Digitalocean Shares Rise on Higher 2Q Revenue Forecast, Added Data Center Capacity

Dow Jones

07/07

DigitalOcean shares rose after the company said it expects higher second-quarter revenue, while signing additional data-center capacity to support growing demand for AI workloads.

Shares of the cloud infrastructure company were recently up 6.2% at $139.60.

DigitalOcean on Tuesday forecast second-quarter revenue to grow about 29% from a year earlier and projects remaining performance obligations to exceed $800 million, up more than 10-fold from the year-ago period. The company said customer momentum is also expected to support a higher exit rate for revenue growth in 2026.

The company also said it expects adjusted earnings per share to come in at or above the high end of its guidance.

DigitalOcean said it signed an additional 20 megawatts of committed data-center capacity expected to come online in late 2027 and early 2028, bringing its total committed capacity to about 155 megawatts.

During its latest quarter, the company said it received multiple nine-figure annual customer commitments for inference and cloud products.

(END) Dow Jones Newswires

July 07, 2026 10:32 ET (14:32 GMT)

Copyright (c) 2026 Dow Jones & Company, Inc.

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The company said customer momentum is also expected to support a higher exit rate for revenue growth in 2026.The company also said it expects adjusted earnings per share to come in at or above the high end of its guidance.DigitalOcean said it signed an additional 20 megawatts of committed data-center capacity expected to come online in late 2027 and early 2028, bringing its total committed capacity to about 155 megawatts.During its latest quarter, the company said it received multiple nine-figure annual customer commitments for inference and cloud products.(END) Dow Jones NewswiresJuly 07, 2026 10:32 ET (14:32 GMT)Copyright (c) 2026 Dow Jones & Company, Inc.","kind":"highlight","is_publish_news":true,"is_publish_highlight":true,"is_publish_live":false,"is_publish_wemedia":true,"editions":null,"column":"","sentiment":"1","news_tag":"","news_rank":0,"isVideo":false,"video":null,"symbols":[],"gpt_button":0,"need_auth":true,"need_login_tip":false,"code":"91000000","status":"200"}}}