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DigitalOcean initiated with a Neutral at UBS

UBS analyst Jeff Hickey initiated coverage of DigitalOcean with a Neutral rating and $40 price target. The firm cites the competitive backdrop of the cloud infrastructure market and DigitalOcean’s exposure to “macro-sensitive” individual and smaller customers for the Neutral rating. UBS models average revenue per user growth for $50-plus spend per month customers below the Street in both 2024 and 2025.

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