DocuSign, Inc. (NASDAQ:DOCU) Receives Average Rating of “Hold” from Brokerages

DocuSign, Inc. (NASDAQ:DOCU) has been given a consensus recommendation of “Hold” by the sixteen ratings firms that are currently covering the firm, Marketbeat.com reports. Twelve investment analysts have rated the stock with a hold rating and four have given a buy rating to the company. The average 12-month target price among analysts that have updated their coverage on the stock in the last year is $89.77.

Several equities analysts have recently commented on the company. Royal Bank of Canada reiterated a “sector perform” rating and set a $90.00 target price on shares of DocuSign in a research note on Friday, March 14th. JPMorgan Chase & Co. reduced their price objective on shares of DocuSign from $81.00 to $77.00 and set a “neutral” rating on the stock in a research note on Friday, June 6th. Wells Fargo & Company raised shares of DocuSign from an “underweight” rating to an “equal weight” rating and raised their price objective for the stock from $67.00 to $80.00 in a report on Friday. Bank of America dropped their target price on shares of DocuSign from $88.00 to $85.00 and set a “neutral” rating for the company in a research report on Friday, June 6th. Finally, Hsbc Global Res raised shares of DocuSign from a “moderate sell” rating to a “hold” rating in a research report on Friday, April 11th.

DocuSign Trading Down 2.6%

Shares of DOCU stock opened at $74.06 on Monday. The firm has a fifty day simple moving average of $82.21 and a 200-day simple moving average of $86.09. The company has a market capitalization of $14.96 billion, a PE ratio of 15.27, a price-to-earnings-growth ratio of 6.94 and a beta of 1.14. DocuSign has a twelve month low of $48.80 and a twelve month high of $107.86.

DocuSign (NASDAQ:DOCU) last announced its earnings results on Thursday, June 5th. The company reported $0.90 earnings per share for the quarter, beating the consensus estimate of $0.81 by $0.09. DocuSign had a return on equity of 14.90% and a net margin of 34.73%. The company had revenue of $763.65 million during the quarter, compared to the consensus estimate of $748.79 million. During the same period last year, the firm earned $0.82 earnings per share. The company’s revenue was up 7.6% on a year-over-year basis. Equities research analysts predict that DocuSign will post 1.17 EPS for the current year.

DocuSign declared that its Board of Directors has approved a share buyback program on Thursday, June 5th that authorizes the company to buyback $1.00 billion in shares. This buyback authorization authorizes the company to repurchase up to 6.6% of its stock through open market purchases. Stock buyback programs are generally an indication that the company’s board of directors believes its shares are undervalued.

Insiders Place Their Bets

In other DocuSign news, CFO Blake Jeffrey Grayson sold 16,111 shares of the business’s stock in a transaction dated Wednesday, March 19th. The shares were sold at an average price of $83.20, for a total transaction of $1,340,435.20. Following the completion of the transaction, the chief financial officer now directly owns 93,960 shares of the company’s stock, valued at $7,817,472. The trade was a 14.64% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, insider Robert Chatwani sold 15,706 shares of the company’s stock in a transaction dated Wednesday, March 19th. The stock was sold at an average price of $83.19, for a total transaction of $1,306,582.14. Following the completion of the transaction, the insider now owns 76,842 shares of the company’s stock, valued at approximately $6,392,485.98. This trade represents a 16.97% decrease in their position. The disclosure for this sale can be found here. Insiders have sold 47,317 shares of company stock valued at $3,865,562 over the last three months. Company insiders own 1.01% of the company’s stock.

Institutional Investors Weigh In On DocuSign

A number of hedge funds have recently made changes to their positions in DOCU. Palogic Value Management L.P. raised its stake in DocuSign by 2.2% during the 1st quarter. Palogic Value Management L.P. now owns 5,438 shares of the company’s stock valued at $443,000 after acquiring an additional 117 shares in the last quarter. Wealthspire Advisors LLC grew its stake in shares of DocuSign by 1.9% in the first quarter. Wealthspire Advisors LLC now owns 6,579 shares of the company’s stock worth $536,000 after purchasing an additional 122 shares in the last quarter. Foundry Partners LLC increased its holdings in shares of DocuSign by 1.5% during the first quarter. Foundry Partners LLC now owns 8,491 shares of the company’s stock valued at $691,000 after purchasing an additional 125 shares during the period. Bessemer Group Inc. raised its stake in shares of DocuSign by 27.5% during the first quarter. Bessemer Group Inc. now owns 602 shares of the company’s stock valued at $49,000 after purchasing an additional 130 shares in the last quarter. Finally, Citizens Financial Group Inc. RI raised its stake in shares of DocuSign by 2.3% during the fourth quarter. Citizens Financial Group Inc. RI now owns 5,990 shares of the company’s stock valued at $539,000 after purchasing an additional 133 shares in the last quarter. Institutional investors own 77.64% of the company’s stock.

About DocuSign

DocuSign, Inc provides electronic signature solution in the United States and internationally. The company provides e-signature solution that enables sending and signing of agreements on various devices; Contract Lifecycle Management (CLM), which automates workflows across the entire agreement process; Document Generation streamlines the process of generating new, custom agreements; and Gen for Salesforce, which allows sales representatives to automatically generate agreements with a few clicks from within Salesforce.