DOCNDigitalOcean Holdings, Inc.
Is the price fair?
A demanding price: priced for +24% a year vs +16% a year delivered and rich vs its sector.
Priced for ~24% a year FCF growth. The price demands more than its three-year revenue growth of 16% a year, priced for acceleration.
Sector median 30.5× across 203 covered peers. EV/EBIT counts debt as part of the price, so a cash-rich and a borrowed company can be compared on the same footing.
All from derived, as of Jun 30, 2026.
Against the whole market›
Percentile against every name Ryufin tracks. Higher is better; the tick marks the middle of the market. Context, not one of the checks above.
Where this answer is blind. The growth-implied estimate assumes a fixed discount rate; capital-heavy sectors look structurally rich on it.
What DOCN's price assumes
DigitalOcean Holdings, Inc. trades at 62.5× earnings against 34.2× for the median Software - Infrastructure name, more expensive than its own group.
Trailing P/E · Software - Infrastructure median 34.2 · 1.82× the median: the market pays up for this one
- Price / sales
- 15.0
Price / sales · today's price, trailing year to Jun 30, 2026
- Free cash flow yield
- 1.3%
Free cash flow yield · Software - Infrastructure median 5.3%
- Growth the price implies
- +24%
Growth the price implies · The price pays for +24% free cash flow growth a year for a decade; the business has delivered +19% a year over the last three.
Details›
- Price / booktoday's price, trailing year to Jun 30, 2026
- 16.3
- EV / EBITtoday's price, trailing year to Jun 30, 2026
- 102
- EV / salestoday's price, trailing year to Jun 30, 2026
- 15.2
- Technology median P/E459 names
- 37.7
- Software - Infrastructure median P/E107 names
- 34.2
- Free cash flow, trailing twelve months
- $194M
- Market capitalisation
- $15.2B
- 3-year revenue growth
- +16%
- 3-year free cash flow growth
- +19%
Multiples from SEC filings and end-of-day closes; implied growth from a reverse discounted cash flow. Group medians across the names Ryufin tracks.
Software, Infrastructure
Ranks #34 of 80 by RyuScore