, docu Sign stock slipped Thursday after a downgrade from Morgan Stanley analysts, who cited concerns over the electronic signature company’s postpandemic sustainability. Analyst Stan Zlotsky downgraded the stock to Equal-weight from Overweight and slashed his price target by nearly half to $165, down from $350 previously.
Why is docusign stock going down?
The market is worried that the major boost from the shift to work-from-home is over, and Docu. Sign’s growth will slow down materially.
Analysts expect that Docu. Sign will report earnings of $2.15 per share in the current fiscal year, so the stock is trading at 34 forward P/E. The company’s valuation has dramatically decreased in recent months as Docu. Sign stock declined from the highs near $315 that were reached back in September 2021 to the $73 level.
Shares of DOCU can be purchased through any online brokerage account. Popular online brokerages with access to the U. What is Docu. Sign’s stock price today?
What is DocuSign’s earnings expectation for the next year?
Earnings for Docu. Sign are expected to grow by 185.71% in the coming year, from $0.07 to $0.20 per share. The P/E ratio of Docu. Sign is -218.95, which means that its earnings are negative and its P/E ratio cannot be compared to companies with positive earnings.
Despite the stock’s sharp pullback on Friday, the company’s fiscal fourth-quarter results were actually quite impressive., docu Sign’s revenue rose 35% year over year during the period, hitting approximately $581 million. This was ahead of analysts’ average forecast for revenue of $561 million.
Let us see if we can figure it out. pandemic-driven demand led to strong financial performance in recent years for the e-signature juggernaut. Over the past three years, Docu. Sign enjoyed a revenue CAGR of 41%. In its most recent quarter, the company’s top-line and non-GAAP (generally accepted accounting principles) earnings per share grew 42% and 164% up to $545. 5 million and $0.
, while docu Sign has made great strides in past years, the company poses several inherent risks to investors. At the outset, the company has not generated a positive GAAP net income despite providing us with positive adjusted (Non-GAAP) earnings.
Is DocuSign stock on a rollercoaster ride?
Follow @dannyvena Docu. Sign ( NASDAQ: DOCU) stock has been on something of a rollercoaster ride over the past week. The company reported better-than-expected second-quarter financial results late last week that sent shares surging, but the rally was short-lived.
Does DocuSign think its growth prospects are healthy?
Based on management’s optimistic comments in its earnings release and the company’s decision to roll out a share repurchase program, Docu. Sign certainly thinks its business and its growth prospects remain healthy.