DigitalOcean Holdings, Inc.

DB:0SU Stock Report

Market Cap: €3.1b

DigitalOcean Holdings Valuation

Is 0SU undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

1/6

Valuation Score 1/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of 0SU when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 0SU (€32.83) is trading below our estimate of fair value (€39.09)

Significantly Below Fair Value: 0SU is trading below fair value, but not by a significant amount.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 0SU?

Key metric: As 0SU is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 0SU. This is calculated by dividing 0SU's market cap by their current earnings.
What is 0SU's PE Ratio?
PE Ratio38.5x
EarningsUS$82.17m
Market CapUS$3.14b

Price to Earnings Ratio vs Peers

How does 0SU's PE Ratio compare to its peers?

The above table shows the PE ratio for 0SU vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average17.8x
IOS IONOS Group
21.1x16.7%€3.1b
BC8 Bechtle
15.8x7.9%€3.9b
NA9 Nagarro
19.6x15.7%€1.1b
SANT Kontron
14.5x19.0%€1.2b
0SU DigitalOcean Holdings
38.5x18.2%€3.1b

Price-To-Earnings vs Peers: 0SU is expensive based on its Price-To-Earnings Ratio (38.5x) compared to the peer average (17.8x).

Price to Earnings Ratio vs Industry

How does 0SU's PE Ratio compare vs other companies in the DE IT Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
No more companies available in this PE range
0SU 38.5xIndustry Avg. 18.1xNo. of Companies4PE01224364860+
0 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 0SU is expensive based on its Price-To-Earnings Ratio (38.5x) compared to the European IT industry average (17.5x).

Price to Earnings Ratio vs Fair Ratio

What is 0SU's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

0SU PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio38.5x
Fair PE Ratio26.7x

Price-To-Earnings vs Fair Ratio: 0SU is expensive based on its Price-To-Earnings Ratio (38.5x) compared to the estimated Fair Price-To-Earnings Ratio (26.7x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst 0SU forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€32.83
€39.30
+19.7%
14.5%€46.32€27.02n/a11
Dec ’25€35.82
€37.28
+4.1%
14.5%€43.93€25.63n/a11
Nov ’25€36.92
€37.14
+0.6%
17.5%€44.47€23.16n/a11
Oct ’25€34.77
€34.47
-0.9%
16.5%€43.05€22.90n/a11
Sep ’25€33.68
€34.47
+2.3%
16.5%€43.05€22.90n/a11
Aug ’25€30.70
€35.59
+15.9%
16.5%€43.09€22.92n/a11
Jul ’25€32.31
€36.21
+12.1%
15.9%€43.43€23.10n/a11
Jun ’25€33.67
€36.21
+7.5%
15.9%€43.43€23.10n/a11
May ’25€31.64
€35.81
+13.2%
15.6%€43.29€23.03n/a11
Apr ’25€35.73
€35.81
+0.2%
15.6%€43.29€23.03n/a11
Mar ’25€34.79
€35.86
+3.1%
16.4%€43.43€23.10n/a10
Feb ’25€31.14
€32.38
+4.0%
20.7%€43.24€23.00n/a10
Jan ’25€34.21
€29.81
-12.9%
21.4%€42.72€22.72€33.2410
Dec ’24€27.31
€29.33
+7.4%
21.1%€43.22€22.99€35.8210
Nov ’24€19.20
€28.68
+49.4%
22.4%€44.27€20.72€36.929
Oct ’24€22.90
€34.11
+48.9%
23.0%€48.67€23.40€34.779
Sep ’24€25.00
€35.58
+42.3%
19.5%€47.93€26.73€33.6810
Aug ’24€44.32
€40.20
-9.3%
26.4%€57.29€27.28€30.7010
Jul ’24€35.77
€35.75
-0.04%
23.4%€57.46€27.36€32.3110
Jun ’24€36.28
€35.75
-1.4%
23.4%€57.46€27.36€33.6710
May ’24€27.76
€35.03
+26.2%
24.9%€57.17€27.23€31.6410
Apr ’24€33.49
€36.21
+8.1%
23.9%€58.08€27.66€35.7311
Mar ’24€29.90
€36.78
+23.0%
22.8%€58.91€28.05€34.7912
Feb ’24€26.66
€33.51
+25.7%
28.7%€58.38€25.02€31.1412
Jan ’24€23.42
€35.37
+51.0%
27.1%€59.69€25.58€34.2112

Analyst Forecast: Target price is less than 20% higher than the current share price.

Discover undervalued companies

7D

1Y

7D

1Y

7D

1Y

Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2025/01/02 04:53
End of Day Share Price 2025/01/02 00:00
Earnings2024/09/30
Annual Earnings2023/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

DigitalOcean Holdings, Inc. is covered by 16 analysts. 12 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Ishan MajumdarBaptista Research
Raimo LenschowBarclays
Wamsi MohanBofA Global Research