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DocuSign (DOCU) Outpaces Stock Market Gains: What You Should Know
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DocuSign (DOCU - Free Report) ended the recent trading session at $46.22, demonstrating a +2.67% change from the preceding day's closing price. The stock exceeded the S&P 500, which registered a gain of 0.8% for the day. At the same time, the Dow lost 0.16%, and the tech-heavy Nasdaq gained 1.63%.
Shares of the provider of electronic signature technology have depreciated by 4.58% over the course of the past month, underperforming the Computer and Technology sector's gain of 12.05%, and the S&P 500's gain of 8.11%.
Market participants will be closely following the financial results of DocuSign in its upcoming release. In that report, analysts expect DocuSign to post earnings of $1 per share. This would mark year-over-year growth of 11.11%. At the same time, our most recent consensus estimate is projecting a revenue of $824.75 million, reflecting a 8% rise from the equivalent quarter last year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $4.43 per share and revenue of $3.49 billion, indicating changes of +15.36% and +8.39%, respectively, compared to the previous year.
Investors should also take note of any recent adjustments to analyst estimates for DocuSign. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
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. Over the past month, there's been a 2.11% rise in the Zacks Consensus EPS estimate. DocuSign is currently sporting a Zacks Rank of #3 (Hold).
From a valuation perspective, DocuSign is currently exchanging hands at a Forward P/E ratio of 10.15. This represents a discount compared to its industry average Forward P/E of 18.57.
Investors should also note that DOCU has a PEG ratio of 0.68 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Internet - Software industry currently had an average PEG ratio of 1.08 as of yesterday's close.
The Internet - Software industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 88, putting it in the top 37% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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 use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
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DocuSign (DOCU) Outpaces Stock Market Gains: What You Should Know
DocuSign (DOCU - Free Report) ended the recent trading session at $46.22, demonstrating a +2.67% change from the preceding day's closing price. The stock exceeded the S&P 500, which registered a gain of 0.8% for the day. At the same time, the Dow lost 0.16%, and the tech-heavy Nasdaq gained 1.63%.
Shares of the provider of electronic signature technology have depreciated by 4.58% over the course of the past month, underperforming the Computer and Technology sector's gain of 12.05%, and the S&P 500's gain of 8.11%.
Market participants will be closely following the financial results of DocuSign in its upcoming release. In that report, analysts expect DocuSign to post earnings of $1 per share. This would mark year-over-year growth of 11.11%. At the same time, our most recent consensus estimate is projecting a revenue of $824.75 million, reflecting a 8% rise from the equivalent quarter last year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $4.43 per share and revenue of $3.49 billion, indicating changes of +15.36% and +8.39%, respectively, compared to the previous year.
Investors should also take note of any recent adjustments to analyst estimates for DocuSign. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
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. Over the past month, there's been a 2.11% rise in the Zacks Consensus EPS estimate. DocuSign is currently sporting a Zacks Rank of #3 (Hold).
From a valuation perspective, DocuSign is currently exchanging hands at a Forward P/E ratio of 10.15. This represents a discount compared to its industry average Forward P/E of 18.57.
Investors should also note that DOCU has a PEG ratio of 0.68 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Internet - Software industry currently had an average PEG ratio of 1.08 as of yesterday's close.
The Internet - Software industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 88, putting it in the top 37% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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 use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.