DigitalOcean Holdings (MEX:DOCN) ROC (Joel Greenblatt) %: 14.18% (As of Mar. 2026)


MEX:DOCN DigitalOcean Holdings Inc MEX:DOCN
50 GF Score
Price MXN2,921.92
GF Value MXN848.06
Valuation Significantly Overvalued
! 10 Warning Signs
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What is DigitalOcean Holdings ROC (Joel Greenblatt) %?

DigitalOcean Holdings MEX:DOCN 50 ROC (Joel Greenblatt) % is 14.18% as of Mar. 2026. GuruFocus rates MEX:DOCN with a GF Score™ of 50/100 and a GF Value™ of MXN848.06 (Significantly Overvalued). The stock has 10 warning signs investors should review. Among 2,807 Software companies, DigitalOcean Holdings ranks better than 52.65% on this metric.

Joel Greenblatt defined Return on Capital differently in his book The Little Book That Still Beats the Market (Little Books. Big Profits). He defines ROC (Joel Greenblatt) % as EBIT divided by the total of Property, Plant and Equipment and net working capital. DigitalOcean Holdings's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was 14.18%.

The historical rank and industry rank for DigitalOcean Holdings's ROC (Joel Greenblatt) % or its related term are showing as below:

MEX:DOCN' s ROC (Joel Greenblatt) % Range Over the Past 10 Years
Min: -14.69   Med: -4.58   Max: 30.34
Current: 25.62

During the past 8 years, DigitalOcean Holdings's highest ROC (Joel Greenblatt) % was 30.34%. The lowest was -14.69%. And the median was -4.58%.

MEX:DOCN's ROC (Joel Greenblatt) % is ranked better than
52.65% of 2807 companies
in the Software industry
Industry Median: 19.99 vs MEX:DOCN: 25.62

DigitalOcean Holdings's 5-Year average Growth Rate of ROC (Joel Greenblatt) % was 0.00% per year.


DigitalOcean Holdings  (MEX:DOCN) ROC (Joel Greenblatt) % Explanation

The way Joel Greenblatt defines Return on Capital is a more accurate measure of how efficiently the company generates returns onthe capital actually invested in the business. EBIT is used instead of net income because the tax and interest payment may be affected by factors other than the core business operation. Intangible assets are not included in the calculation because they don't need to be replaced.

Joel Greenblatt uses his definition of Return on Capital and Earnings Yield (Joel Greenblatt) % to rank companies.


DigitalOcean Holdings ROC (Joel Greenblatt) % Related Terms


DigitalOcean Holdings ROC (Joel Greenblatt) % Historical Data

* Premium members only.

The historical data trend for DigitalOcean Holdings's ROC (Joel Greenblatt) % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

DigitalOcean Holdings ROC (Joel Greenblatt) % Chart

DigitalOcean Holdings Annual Data
Trend Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
ROC (Joel Greenblatt) %
Get a 7-Day Free Trial -6.01 -4.49 7.51 21.46 28.46

DigitalOcean Holdings Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
ROC (Joel Greenblatt) % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 26.12 23.86 49.07 19.56 14.18

MEX:DOCN vs RBRK, GEN, TOST: ROC (Joel Greenblatt) % Comparison

For the Software - Infrastructure subindustry, DigitalOcean Holdings's ROC (Joel Greenblatt) %, along with its competitors' market caps and ROC (Joel Greenblatt) % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


DigitalOcean Holdings ROC (Joel Greenblatt) % vs Software Industry

For the Software industry and Technology sector, DigitalOcean Holdings's ROC (Joel Greenblatt) % distribution charts can be found below:

* The bar in red indicates where DigitalOcean Holdings's ROC (Joel Greenblatt) % falls into.


MEX:DOCN
50GF Score
DigitalOcean Holdings Inc MEX:DOCN
ROC (Joel Greenblatt) % is just one metric. See GF Score™, valuation, warning signs, and more.
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DigitalOcean Holdings ROC (Joel Greenblatt) % Calculation

Joel Greenblatt defined Return on Capital differently in his book The Little Book That Still Beats the Market (Little Books. Big Profits) . He defines Return on Capital as follows:

ROC (Joel Greenblatt) %=EBIT/Average of (Net fixed Assets + Net Working Capital)

EBIT stands for Earnings Before Interest and Taxes.

Fixed Assets are also known as non-current assets. They include the Property, Plant and Equipment that the firm needs in its operation.

GuruFocus calculates net working capital as: (Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Deferred Revenue + Other Current Liabilities). We're trying to account for OPERATING assets and liabilities (part of daily business) when calculating working capital. Cash and marketable securities are considered NON-OPERATING assets and are not included in calculation. We will also back out all interest bearing debt, short term debt and the portion of long term debt that is due in the current period from the current liabilities. This debt will be considered when computing cost of capital and it would be inappropriate to count it twice.

Working Capital(Q: Dec. 2025 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(1636.862 + 0 + 966.258) - (2503.657 + 105.91 + 179.642)
=-186.089

Working Capital(Q: Mar. 2026 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(1901.656 + 0 + 1757.665) - (1594.451 + 113.299 + 1300.627)
=650.944

When net working capital is negative, 0 is used.

So ROC (Joel Greenblatt) % of DigitalOcean Holdings for the quarter that ended in Mar. 2026 can be restated as:

ROC (Joel Greenblatt) %(Q: Mar. 2026 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Dec. 2025  Q: Mar. 2026
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=2528.112/( ( (15483.966 + max(-186.089, 0)) + (19517.891 + max(650.944, 0)) )/ 2 )
=2528.112/( ( 15483.966 + 20168.835 )/ 2 )
=2528.112/17826.4005
=14.18 %

Note: The EBIT data used here is four times the quarterly (Mar. 2026) EBIT data.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

What does a ROC (Joel Greenblatt) % of 14.18% mean?
DigitalOcean Holdings (MEX:DOCN) has a ROC (Joel Greenblatt) % of 14.18% as of Mar. 2026. Joel Greenblatt's return on capital is the ratio of EBIT to average fixed assets and net working capital. View historical data on DigitalOcean Holdings and its competitors. According to the industry distribution chart, DigitalOcean Holdings ranks #1329 out of 2807 companies in the Software industry, placing it in the top 47.3%.
Is DigitalOcean Holdings' ROC (Joel Greenblatt) % too high?
DigitalOcean Holdings' current ROC (Joel Greenblatt) % is 14.18%. The Software industry median ROC (Joel Greenblatt) % is 19.99. DigitalOcean Holdings' value of 14.18% is 29.1% below this industry median. Based on the distribution chart, DigitalOcean Holdings ranks #1329 out of 2807 companies in the Software industry, which is above the industry midpoint. Overall, DigitalOcean Holdings has a GF Score™ of 50/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does DigitalOcean Holdings' ROC (Joel Greenblatt) % compare to RBRK and GEN?
According to the Software industry distribution chart, DigitalOcean Holdings ranks #1329 out of 2807 companies for ROC (Joel Greenblatt) %. This puts DigitalOcean Holdings in the upper half of its industry. The industry median ROC (Joel Greenblatt) % is 19.99. DigitalOcean Holdings' value of 14.18% is 29.1% below this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROC (Joel Greenblatt) % for a Software company?
The median ROC (Joel Greenblatt) % among Software companies is 19.99, based on 2,807 companies in the industry. Companies in the top quartile (top 25%) have a ROC (Joel Greenblatt) % significantly above this median, while those in the bottom quartile fall well below. However, ROC (Joel Greenblatt) % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. DigitalOcean Holdings's current ROC (Joel Greenblatt) % of 14.18% is 29.1% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROC (Joel Greenblatt) % mean?
A high ROC (Joel Greenblatt) % can signal that a stock is expensive relative to its fundamentals. Joel Greenblatt's return on capital is the ratio of EBIT to average fixed assets and net working capital. View historical data on DigitalOcean Holdings and its competitors. For the Software industry, the median ROC (Joel Greenblatt) % is 19.99 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. DigitalOcean Holdings's current ROC (Joel Greenblatt) % is 14.18%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is DigitalOcean Holdings stock overvalued right now?
Based on GuruFocus' analysis, DigitalOcean Holdings (MEX:DOCN) is currently considered Significantly Overvalued. The stock's GF Value™ is MXN848.06, compared to a current price of MXN2,921.92 — trading 244.5% above its estimated fair value. The current ROC (Joel Greenblatt) % is 14.18% and 29.1% below the Software industry median of 19.99. DigitalOcean Holdings' overall GF Score™ is 50/100 with 10 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROC (Joel Greenblatt) % calculated?
ROC (Joel Greenblatt) % is calculated from a company's financial statements. For DigitalOcean Holdings (MEX:DOCN), the current ROC (Joel Greenblatt) % is 14.18% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is DigitalOcean Holdings (MEX:DOCN) Overvalued in 2026?

Based on GuruFocus' analysis, DigitalOcean Holdings stock appears to be overvalued. The current stock price of MXN2,921.92 is trading 244.5% above its estimated GF Value™ of MXN848.06. GuruFocus considers DigitalOcean Holdings to be Significantly Overvalued.

Key valuation signals for MEX:DOCN:

  • ROC (Joel Greenblatt) %: 14.18%
  • GF Value™: MXN848.06 vs. price of MXN2,921.92 (244.5% above fair value)
  • GF Score™: 50/100 with 10 warning signs
  • Industry Position: 29.1% below the Software median (#1329 of 2807)

No single metric tells the full story. See the MEX:DOCN stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


DigitalOcean Holdings Business Description

Other Exchanges DOCN:USA0SU:Germany
Address 105 Edgeview Drive, Suite 425, Broomfield, CO, USA, 80021
DigitalOcean Holdings Inc is a cloud computing platform offering on-demand infrastructure and platform tools for developers, start-ups, and small and medium-sized businesses. The customers use the platform for a wide range of cases, such as web and mobile applications, website hosting, e-commerce, media and gaming, personal web projects, and managed services, among many others. Geographically, the company generates maximum revenue from North America and also has a presence in Europe, Asia, and the Rest of the world.
50GF Score

Get the complete analysis for MEX:DOCN

ROC (Joel Greenblatt) % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

MXN2,921.92
Price
MXN848.06
GF Value