Docusign (NASDAQ:DOCU) Cut to Buy at Wall Street Zen

Wall Street Zen downgraded shares of Docusign (NASDAQ:DOCU) from a strong-buy rating to a buy rating in a research note published on Sunday morning.

A number of other brokerages have also recently commented on DOCU. Wells Fargo & Company dropped their price objective on shares of Docusign from $60.00 to $55.00 and set an “equal weight” rating for the company in a research note on Friday, June 5th. Needham & Company LLC restated a “hold” rating on shares of Docusign in a research report on Friday, June 5th. Wedbush lowered their price target on shares of Docusign from $60.00 to $58.00 and set a “neutral” rating for the company in a report on Friday, June 5th. Jefferies Financial Group increased their price target on shares of Docusign from $45.00 to $50.00 and gave the company a “hold” rating in a report on Friday, June 5th. Finally, BTIG Research reduced their price objective on Docusign from $70.00 to $60.00 and set a “buy” rating on the stock in a research note on Friday, June 5th. Three investment analysts have rated the stock with a Buy rating, fifteen have given a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat, the company currently has an average rating of “Hold” and an average target price of $60.27.

Docusign Price Performance

Shares of DOCU opened at $57.54 on Friday. The stock has a market capitalization of $10.99 billion, a price-to-earnings ratio of 37.36, a price-to-earnings-growth ratio of 1.63 and a beta of 0.87. Docusign has a 1 year low of $40.16 and a 1 year high of $86.65. The business’s 50 day simple moving average is $48.70 and its 200-day simple moving average is $48.22.

Docusign (NASDAQ:DOCU) last posted its earnings results on Thursday, June 4th. The company reported $1.09 earnings per share for the quarter, beating analysts’ consensus estimates of $0.99 by $0.10. Docusign had a net margin of 9.59% and a return on equity of 17.48%. The firm had revenue of $830.24 million during the quarter, compared to analyst estimates of $824.71 million. During the same period last year, the firm posted $0.90 earnings per share. Docusign’s revenue for the quarter was up 8.7% compared to the same quarter last year. On average, sell-side analysts expect that Docusign will post 2.03 earnings per share for the current year.

Insider Activity at Docusign

In other Docusign news, CEO Allan C. Thygesen sold 26,250 shares of the firm’s stock in a transaction dated Wednesday, July 1st. The shares were sold at an average price of $46.02, for a total value of $1,208,025.00. Following the completion of the sale, the chief executive officer owned 159,038 shares of the company’s stock, valued at $7,318,928.76. This trade represents a 14.17% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CRO Paula Hansen sold 6,000 shares of the business’s stock in a transaction that occurred on Wednesday, July 1st. The shares were sold at an average price of $45.54, for a total value of $273,240.00. Following the transaction, the executive owned 89,972 shares of the company’s stock, valued at $4,097,324.88. This trade represents a 6.25% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 76,695 shares of company stock worth $3,476,002 in the last three months. 0.59% of the stock is owned by insiders.

Institutional Investors Weigh In On Docusign

Several hedge funds and other institutional investors have recently modified their holdings of DOCU. Modus Advisors LLC purchased a new position in Docusign during the 4th quarter valued at $27,000. Torren Management LLC purchased a new stake in Docusign in the fourth quarter worth $28,000. Cary Street Partners Investment Advisory LLC increased its stake in Docusign by 309.5% in the fourth quarter. Cary Street Partners Investment Advisory LLC now owns 561 shares of the company’s stock worth $38,000 after purchasing an additional 424 shares during the period. Basepoint Wealth LLC bought a new stake in shares of Docusign during the fourth quarter worth $39,000. Finally, WealthCollab LLC lifted its position in shares of Docusign by 372.4% during the first quarter. WealthCollab LLC now owns 855 shares of the company’s stock worth $41,000 after purchasing an additional 674 shares during the last quarter. 77.64% of the stock is currently owned by hedge funds and other institutional investors.

Docusign Company Profile

DocuSign, Inc (NASDAQ: DOCU) is a leading provider of electronic signature and digital transaction management solutions. The company’s flagship offering, DocuSign eSignature, enables organizations to send, sign and manage legally binding electronic agreements securely in the cloud. Beyond eSignature, DocuSign’s Agreement Cloud combines contract lifecycle management, document generation, and workflow automation to streamline agreement processes from initiation through execution and storage.

DocuSign’s platform serves a diverse customer base spanning industries such as finance, real estate, healthcare, technology, and government.