Why DigitalOcean Stock Rocketed Nearly 19% Higher Today
Shares of DigitalOcean Holdings (NYSE: DOCN) rose by 18.8% Thursday. The stock market overall was volatile as it reacted to Russia's invasion of Ukraine, though the major indexes ultimately finished the day with gains. But the cloud computing platform provider surged higher thanks to a fantastic earnings update for the fourth quarter.
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DigitalOcean reported revenue of $119.7 million for Q4, a 37% year-over-year increase. That came in above the top of the $117 million to $119 million guidance range that CEO Yancey Spruill and his team offered for Q4 at the time of the Q3 report. Annualized recurring revenue -- an important metric for cloud-based subscription businesses like this one -- also rose 37% in the quarter to $490 million.
Source Fool.com
