We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
DocuSign (DOCU) Gains As Market Dips: What You Should Know
Read MoreHide Full Article
In the latest trading session, DocuSign (DOCU - Free Report) closed at $46.66, marking a +0.24% move from the previous day. This move outpaced the S&P 500's daily loss of 0.8%. Meanwhile, the Dow lost 0.3%, and the Nasdaq, a tech-heavy index, lost 0.03%.
Prior to today's trading, shares of the provider of electronic signature technology had lost 14.74% over the past month. This has lagged the Business Services sector's loss of 8.94% and the S&P 500's loss of 5.13% in that time.
Wall Street will be looking for positivity from DocuSign as it approaches its next earnings report date. In that report, analysts expect DocuSign to post earnings of $0.41 per share. This would mark a year-over-year decline of 29.31%. Meanwhile, our latest consensus estimate is calling for revenue of $626.04 million, up 14.77% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $1.63 per share and revenue of $2.48 billion, which would represent changes of -17.68% and +17.54%, respectively, from the prior year.
Any recent changes to analyst estimates for DocuSign should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate has moved 2.99% higher within the past month. DocuSign is holding a Zacks Rank of #3 (Hold) right now.
Digging into valuation, DocuSign currently has a Forward P/E ratio of 28.51. This valuation marks a premium compared to its industry's average Forward P/E of 22.41.
We can also see that DOCU currently has a PEG ratio of 1.06. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Technology Services industry currently had an average PEG ratio of 1.96 as of yesterday's close.
The Technology Services industry is part of the Business Services sector. This industry currently has a Zacks Industry Rank of 128, which puts it in the top 50% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
DocuSign (DOCU) Gains As Market Dips: What You Should Know
In the latest trading session, DocuSign (DOCU - Free Report) closed at $46.66, marking a +0.24% move from the previous day. This move outpaced the S&P 500's daily loss of 0.8%. Meanwhile, the Dow lost 0.3%, and the Nasdaq, a tech-heavy index, lost 0.03%.
Prior to today's trading, shares of the provider of electronic signature technology had lost 14.74% over the past month. This has lagged the Business Services sector's loss of 8.94% and the S&P 500's loss of 5.13% in that time.
Wall Street will be looking for positivity from DocuSign as it approaches its next earnings report date. In that report, analysts expect DocuSign to post earnings of $0.41 per share. This would mark a year-over-year decline of 29.31%. Meanwhile, our latest consensus estimate is calling for revenue of $626.04 million, up 14.77% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $1.63 per share and revenue of $2.48 billion, which would represent changes of -17.68% and +17.54%, respectively, from the prior year.
Any recent changes to analyst estimates for DocuSign should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate has moved 2.99% higher within the past month. DocuSign is holding a Zacks Rank of #3 (Hold) right now.
Digging into valuation, DocuSign currently has a Forward P/E ratio of 28.51. This valuation marks a premium compared to its industry's average Forward P/E of 22.41.
We can also see that DOCU currently has a PEG ratio of 1.06. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Technology Services industry currently had an average PEG ratio of 1.96 as of yesterday's close.
The Technology Services industry is part of the Business Services sector. This industry currently has a Zacks Industry Rank of 128, which puts it in the top 50% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.