DigitalOcean HoldingsMEX:DOCN 50 3-Year ROIIC % is 19.19 as of Dec. 2025, which is 141% above its 10-year median of 7.95. 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 2,634 Software companies, DigitalOcean Holdings ranks better than 67.01% on this metric.
3-Year Return on Invested Incremental Capital (3-Year ROIIC %) measures the change in earnings as a percentage of change in investment over 3-year.
DigitalOcean Holdings's 3-Year ROIIC % for the quarter that ended in Dec. 2025 was 19.19%. High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.
The industry rank for DigitalOcean Holdings's 3-Year ROIIC % or its related term are showing as below:
MEX:DOCN's 3-Year ROIIC % is ranked better than 67.01% of 2634
companies
in the Software industry
Industry Median: 5.39
vs MEX:DOCN: 19.19
Return on Incremental Invested Capital (ROIIC) is an extension of Return on Investment Capital (ROIC). ROIC % tells investors how efficiently that profitability is earned per dollar of company capital. ROIIC narrows the focus even further and shows how profitable each additional unit of capital investment could be. ROIIC % is a more powerful metric than ROIC because it measures how much money the company can generate going forward on future capital investments.
High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.
Be Aware
It's important to keep in mind that when tracking ROIIC, the metric is better suited to forecasting the trend of future returns rather than measuring current return on investment.
DigitalOcean Holdings 3-Year ROIIC % Related Terms
DigitalOcean Holdings 3-Year ROIIC % Historical Data
* Premium members only.
The historical data trend for DigitalOcean Holdings's 3-Year ROIIC % 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.
MEX:DOCN vs RBRK, GEN, TOST: 3-Year ROIIC % Comparison
For the Software - Infrastructure subindustry, DigitalOcean Holdings's 3-Year ROIIC %, along with its competitors' market caps and 3-Year ROIIC % 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 3-Year ROIIC % vs Software Industry
For the Software industry and Technology sector, DigitalOcean Holdings's 3-Year ROIIC % distribution charts can be found below:
* The bar in red indicates where DigitalOcean Holdings's 3-Year ROIIC % falls into.
DigitalOcean Holdings's 3-Year ROIIC % for the quarter that ended in Dec. 2025 is calculated as:
3-Year ROIIC %
=
3-Year Incremental Net Operating Profit After Taxes (NOPAT)**
/
3-Year Incremental Invested Capital**
=
( 2826.697 (Dec. 2025) - -500.989 (Dec. 2022) )
/
( 34051.299 (Dec. 2025) - 18310.311 (Dec. 2022) )
=
3327.686
/
15740.988
=
21.14%***
* 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.
** Annual data of NOPAT and Invested Capital was used to calculate 3-Year ROIIC %.
*** Please be aware that the ROIIC (Return on Invested Capital) calculations are based on company-level data using the primary share class. The calculated data provided is for demonstration purposes and may slightly differ from the results displayed in the title due to potential variations caused by currency exchange rate differences throughout the year.
DigitalOcean Holdings (MEX:DOCN) has a 3-Year ROIIC % of 19.19 as of Dec. 2025. 3-Year ROIIC % measures the change in earnings as a percentage of change in investment over 3-year. View historical data on DigitalOcean Holdings and its competitors. This is 141% above median its historical median of 7.95. Over the past decade, DigitalOcean Holdings' 3-Year ROIIC % has ranged from 0.62 to 19.19. According to the industry distribution chart, DigitalOcean Holdings ranks #869 out of 2634 companies in the Software industry, placing it in the top 33%.
Is DigitalOcean Holdings' 3-Year ROIIC % too high?
DigitalOcean Holdings' current 3-Year ROIIC % of 19.19 is 141% above median its 10-year median of 7.95. Over the past 10 years, this metric has ranged from a low of 0.62 to a high of 19.19. The Software industry median 3-Year ROIIC % is 5.39. DigitalOcean Holdings' value of 19.19 is 256% above this industry median. Based on the distribution chart, DigitalOcean Holdings ranks #869 out of 2634 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' 3-Year ROIIC % compare to RBRK and GEN?
According to the Software industry distribution chart, DigitalOcean Holdings ranks #869 out of 2634 companies for 3-Year ROIIC %. This puts DigitalOcean Holdings in the upper half of its industry. The industry median 3-Year ROIIC % is 5.39. DigitalOcean Holdings' value of 19.19 is 256% above this benchmark. Historically, DigitalOcean Holdings' own 3-Year ROIIC % has ranged from 0.62 to 19.19 over the past decade. While the company's 10-year median is 7.95 vs. the industry median of 5.39, DigitalOcean Holdings has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good 3-Year ROIIC % for a Software company?
The median 3-Year ROIIC % among Software companies is 5.39, based on 2,634 companies in the industry. Companies in the top quartile (top 25%) have a 3-Year ROIIC % significantly above this median, while those in the bottom quartile fall well below. However, 3-Year ROIIC % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. DigitalOcean Holdings's current 3-Year ROIIC % of 19.19 is 256% above 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 3-Year ROIIC % mean?
A high 3-Year ROIIC % can signal that a stock is expensive relative to its fundamentals. 3-Year ROIIC % measures the change in earnings as a percentage of change in investment over 3-year. View historical data on DigitalOcean Holdings and its competitors. For the Software industry, the median 3-Year ROIIC % is 5.39 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. DigitalOcean Holdings's current 3-Year ROIIC % is 19.19, which is 141% above median its own 10-year median of 7.95. 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 3-Year ROIIC % is 19.19, which is 141% above median its 10-year median of 7.95 and 256% above the Software industry median of 5.39. 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 3-Year ROIIC % calculated?
3-Year ROIIC % is calculated from a company's financial statements. For DigitalOcean Holdings (MEX:DOCN), the current 3-Year ROIIC % is 19.19 as of Dec. 2025. 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:
3-Year ROIIC %: 19.19 (141% above median its 10-year median of 7.95)
GF Value™: MXN848.06 vs. price of MXN2,921.92 (244.5% above fair value)
Industry Position: 256% above the Software median (#869 of 2634)
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 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.
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