#2 - DocuSign, Inc. (NASDAQ:DOCU)
DocuSign, Inc. (NASDAQ:DOCU) was unquestionably a winning stock during the pandemic. The company that is known for remote, electronic signatures added subscribers at a healthy clip as business couldn’t be conducted in person. Investors who owned DOCU stock at the onset of the pandemic were rewarded with an impressive gain of over 290%.
But the stock has lost all of those gains and then some. The issue is that growth is slowing. DocuSign is projecting 18% revenue growth for the year. That is putting the company in an unenviable position of seeing revenue increasing, but earnings per share falling. And those losses are widening.
The new CEO is already enacting cost-cutting measures. And as long as subscribers don’t leave the platform, there may be an opportunity for DocuSign to recover at some point. But with a hefty debt-to-equity ratio that the company has to manage in the face of higher interest rates, that recovery may be delayed.
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.
Read More - Current Price
- $80.15
- Consensus Rating
- Hold
- Ratings Breakdown
- 2 Buy Ratings, 7 Hold Ratings, 2 Sell Ratings.
- Consensus Price Target
- $63.40 (20.9% Downside)
