Bank of America Begins Coverage on Docusign (NASDAQ:DOCU)

Equities research analysts at Bank of America began coverage on shares of Docusign (NASDAQ:DOCU) in a report released on Tuesday, MarketBeat.com reports. The brokerage set an “underperform” rating and a $52.00 price target on the stock. Bank of America‘s price objective points to a potential upside of 7.95% from the stock’s previous close.

Other research analysts also recently issued research reports about the company. Needham & Company LLC restated a “hold” rating on shares of Docusign in a research note on Tuesday, March 10th. Citigroup cut their price target on Docusign from $120.00 to $99.00 and set a “buy” rating for the company in a research note on Wednesday, March 18th. Royal Bank Of Canada reduced their price target on Docusign from $70.00 to $55.00 and set a “sector perform” rating for the company in a report on Wednesday, March 18th. JPMorgan Chase & Co. lowered their price target on Docusign from $78.00 to $65.00 and set a “neutral” rating for the company in a research note on Wednesday, March 18th. Finally, Piper Sandler dropped their price objective on Docusign from $75.00 to $52.00 and set a “neutral” rating on the stock in a report on Wednesday, March 18th. Five equities research analysts have rated the stock with a Buy rating, fifteen have given a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat, the stock currently has a consensus rating of “Hold” and an average target price of $64.67.

Docusign Stock Up 1.6%

DOCU stock opened at $48.17 on Tuesday. The company has a 50 day moving average of $47.77 and a two-hundred day moving average of $62.17. The company has a market cap of $9.37 billion, a price-to-earnings ratio of 32.55, a PEG ratio of 1.93 and a beta of 0.99. Docusign has a 12-month low of $40.16 and a 12-month high of $94.67.

Docusign (NASDAQ:DOCU) last posted its quarterly earnings results on Tuesday, March 17th. The company reported $1.01 EPS for the quarter, beating the consensus estimate of $0.95 by $0.06. Docusign had a net margin of 9.60% and a return on equity of 16.86%. The business had revenue of $836.86 million for the quarter, compared to analysts’ expectations of $828.23 million. During the same period in the previous year, the company posted $0.86 EPS. Docusign’s revenue was up 7.8% on a year-over-year basis. On average, research analysts anticipate that Docusign will post 1.17 EPS for the current year.

Docusign declared that its board has approved a stock buyback program on Tuesday, March 17th that allows the company to buyback $2.00 billion in outstanding shares. This buyback authorization allows the company to repurchase up to 21% of its shares through open market purchases. Shares buyback programs are typically a sign that the company’s board of directors believes its stock is undervalued.

Insider Activity at Docusign

In other news, insider James P. Shaughnessy sold 12,000 shares of the company’s stock in a transaction dated Friday, January 2nd. The stock was sold at an average price of $67.03, for a total transaction of $804,360.00. Following the completion of the sale, the insider owned 54,550 shares in the company, valued at approximately $3,656,486.50. This represents a 18.03% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, CEO Allan C. Thygesen sold 26,250 shares of the stock in a transaction dated Friday, January 9th. The shares were sold at an average price of $69.60, for a total value of $1,827,000.00. Following the transaction, the chief executive officer directly owned 142,261 shares in the company, valued at approximately $9,901,365.60. This represents a 15.58% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last quarter, insiders sold 68,173 shares of company stock valued at $4,324,684. Insiders own 1.01% of the company’s stock.

Institutional Investors Weigh In On Docusign

Several institutional investors and hedge funds have recently added to or reduced their stakes in DOCU. Vanguard Group Inc. grew its holdings in Docusign by 1.1% during the third quarter. Vanguard Group Inc. now owns 21,625,551 shares of the company’s stock valued at $1,558,986,000 after purchasing an additional 225,525 shares during the last quarter. State Street Corp lifted its stake in shares of Docusign by 0.9% in the fourth quarter. State Street Corp now owns 8,193,805 shares of the company’s stock worth $560,456,000 after buying an additional 77,008 shares during the last quarter. Capital World Investors lifted its stake in shares of Docusign by 38.1% in the fourth quarter. Capital World Investors now owns 5,815,804 shares of the company’s stock worth $397,801,000 after buying an additional 1,603,900 shares during the last quarter. Geode Capital Management LLC boosted its holdings in shares of Docusign by 0.5% during the 4th quarter. Geode Capital Management LLC now owns 4,084,463 shares of the company’s stock worth $278,665,000 after buying an additional 18,873 shares during the period. Finally, UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC grew its stake in Docusign by 8.1% in 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 buying an additional 251,639 shares during the last quarter. 77.64% of the stock is currently owned by institutional investors and hedge funds.

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.