DOCN
DigitalOcean Holdings Inc
Price:  
29.89 
USD
Volume:  
1,975,218.00
United States | IT Services
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DigitalOcean Fair Value

-22.47 %
Upside

What is the fair value of DigitalOcean?

As of 2025-05-09, the Fair Value of DigitalOcean Holdings Inc (DOCN) is 23.17 USD. This value is based on the Peter Lynch's Fair Value formula. With the current market price of 29.89 USD, the upside of DigitalOcean Holdings Inc is -22.47%.

Is DigitalOcean a good investment?

With the market price of 29.89 USD and our fair value calculation, DigitalOcean Holdings Inc (DOCN) is not a good investment. Investing in DigitalOcean stocks now will result in a potential loss of 22.47%.

29.89 USD
Stock Price
23.17 USD
Fair Price
FAIR VALUE CALCULATION

DigitalOcean Fair Value

Peter Lynch's formula is:

DigitalOcean Fair Value
= Earnings Growth Rate x TTM EPS
DigitalOcean Fair Value
= 25.00 x 0.93
DigitalOcean Fair Value
= 23.17

The earnings growth rate we use in the formula is the average growth rate of net income/earnings over the last 5 years. If the average growth rate is smaller than 5%, we set it to 5%. If it is larger than 25%, we set it to 25%. If the TTM EPS is negative, Peter Lynch Fair Value's result can be unreliable.

Historical Earnings
2020-12-31 2021-12-31 2022-12-31 2023-12-31 2024-12-31 5Y Avg
Net income -43.57 -19.50 -27.80 19.41 84.49 2.61
YoY growth -7.87% 55.24% -42.56% 169.81% 335.32% 101.99%

DigitalOcean Fair Value - Key Data

Market Cap (mil) 2,724.47
P/E 32.25x
Forward P/E 26.34x
EPS 0.93
Avg earnings growth rate 101.99%
TTM earnings 84.49