#3 - Docusign (NASDAQ:DOCU)
Docusign (NASDAQ:DOCU) is another beneficiary of the housing boom. One of the “rites of passage” for home buyers was the endless paperwork. Anyone that has gone through the process knows of the paperwork you have to sign to initiate the process. And then there’s the closing process, which is another flurry of paperwork.
Even prior to the pandemic, Docusign was providing a solution that home buyers and realtors quickly adopted. This trend towards a contactless, digital signing experience that can be done completely remotely was only enhanced by the mitigation efforts brought on by the novel coronavirus.
Docusign has competition. And that competition will continue to increase. However, at this time, it is the only pure-play, publicly-traded e-signature company. There is some concern that Docusign is bound to face a “coronavirus hangover” at the beginning of next year. The thinking is that the software-as-a-service (SaaS) company may not attract as many new customers as it has captured during the pandemic.
However, the company is priced at approximately 29x its forward sales, a very conservative target for SaaS companies.
DOCU stock is up by 190% in 2020.
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
- $94.41
- Consensus Rating
- Hold
- Ratings Breakdown
- 3 Buy Ratings, 7 Hold Ratings, 3 Sell Ratings.
- Consensus Price Target
- $92.45 (2.1% Downside)
