DigitalOcean (DOCN) fundamentals: P/E, valuation, undervalued?
DigitalOcean · Information Technology · ref. ETF XLK · price $121.68
In short — DigitalOcean trades at 52.4× earnings (P/E), 66.1× forward, with a net margin of 23.3 % and revenue growth of +29 %. Read: Somewhat expensive (P/E 66 high vs ~29% growth (PEG 2.3)).
Is DigitalOcean stock cheap or undervalued? A good time to buy? Here are its fundamentals — P/E, PEG, margin and income statement — to judge its valuation.
📈 1-year price
$121.68+264.7% over range
Aug 28, 25low $31.87 · high $181.29Aug 27, 26
📏 Click 2 points (left → right) to measure the change · click again to clear.
SellBuy
Buy
85% recommend buying · 13 analysts
Valuation : Somewhat expensive — P/E 66 high vs ~29% growth (PEG 2.3)
Valuation
52.4
P/E (price/earnings)
66.1
Forward P/E
—
PEG
13.7
Price/book (P/B)
$14.3B
Market cap
2.32
EPS
Profitability & growth
23.3 %
Net margin
+29 %
Revenue growth
-25 %
Earnings growth
$2.0B
Total debt
DigitalOcean income statement
| Fiscal year | Revenue | Net income | Margin |
|---|---|---|---|
| 2022 | $576M | $-24M | -4.2 % |
| 2023 | $693M | $19M | 2.8 % |
| 2024 | $781M | $84M | 10.8 % |
| 2025 | $901M | $259M | 28.8 % |
⚠️ Indicative financial data (Yahoo Finance), not investment advice. Amounts in $.
Frequently asked questions
What is DigitalOcean's P/E and is the stock undervalued? What's a good P/E?
DigitalOcean's P/E is 52.4 (forward 66.1). Below ~15 = fairly cheap, above ~30 = expensive. Our valuation verdict: "Somewhat expensive".
Is DigitalOcean profitable?
DigitalOcean has a net margin of 23.3 % (EPS 2.32). The company is profitable.
Is DOCN stock expensive?
Our read: "Somewhat expensive" — P/E 66 high vs ~29% growth (PEG 2.3). Cross-check with growth and sector.
💬 A question about DigitalOcean? The JPI assistant answers using our backtest data.
Keep exploring DigitalOcean