DigitalOcean Stock Is Crashing, but AI Demand Is Red Hot
Shares of cloud-computing company DigitalOcean (NYSE: DOCN) are down 17% in 2025 even though business is booming more than expected and management expects record-high revenue for the year. This juxtaposition creates an interesting situation for investors.Consider that on May 6, DigitalOcean reported financial results for the first quarter of 2025. The company reported quarterly revenue of $211 million, which was up 14% year over year. For perspective, Wall Street was only expecting revenue of about $209 million.Image source: Getty Images.Continue reading
Shares of cloud-computing company DigitalOcean (NYSE: DOCN) are down 17% in 2025 even though business is booming more than expected and management expects record-high revenue for the year. This juxtaposition creates an interesting situation for investors.
Consider that on May 6, DigitalOcean reported financial results for the first quarter of 2025. The company reported quarterly revenue of $211 million, which was up 14% year over year. For perspective, Wall Street was only expecting revenue of about $209 million.
Image source: Getty Images.
