Zacks Research Has Positive Outlook for Docusign Q4 Earnings

Docusign Inc. (NASDAQ:DOCU) – Analysts at Zacks Research increased their Q4 2027 EPS estimates for shares of Docusign in a report issued on Thursday, June 25th. Zacks Research analyst Team now anticipates that the company will post earnings of $0.46 per share for the quarter, up from their previous estimate of $0.45. The consensus estimate for Docusign’s current full-year earnings is $1.97 per share.

Docusign (NASDAQ:DOCU) last issued its quarterly earnings results on Thursday, June 4th. The company reported $1.09 EPS for the quarter, topping the consensus estimate 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 for the quarter, compared to analysts’ expectations of $824.71 million. During the same period in the previous year, the firm posted $0.90 EPS. The company’s revenue for the quarter was up 8.7% on a year-over-year basis.

Other research analysts have also recently issued reports about the company. Citizens Jmp reduced their price target on Docusign from $124.00 to $86.00 and set a “market outperform” rating for the company in a research report on Wednesday, March 18th. Citigroup boosted their price target on Docusign from $50.00 to $54.00 and gave the stock a “neutral” rating in a research report on Friday, June 5th. Bank of America assumed coverage on Docusign in a report on Tuesday, March 31st. They issued an “underperform” rating and a $52.00 price objective for the company. JPMorgan Chase & Co. decreased their target price on shares of Docusign from $78.00 to $65.00 and set a “neutral” rating for the company in a research note on Wednesday, March 18th. Finally, UBS Group set a $60.00 price target on shares of Docusign in a research report on Friday, June 5th. Three research analysts have rated the stock with a Buy rating, fourteen have assigned a Hold rating and two have issued a Sell rating to the company. Based on data from MarketBeat.com, the stock has a consensus rating of “Hold” and a consensus target price of $60.27.

Docusign Stock Performance

NASDAQ:DOCU opened at $45.31 on Monday. The stock’s 50-day simple moving average is $47.01 and its 200 day simple moving average is $51.62. The company has a market cap of $8.65 billion, a P/E ratio of 29.43, a P/E/G ratio of 1.37 and a beta of 0.92. Docusign has a 52-week low of $40.16 and a 52-week high of $86.65.

Institutional Investors Weigh In On Docusign

Several hedge funds have recently added to or reduced their stakes in DOCU. EverSource Wealth Advisors LLC increased its holdings in shares of Docusign by 15.1% in the third quarter. EverSource Wealth Advisors LLC now owns 1,229 shares of the company’s stock valued at $89,000 after purchasing an additional 161 shares during the last quarter. Smartleaf Asset Management LLC lifted its stake in shares of Docusign by 8.2% during the 2nd quarter. Smartleaf Asset Management LLC now owns 2,169 shares of the company’s stock worth $166,000 after buying an additional 165 shares during the last quarter. Centaurus Financial Inc. boosted its holdings in shares of Docusign by 3.4% during the 3rd quarter. Centaurus Financial Inc. now owns 5,582 shares of the company’s stock worth $402,000 after buying an additional 184 shares during the period. Clearstead Advisors LLC boosted its holdings in shares of Docusign by 12.1% during the 3rd quarter. Clearstead Advisors LLC now owns 1,872 shares of the company’s stock worth $135,000 after buying an additional 202 shares during the period. Finally, Tred Avon Family Wealth LLC grew its stake in Docusign by 3.6% in the 1st quarter. Tred Avon Family Wealth LLC now owns 6,176 shares of the company’s stock valued at $293,000 after buying an additional 215 shares during the last quarter. Institutional investors and hedge funds own 77.64% of the company’s stock.

Insider Transactions at Docusign

In other news, CEO Allan C. Thygesen sold 26,250 shares of Docusign stock in a transaction that occurred on Wednesday, April 1st. The stock was sold at an average price of $47.78, for a total transaction of $1,254,225.00. Following the completion of the transaction, the chief executive officer directly owned 152,237 shares in the company, valued at approximately $7,273,883.86. The trade was a 14.71% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed 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 the business’s stock in a transaction that occurred on Wednesday, April 1st. The stock was sold at an average price of $48.15, for a total value of $144,450.00. Following the transaction, the director directly owned 59,803 shares in the company, valued at $2,879,514.45. The trade was a 4.78% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last ninety days, insiders have sold 64,695 shares of company stock valued at $3,006,682. Company insiders own 0.59% of the company’s stock.

Docusign declared that its board has authorized a stock buyback plan on Tuesday, March 17th that authorizes the company to repurchase $2.00 billion in outstanding shares. This repurchase authorization authorizes the company to repurchase up to 21% of its shares through open market purchases. Shares repurchase plans are generally an indication that the company’s leadership believes its shares are undervalued.

About Docusign

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.