Should You Buy DigitalOcean Stock After Its 12-Month Gain of 360%? An Upcoming Event on Aug. 4 Might Hold the Answer.

DigitalOcean’s 12-month stock gain of 360% has been tied to rapidly expanding AI data center capacity, as the company works to meet surging customer demand. DigitalOcean is releasing its second-quarter operating results on Aug. 4, a date expected to indicate whether the recent upward momentum can continue. While the cloud market is dominated by large players such as Amazon and Microsoft, DigitalOcean focuses on small and midsize businesses with more affordable services and a simplified platform. The company’s AI-Native Cloud platform uses a five-layer approach built around 20 data centers housing thousands of chips from suppliers including Nvidia and Advanced Micro Devices. In Q1, DigitalOcean reported $257.9 million in revenue, up 22% year over year, with Q2 guidance referenced as accelerating to 29% growth. The firm also ended Q2 with $800 million in remaining performance obligations.