan | $7.73B | +10% | +10% | 32% | 17.0× | -6.9% | +6.5% |
| Empyrean Technology 301269.SZ | China | $7.70B | +5% | +15% | -10% | 357.4× | n/a | n/a |
| Horizon Robotics 9660.HK | Hong Kong | $7.61B | -48% | +46% | -101% | 159.5× | n/a | n/a |
| SentinelOne S | United States | $7.58B | +31% | +21% | -26% | 54.7× | 53.7% | +60.8% |
DigitalOcean has 2 bonds outstanding with $465M face value.