DigitalOcean Holdings, Inc. (DOCN Quick QuoteDOCN - Free Report) reported $177.06 million in revenue for the quarter ended September 2023, representing a year-over-year increase of 16.4%. EPS of $0.44 for the same period compares to $0.38 a year ago.

The reported revenue compares to the Zacks Consensus Estimate of $173.57 million, representing a surprise of +2.01%. The company delivered an EPS surprise of +22.22%, with the consensus EPS estimate being $0.36.

While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.

As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.

Here is how DigitalOcean Holdings, Inc. performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

• Net Dollar Retention Rate: 96% versus 96.5% estimated by two analysts on average.
• Total Customers: 633,000 versus 648,647 estimated by two analysts on average.
• Average Revenue Per Customer (ARPU): $92.06 compared to the $92.14 average estimate based on two analysts.
• Annual Run-Rate Revenue (ARR): $713 million versus $690.18 million estimated by two analysts on average.

View all Key Company Metrics for DigitalOcean Holdings, Inc. here>>>

Shares of DigitalOcean Holdings, Inc. have returned -11.5% over the past month versus the Zacks S&P 500 composite's -1.1% change. The stock currently has a Zacks Rank #4 (Sell), indicating that it could underperform the broader market in the near term.