DigitalOcean drops on $700 mln stock offering plans

DigitalOcean Holdings

24/03/2026 20:36

** AI cloud platform DigitalOcean DOCN.N shares down 8.5% at $76.66 post market on planned equity raise

** DOCN commences $700 mln offering to invest in additional infrastructure, pay down term loan, and for general corporate purposes

** JP Morgan, Morgan Stanley and BofA joint bookrunners

** Broomfield, Colorado-based DOCN has ~92 mln shares outstanding for ~$7.8 bln market cap

** DOCN shares ended down 1.3% at $84.92 on Tues, trimming YTD gain to 76.5%

** Avg rating of 14 analysts is "buy"; median PT $76.50, per LSEG

(Lance Tupper is a Reuters market analyst. The views expressed are his own)

((lance.tupper@tr.com 1-646-279-6380))