Seeking Clues to DigitalOcean Holdings, Inc. (DOCN) Q3 Earnings? A Peek Into Wall Street Projections for Key Metrics
Wall Street analysts forecast that DigitalOcean Holdings, Inc. (DOCN) will report quarterly earnings of $0.36 per share in its upcoming release, pointing to a year-over-year decline of 5.3%. It is anticipated that revenues will amount to $173.57 million, exhibiting an increase of 14.1% compared to the year-ago quarter.
The current level reflects a downward revision of 51.9% in the consensus EPS estimate for the quarter over the past 30 days. This demonstrates how the analysts covering the stock have collectively reappraised their initial projections over this period.
Prior to a company's earnings announcement, it is crucial to consider revisions to earnings estimates. This serves as a significant indicator for predicting potential investor actions regarding the stock. Empirical research has consistently demonstrated a robust correlation between trends in earnings estimate revision and the short-term price performance of a stock.
While investors typically rely on consensus earnings and revenue estimates to gauge how the business may have fared during the quarter, examining analysts' projections for some of the company's key metrics often helps gain a deeper insight.
Given this perspective, it's time to examine the average forecasts of specific DigitalOcean Holdings, Inc. metrics that are routinely monitored and predicted by Wall Street analysts.
Based on the collective assessment of analysts, 'Net Dollar Retention Rate' should arrive at 96.5%. Compared to the current estimate, the company reported 118% in the same quarter of the previous year.
Analysts' assessment points toward 'Average Revenue Per Customer (ARPU)' reaching $92.14. The estimate is in contrast to the year-ago figure of $79.22.
The combined assessment of analysts suggests that 'Annual Run-Rate Revenue (ARR)' will likely reach $690.18 million. The estimate compares to the year-ago value of $640.60 million.
View all Key Company Metrics for DigitalOcean Holdings, Inc. here>>>
DigitalOcean Holdings, Inc. shares have witnessed a change of -11.1% in the past month, in contrast to the Zacks S&P 500 composite's -2.2% move. With a Zacks Rank #4 (Sell), DOCN is expected underperform the overall market performance in the near term. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
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DigitalOcean Holdings, Inc. (DOCN) : Free Stock Analysis Report
