DigitalOcean Holdings (NYSE: DOCN) may not be a popular name in the cloud computing space when compared to the likes of and Amazon, and that's not surprising as it is currently in its early phases of growth.

Founded in 2012, DigitalOcean isn't a cloud service provider in the mold of its more illustrious peers. The company is known for providing an on-demand cloud computing platform that's used by small businesses, developers, and start-ups, and it has been struggling in the past year because of weak cloud spending. This explains why DigitalOcean stock has gained just 15% in the past year, which is well below the Nasdaq Composite index's 42% gains.

However, a closer look at the company's prospects and its attractive valuation suggests that it could indeed step on the gas in the future. Let's see why that may be the case.

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Source Fool.com