Docusign (NASDAQ:DOCU) Posts Quarterly Earnings Results, Beats Estimates By $0.09 EPS

Docusign (NASDAQ:DOCU) posted its quarterly earnings data on Thursday. The company reported $1.09 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.00 by $0.09, FiscalAI reports. The business had revenue of $830.24 million during the quarter, compared to analysts’ expectations of $824.71 million. Docusign had a net margin of 9.60% and a return on equity of 16.86%.

Docusign Trading Down 2.8%

DOCU stock traded down $1.46 during midday trading on Thursday, reaching $50.94. The company had a trading volume of 6,638,406 shares, compared to its average volume of 4,332,681. Docusign has a 1 year low of $40.16 and a 1 year high of $94.67. The company has a market capitalization of $9.90 billion, a P/E ratio of 34.42, a PEG ratio of 2.10 and a beta of 0.92. The company has a 50 day moving average of $47.64 and a two-hundred day moving average of $54.33.

Insider Buying and Selling

In related news, CEO Allan C. Thygesen sold 26,250 shares of Docusign stock in a transaction on Wednesday, April 1st. The shares were sold at an average price of $47.78, for a total value of $1,254,225.00. Following the transaction, the chief executive officer owned 152,237 shares in the company, valued at $7,273,883.86. This trade represents a 14.71% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Mary Agnes Wilderotter sold 3,000 shares of Docusign stock in a transaction on Wednesday, April 1st. The stock was sold at an average price of $48.15, for a total transaction of $144,450.00. Following the completion of the transaction, the director owned 59,803 shares in the company, valued at $2,879,514.45. This trade represents a 4.78% decrease in their position. The SEC filing for this sale provides additional information. Over the last quarter, insiders have sold 65,126 shares of company stock worth $3,107,875. Insiders own 0.59% of the company’s stock.

Institutional Trading of Docusign

Several hedge funds and other institutional investors have recently bought and sold shares of the stock. State Street Corp grew its position in Docusign by 0.9% in the 4th quarter. State Street Corp now owns 8,193,805 shares of the company’s stock worth $560,456,000 after purchasing an additional 77,008 shares during the last quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC boosted its position in shares of Docusign by 8.1% during the 4th quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 3,343,613 shares of the company’s stock valued at $228,703,000 after acquiring an additional 251,639 shares in the last quarter. Invesco Ltd. boosted its position in shares of Docusign by 4.5% during the 3rd quarter. Invesco Ltd. now owns 2,690,121 shares of the company’s stock valued at $193,931,000 after acquiring an additional 116,047 shares in the last quarter. Northern Trust Corp boosted its position in shares of Docusign by 2.0% during the 3rd quarter. Northern Trust Corp now owns 1,994,004 shares of the company’s stock valued at $143,748,000 after acquiring an additional 39,140 shares in the last quarter. Finally, Wellington Management Group LLP boosted its position in shares of Docusign by 0.5% during the 3rd quarter. Wellington Management Group LLP now owns 1,860,347 shares of the company’s stock valued at $134,112,000 after acquiring an additional 9,861 shares in the last quarter. 77.64% of the stock is currently owned by institutional investors and hedge funds.

Wall Street Analysts Forecast Growth

Several equities research analysts recently commented on DOCU shares. HSBC set a $53.00 price target on shares of Docusign in a research report on Friday, February 13th. Robert W. Baird reduced their price target on shares of Docusign from $75.00 to $55.00 and set a “neutral” rating for the company in a research report on Wednesday, March 18th. Weiss Ratings downgraded shares of Docusign from a “hold (c-)” rating to a “sell (d+)” rating in a research report on Wednesday, April 15th. Bank of America started coverage on shares of Docusign in a research report on Tuesday, March 31st. They issued an “underperform” rating and a $52.00 target price for the company. Finally, Wells Fargo & Company cut their target price on shares of Docusign from $75.00 to $60.00 and set an “equal weight” rating for the company in a research report on Wednesday, March 18th. Three research analysts have rated the stock with a Buy rating, fourteen have issued a Hold rating and two have given a Sell rating to the company’s stock. Based on data from MarketBeat, the stock has a consensus rating of “Hold” and an average target price of $61.40.

Docusign announced that its board has initiated a share repurchase program on Tuesday, March 17th that authorizes the company to repurchase $2.00 billion in shares. This repurchase authorization authorizes the company to buy up to 21% of its stock through open market purchases. Stock repurchase programs are often an indication that the company’s leadership believes its shares are undervalued.

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.