DO
DigitalOcean Holdings Inc.
DOCN · Cloud Infrastructure
Company brief
DO
DOCNCloud Infrastructure$2.1B

DigitalOcean Holdings Inc.

Cloud infrastructure provider focused on simplifying cloud computing for developers, startups, and SMBs

Moat score
6/100
13F status
Tracking pending
Main Metrics

Beginner valuation check

Price
$162
Next earnings
Data pending

Data pending from FMP or Finnhub.

1Y Performance
+405%

Positive price performance shows recent market sentiment, not a full investment thesis.

Forward P/E
129x

Forward P/E around 129.2x means investors pay about $129.2 for each expected $1 of future profit per share, usually the next 12 months or next fiscal year. It is a forecast, not a fact.

P/E
68.2x

A P/E around 68.2x means investors pay about $68.2 for each $1 the company earned per share over the last 12 months, usually the last four quarterly reports.

EPS
$2.24
Market Cap
$16.2B
Forward P/E is the cleanest beginner valuation anchor here; compare it with growth and recent performance.

Source: market data index. As of May 21, 2026. P/E can be unavailable or misleading when earnings are negative.

Scenario Framework

Bull / Neutral / Bear

Neutral Case

DOCN keeps turning cloud hosting into durable value, but the stock remains sensitive to whether growth can support a high forward multiple.

Watch signal

Forward P/E around 129x continues to be weighed against mid-to-high teens growth.

What you own

DigitalOcean Holdings Inc. is exposure to cloud infrastructure operating model with medium switching costs and 103% net revenue retention.

Base thesis

Developer-first UI creates strong workflow lock-in once teams standardize on DO tooling

Main risk

The main question is whether the company can keep customer value compounding without margin pressure eroding the moat.

How to inspect it

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Simulator coverage pending

This ticker has a company brief, but richer workflow modules have not been built yet.

Investor Snapshot
6Moat Score
Net Revenue Retention103%
Retention RiskMedium
AI Disruption RiskMedium
Switching CostsMedium
13F Ownership
Tracking pending

No SEC-backed 13F rows are matched for this ticker yet. We do not fabricate ownership rows.

Investment Thesis
  • Developer-first UI creates strong workflow lock-in once teams standardize on DO tooling
  • 1-click marketplace apps reduce time-to-deployment but are easily replicated by AWS/GCP
  • Pricing transparency and simplicity vs hyperscalers creates loyalty among SMBs
  • Managed Kubernetes and databases increase switching costs through data gravity
  • Limited enterprise features make customers vulnerable to poaching by hyperscalers
  • Strong brand with developer community but lacks technical moats of core infrastructure