DigitalOcean (DOCN) is experiencing tailwinds from its focus on small and medium-sized businesses (SMBs) and a push into AI infrastructure. The stock, trading at $77.71, up 5.80% today, reflects investor confidence in its strategy. The company reported $120 million in AI customer Annual Recurring Revenue (ARR) in Q4 2025, representing 150% year-over-year growth, with over 70% of this AI revenue from inference services and core cloud products. Management forecasts overall revenue growth of 21% in 2026, followed by 30% in 2027. DigitalOcean recently announced plans to raise $800 million to fund additional data center infrastructure to support demand.