Sifting through countless of stocks in the IT Services & Consulting industry can be tedious, and sometimes two stocks are just too similar to judge which is the better investment. If you’re on the fence about investing in DigitalOcean Holdings Inc or IONQ Inc because you’re not sure how they measure up, it’s important to compare them on a few factors before making your decision.
Read on to learn how DigitalOcean Holdings Inc and IONQ Inc compare based on key financial metrics to determine which better meets your investment needs.
About DigitalOcean Holdings Inc and IONQ Inc
DigitalOcean Holdings, Inc. is a cloud computing platform offering on-demand infrastructure and platform tools for developers, start-ups and small-to-medium size businesses. The Company?s platform simplifies cloud computing, enabling its customers to rapidly accelerate productivity and agility. The Company offers mission-critical infrastructure solutions across compute, storage and networking, and also enables developers to extend the native capabilities of the Company?s cloud with fully managed application, container and database offerings. The Company offers Compute, Storage, Networking, developer tools and Managed Databases. Its products include Droplets, Spaces, Managed Kubernetes and Container Registry, Managed Databases, App Platform and others. Its customers use its platform across numerous industry verticals and for a range of use cases, such as Web and mobile applications, Website hosting, e-commerce, media and gaming, personal Web projects, and managed services, among others.
IonQ, Inc. is a quantum computing company. The Company is engaged in quantum computing and develops general-purpose quantum computing systems. The Company has developed custom hardware, custom firmware, and an operating system to arrange the quantum computers. The Company's computer systems consist of trapped-ion quantum technology. The Company makes access to its quantum computers via three cloud platforms, Amazon Web Services (AWS) Amazon bracket, Microsoft Azure Quantum, and Google?s Cloud Marketplace, and to select customers via its own cloud service. The Company supplements its QCaaS offering with professional services focused on assisting its customers in applying quantum computing to their businesses. The Company also sells full quantum computing systems to customers, either over the cloud or for local access.
Latest IT Services & Consulting and DigitalOcean Holdings Inc, IONQ Inc Stock News
As of May 25, 2023, DigitalOcean Holdings Inc had a $3.0 billion market capitalization, compared to the IT Services & Consulting median of $281.8 million. DigitalOcean Holdings Inc’s stock is NA in 2023, NA in the previous five trading days and down 20.74% in the past year.
Currently, DigitalOcean Holdings Inc does not have a price-earnings ratio. DigitalOcean Holdings Inc’s trailing 12-month revenue is $576.3 million with a -4.6% net profit margin. Year-over-year quarterly sales growth most recently was 36.2%. Analysts expect adjusted earnings to reach $1.687 per share for the current fiscal year. DigitalOcean Holdings Inc does not currently pay a dividend.
Currently, IONQ Inc does not have a price-earnings ratio. IONQ Inc’s trailing 12-month revenue is $13.5 million with a -532.0% net profit margin. Year-over-year quarterly sales growth most recently was 115.0%. Analysts expect adjusted earnings to reach $-0.552 per share for the current fiscal year. IONQ Inc does not currently pay a dividend.
How We Compare DigitalOcean Holdings Inc and IONQ Inc Stock Grades
Stock evaluation requires access to huge amounts of data and the knowledge and time to sift through it all, make sense of financial ratios, read income statements and analyze recent stock movements. AAII created A+ Investor, a robust data suite that condenses data research in an actionable and customizable way suitable for investors of all knowledge levels, to help investors streamline and work through such data.
AAII’s proprietary stock grades come with A+ Investor. These offer intuitive A‐F grades for each of five key investing factors: value, growth, momentum, earnings estimate revisions and quality. Here, we’ll take a closer look at DigitalOcean Holdings Inc and IONQ Inc’s stock grades to see how they measure up against one another.
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DigitalOcean Holdings Inc and IONQ Inc Stock Value Grades
|DigitalOcean Holdings Inc||DOCN||F|
Successful stock investing involves buying low and selling high, so stock valuation is an important consideration for stock selection.
Buying stocks that are going to go up typically means buying stocks that are undervalued in the first place, although momentum investors may argue that point.
AAII’s A+ Investor Value Grade derives from a stock’s value score. The Value Score is the percentile rank of the average of the percentile ranks of the price-to-sales ratio, price-earnings ratio, enterprise-value-to-EBITDA (EV/EBITDA) ratio, shareholder yield, price-to-book-value ratio and price-to-free-cash-flow ratio. The score is variable, meaning it can consider all six ratios or, should any of the six ratios not be valid, the remaining ratios that are valid. To be assigned a Value Score, stocks must have a valid (non-null) ratio and corresponding ranking for at least two of the six valuation ratios.
Stocks with a Value Score from 81 to 100 are considered deep value, those with a score between 61 and 80 are a good value and so on.
DigitalOcean Holdings Inc has a Value Score of 20, which is Ultra Expensive. IONQ Inc has a Value Score of 7, which is Ultra Expensive.
The Value Stock Winner: No Clear Winner
Neither DigitalOcean Holdings Inc or IONQ Inc has a high enough value grade to be considered a “winner.” Investors who are considering these companies should do additional due diligence and research to see if either could be a good addition to their portfolio. It’s important to look at a wide range of financial metrics in order to determine if DigitalOcean Holdings Inc or IONQ Inc is the better investment when it comes to value.
DigitalOcean Holdings Inc and IONQ Inc Growth Grades
|DigitalOcean Holdings Inc||DOCN||C|
The foundation of growth investing is seeking out stocks of companies exhibiting strong, consistent and prolonged growth that is expected to continue into the future.
In order to compute the growth score and assign it a letter grade, the percentile ranks for each of three components‐consistency of annual sales growth, five-year sales growth rankings adjusted for extreme levels, and consistency of positive annual cash from operations‐must be determined. These three rank figures are added together, and the sum is ranked against the entire stock universe to arrive at a company’s Growth Score to create an equal distribution of grades.
The companies in the bottom 20% of the stock universe receive Growth Grades of F, considered to be very weak, while those in the top 20% receive A grades, which are considered very strong.
DigitalOcean Holdings Inc has a Growth Score of 51, which is Average. IONQ Inc has a Growth Score of 17, which is Very Weak.
The Growth Stock Winner: No Clear Winner
Neither DigitalOcean Holdings Inc or IONQ Inc has a high enough Growth Grade to be considered a “winner.” Investors who are considering these companies should do additional due diligence and research to see if either could be a good addition to their portfolios. It’s important to look at a wide range of financial metrics in order to determine if DigitalOcean Holdings Inc or IONQ Inc is the better investment when it comes to sustainable growth.
DigitalOcean Holdings Inc and IONQ Inc’s Quality Grades
|DigitalOcean Holdings Inc||DOCN||B|
Like the Value Grade, AAII’s A+ Investor Quality Grade comes from the percentile rank of key metrics. Specifically, the Quality Score is the percentile rank of the average of the percentile ranks of return on assets (ROA), return on invested capital (ROIC), gross profit relative to assets, buyback yield, change in total liabilities to assets, accruals, Z double prime bankruptcy risk (Z) score and the F-Score.
The score is variable, meaning it can consider all eight measures or, should any of the eight measures not be valid, the remaining measures that are valid. To be assigned a Quality Score, stocks must have a valid (non-null) measure and corresponding ranking for at least four of the eight quality measures.
The Quality Score is used to assess the underlying “quality” of a particular stock. A higher-quality stock possesses traits associated with upside potential and reduced downside risk. Backtesting of the Quality Grade shows that stocks with higher grades, on average, outperformed stocks with lower grades over the period of 1998 through 2019.
Stocks receive better grades (higher scores) for having higher scores for the quality subcomponents and worse grades (lower scores) for lower scores for the subcomponents.
DigitalOcean Holdings Inc has a Quality Score of 71, which is Strong. IONQ Inc has a Quality Score of 44, which is Average.
The Quality Grade Winner: DigitalOcean Holdings Inc
As you can clearly see from the Quality Grade breakdown above, DigitalOcean Holdings Inc has a better overall quality grade than IONQ Inc. For investors who are looking for companies with higher quality than others in the same industry, DigitalOcean Holdings Inc could be a good stock to add to their portfolios. However, it’s important for investors to analyze multiple factors based on a wide range of metrics before deciding whether to buy.
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Other DigitalOcean Holdings Inc and IONQ Inc Grades
In addition to Growth, Quality and Value, A+ Investor also provides grades for Momentum and Estimate Revisions.
Invest with Confidence with A+ Investor
AAII’s expansive and robust screening tools like A+ Investor help investors make confident decisions.
Momentum grades help uncover stocks experiencing anomalously high rates of return; research finds that stocks with high relative levels of momentum tend to outperform, whereas those with low levels of momentum tend to continue underperforming.
Earnings estimate revisions scores take into account the magnitude of a company’s earnings surprise in its last two reported fiscal quarters. Often, surprises beget further surprises‐or at least continued sales growth (the exact opposite is generally true, too).
These 2 key factors, when combined with the above, provide a holistic view into a particular stock. Further, by joining A+ Investor you can see whether DigitalOcean Holdings Inc and IONQ Inc pass any of our 60+ stock screens that have outperformed the market since their creation.
So, Which Is the Better Investment, DigitalOcean Holdings Inc or IONQ Inc Stock?
Overall, DigitalOcean Holdings Inc stock has a Value Score of 20, Growth Score of 51 and Quality Score of 71.
IONQ Inc stock has a Value Score of 7, Growth Score of 17 and Quality Score of 44.
Comparing DigitalOcean Holdings Inc and IONQ Inc’s grades, scores and metrics can act as a solid basis to determine whether they may be a good investment or not. You’ll also want to look at your portfolio’s asset allocation as well as your risk tolerance and financial goals to see if either of these stocks would make a good fit for you. AAII can help you figure out which investments align with your individual needs and preferences.
Investors are encouraged to do their own due diligence and research. In this way, individuals can effectively become managers of their own assets‐without having to rely on others for financial independence. You can count on AAII for timeless articles on financial planning and stock-picking, unbiased research and actionable analysis.
A+ Investor adds to our qualitative teaching with a powerful data suite to help you whittle down investment choices to find stocks, exchange-traded funds (ETFs) or mutual funds that meet your needs.
We make no representations or warranties that any investor will, or is likely to, achieve profits similar to those shown, because past, hypothetical or simulated performance is not necessarily indicative of future results. Before making an investment decision, you should consider your circumstances and whether the information on our content is applicable to your situation. This information was prepared in good faith, and we accept no liability for any errors or omissions. The full disclaimer can be read here.
The overall score is a great starting point for investors that are beginning to evaluate a stock. IONQ gets a average Short-Term Technical score of 60 from InvestorsObserver's proprietary ranking system. This means that the stock's trading pattern over the last month have been neutral.Is DigitalOcean a good buy? ›
Digitalocean Holdings Stock Forecast FAQ
Out of 9 analysts, 2 (22.22%) are recommending DOCN as a Strong Buy, 2 (22.22%) are recommending DOCN as a Buy, 3 (33.33%) are recommending DOCN as a Hold, 0 (0%) are recommending DOCN as a Sell, and 2 (22.22%) are recommending DOCN as a Strong Sell.
Stocks . USA . Given the investment horizon of 90 days and complete risk avoidance on your part, our recommendation regarding IONQ Inc is 'Strong Sell'.What is the future of Ionq? ›
IonQ is forecasted to grow earnings and revenue by 13.9% and 50.5% per annum respectively. EPS is expected to grow by 13.4%. Return on equity is forecast to be -14.9% in 3 years.
Stock Price Forecast
The 6 analysts offering 12-month price forecasts for IONQ Inc have a median target of 9.00, with a high estimate of 12.00 and a low estimate of 7.00. The median estimate represents a -10.00% decrease from the last price of 10.00.
IBM has unveiled the most powerful quantum processor in the world – the Osprey, which boasts a massive 433 quantum bits (qubits).Will DigitalOcean stock go up? ›
Stock Price Forecast
The 10 analysts offering 12-month price forecasts for DigitalOcean Holdings Inc have a median target of 35.50, with a high estimate of 63.00 and a low estimate of 30.00. The median estimate represents a -1.39% decrease from the last price of 36.00.
Shares of DigitalOcean (DOCN 4.99%), a cloud computing specialist for small and medium-sized businesses, have been rocketing higher in 2023. The stock is up 46% year to date, though it still has a long way to go to recapture its all-time highs from late 2021.Why DigitalOcean is the best? ›
Digitalocean is one of the best hosting services in the world. Its really easy to use and it has huge amount of features. You can easily control your droplets and administrate everything as you want. Some of the features are little bit hard to use and understand.Is IonQ making money? ›
Net Profit Margins:
IonQ Inc's net profit margin fell -187.39% since last year same period to -622.01% in the Q1 2023. On a quarterly growth basis, IonQ Inc has generated -26.99% fall in its net profit margins since last 3-months.
It's worth noting that IonQ is backed by Amazon.com Inc. (NASDAQ: AMZN), Google Ventures, Lockheed Martin Co. (NYSE: LHT), the U.S. Department of Energy and the U.S. Department of Defense. IonQ's QCaaS is accessible through Amazon AWS and Microsoft Azure platforms.Who is IonQ backed by? ›
Founded in 2015 by Jungsang Kim and Christopher Monroe, IonQ is headquartered in College Park, MD and backed by leading investors including Samsung Catalyst Fund, Mubadala Capital, New Enterprise Associates (NEA) and GV.Who are IonQ competitors? ›
- IBM Research.
- Rigetti Computing.
- Atom Computing.
- D-Wave Systems.
Ionq Stock Forecast & Predictions: 1Y Price Target $8.50 | Buy or Sell NYSE: IONQ 2023 | WallStreetZen.Is IonQ the best quantum computing company? ›
If you're looking for the best quantum computing stock to buy now, IonQ (NYSE:IONQ) is the most reliable pure-play pick. The company is developing trapped-ion quantum computers for general use and has partnerships that'll have a profound impact on its financials down the road.What is special about IonQ? ›
The most important part of any quantum computer are its quantum bits, or qubits. IonQ's qubits are ionized ytterbium atoms, a silvery rare-earth metal. Each ytterbium atom is perfectly identical to every other ytterbium atom in the universe.How many shares of IonQ are there? ›
Some of the main businesses leading the way in quantum computing include Google, IBM, Rigetti Computing, IonQ, D-Wave Systems, Alibaba, Xanadu, Honeywell, Zapata Computing, and Cambridge Quantum Computing.Who is the world leader in quantum computing? ›
IBM is leading the world in quantum computing. Since becoming the first to offer cloud-based quantum computing access, IBM is continuing to release new versions of its quantum computing technologies, and plans to release a 1,000-qubit chip, Condor, at the end of 2023.What is the most promising quantum computer? ›
IonQ (NYSE:IONQ) is arguably the best pure-play in the quantum computing space. The firm is developing trapped-ion quantum computers that can be used effectively for general use and has partnerships having a profound impact on its financials.
The average price target for DigitalOcean Holdings is $39.50. This is based on 12 Wall Streets Analysts 12-month price targets, issued in the past 3 months. The highest analyst price target is $63.00 ,the lowest forecast is $30.00. The average price target represents 23.13% Increase from the current price of $32.08.How much will DigitalOcean stock cost in 2025? ›
According to our DigitalOcean Holdings, Inc. stock prediction for 2025, DOCN stock will be priced at $ 38.35 in 2025. This forecast is based on the stock's average growth over the past 10 years.How high will DS stock go? ›
DS Stock 12 Months Forecast
Based on 2 Wall Street analysts offering 12 month price targets for Drive Shack in the last 3 months. The average price target is $2.00 with a high forecast of $2.00 and a low forecast of $2.00.
Making progress. Even as DigitalOcean started to face headwinds in 2022 as customers began to pull back, the company greatly improved its profitability. Free cash flow more than tripled to $77.8 million for the full year, or about 13.5% of revenue.What is the debt of DigitalOcean? ›
DigitalOcean Holdings has a total shareholder equity of $-217.7M and total debt of $1.5B, which brings its debt-to-equity ratio to -676.4%. Its total assets and total liabilities are $1.6B and $1.8B respectively.What was DigitalOcean IPO share price? ›
DigitalOcean (DOCN -2.30%) took investors on a wild ride after its initial public offering (IPO). The small-scale cloud infrastructure services provider went public at $47 on March 24, 2021, but its stock opened at just $41.50 before ending its first day at $42.50.What big companies use DigitalOcean? ›
|University of California-Berkeley||berkeley.edu||>1000M|
|Lenovo Group Ltd||lenovo.com.cn||>1000M|
|Red Hat Inc||redhat.com||>1000M|
|IA Venture Strategies Fund II, LP||7,404,482||Dec 30, 2022|
|Vanguard Group, Inc. (The)||6,153,572||Dec 30, 2022|
|Blackrock Inc.||5,270,087||Dec 30, 2022|
|AllianceBernstein, L.P.||2,737,749||Dec 30, 2022|
Our Editors's rated DigitalOcean 5.0 / 5 based on user ratings, pricing, and features offered.Does IonQ pay dividends? ›
Historical dividend payout and yield for IonQ (IONQ) since 1971. The current TTM dividend payout for IonQ (IONQ) as of May 23, 2023 is $0.00. The current dividend yield for IonQ as of May 23, 2023 is 0.00%.
IonQ (164 patents)How many employees does IonQ have? ›
IonQ is a small technology company based in Maryland with only 70 employees and an annual revenue of $2.1M.Which quantum computer is owned by Google? ›
Google has set a quantum-computing roadmap for itself with six key milestones. Quantum advantage was the first, and the latest result was the second. Milestone six is a machine made of one million physical qubits, encoding 1,000 logical qubits. “At that stage, we can confidently promise commercial value,” says Neven.How long will quantum computing last? ›
It is estimated that there could be 2,000 to 5,000 quantum computers throughout the world by 2030. However, it could be 2035 before these tools are in place to tackle business issues because of the numerous pieces of hardware and software required.Will quantum computers end crypto? ›
In the future, quantum attacks might be able to break the encryption algorithms used in Bitcoin. However, quantum computers can't do that yet. There's likely a 5-10 years window for Bitcoin to strengthen its security measures so that it can survive hackers armed with quantum computers.Will quantum computers become a thing? ›
Indeed, the US National Institute of Standards and Technology (NIST) has already said that quantum computers will, by 2029, be able to break existing public key infrastructure like 128-bit AES encryption, which is currently used to protect sensitive information sent over the Internet.What is the target price for IonQ analyst? ›
Investing in quantum computing can be worth it, as major tech investments will provide exposure to both developing quantum tech and the current retail market.Is IonQ the best quantum computer? ›
If you're looking for the best quantum computing stock to buy now, IonQ (NYSE:IONQ) is the most reliable pure-play pick. The company is developing trapped-ion quantum computers for general use and has partnerships that'll have a profound impact on its financials down the road.