Docusign (NASDAQ:DOCU) Director Sells $17,939.46 in Stock

Key Points

• DocuSign director Anna Marrs sold 363 shares on June 5 for about $17,939, reducing her holdings by 2.72%. The sale was made under a pre-arranged Rule 10b5-1 plan.
• DocuSign beat quarterly expectations, reporting EPS of $1.09 versus $1.00 expected and revenue of $830.24 million versus estimates of $824.71 million. Revenue rose 8.7% year over year.
• The stock fell 7.2% to $47.26 despite the earnings beat, as investors focused on cautious guidance and analyst sentiment that remains mostly neutral. DocuSign also has a $2 billion share buyback authorization in place.

Docusign Inc. (NASDAQ:DOCU - Get Free Report) Director Anna Marrs sold 363 shares of the firm's stock in a transaction dated Friday, June 5th. The shares were sold at an average price of $49.42, for a total transaction of $17,939.46. Following the completion of the transaction, the director directly owned 12,977 shares in the company, valued at $641,323.34. This represents a 2.72% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Anna Marrs also recently made the following trade(s):

• On Tuesday, June 2nd, Anna Marrs sold 365 shares of Docusign stock. The shares were sold at an average price of $55.04, for a total value of $20,089.60.

Docusign Stock Down 7.2%

Shares of Docusign stock traded down $3.68 during mid-day trading on Friday, reaching $47.26. 8,706,856 shares of the stock traded hands, compared to its average volume of 4,398,633. The business has a 50-day moving average of $47.76 and a 200 day moving average of $54.16. The stock has a market capitalization of $9.18 billion, a PE ratio of 31.93, a PEG ratio of 2.00 and a beta of 0.92. Docusign Inc. has a fifty-two week low of $40.16 and a fifty-two week high of $86.65.

Docusign (NASDAQ:DOCU - Get Free Report) last announced its quarterly earnings results on Thursday, June 4th. The company reported $1.09 earnings per share for the quarter, beating the consensus estimate of $1.00 by $0.09. The firm had revenue of $830.24 million for the quarter, compared to analysts' expectations of $824.71 million. Docusign had a net margin of 9.60% and a return on equity of 16.86%. The company's revenue was up 8.7% compared to the same quarter last year. During the same quarter in the previous year, the company posted $0.90 EPS. On average, equities research analysts expect that Docusign Inc. will post 1.76 EPS for the current fiscal year.

Docusign declared that its Board of Directors has authorized a stock repurchase program on Tuesday, March 17th that allows the company to repurchase $2.00 billion in shares. This repurchase authorization allows the company to repurchase up to 21% of its stock through open market purchases. Stock repurchase programs are typically a sign that the company's board believes its stock is undervalued.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently modified their holdings of DOCU. Central Pacific Bank Trust Division purchased a new position in shares of Docusign during the fourth quarter worth $25,000. Modus Advisors LLC purchased a new position in shares of Docusign during the fourth quarter worth $27,000. Torren Management LLC purchased a new position in shares of Docusign during the fourth quarter worth $28,000. Aventura Private Wealth LLC purchased a new position in shares of Docusign during the fourth quarter worth $30,000. Finally, True Wealth Design LLC boosted its position in shares of Docusign by 105.2% during the fourth quarter. True Wealth Design LLC now owns 433 shares of the company's stock worth $30,000 after buying an additional 222 shares during the period. 77.64% of the stock is currently owned by hedge funds and other institutional investors.

Analyst Ratings Changes

DOCU has been the subject of several analyst reports. Wedbush lowered their price objective on Docusign from $60.00 to $58.00 and set a "neutral" rating for the company in a research report on Friday. Needham & Company LLC reiterated a "hold" rating on shares of Docusign in a research report on Friday. HSBC set a $53.00 price objective on Docusign in a research report on Friday, February 13th. Piper Sandler lowered their price objective on Docusign from $75.00 to $52.00 and set a "neutral" rating for the company in a research report on Wednesday, March 18th. Finally, Bank of America initiated coverage on Docusign in a research report on Tuesday, March 31st. They issued an "underperform" rating and a $52.00 price objective for the company. Three analysts have rated the stock with a Buy rating, fifteen have given a Hold rating and one has assigned a Sell rating to the company's stock. Based on data from MarketBeat.com, Docusign currently has an average rating of "Hold" and an average price target of $60.27.

Key Docusign News

Here are the key news stories impacting Docusign this week:

• Positive Sentiment: DocuSign beat first-quarter expectations, posting adjusted EPS of $1.09 versus $1.00 expected and revenue of $830.2 million versus $823.2 million estimated, with sales up 8.7% year over year. DocuSign Beats Fiscal Q1 Estimates, but IAM Traction Remains in Focus, RBC Says
• Positive Sentiment: The company said adoption of its AI-powered Intelligent Agreement Management platform is improving, and it raised full-year revenue guidance slightly, indicating demand remains healthy. DocuSign Nudges Revenue Outlook Higher After First-Quarter Profit Rises
• Neutral Sentiment: Analyst commentary remains mixed, with Wedbush lowering its price target to $58 from $60 while keeping a neutral rating, and BTIG cutting its target to $60 from $70 but maintaining a buy rating.
• Neutral Sentiment: DocuSign also highlighted AI integrations, including ChatGPT and Codex, and continued share repurchases, which support the long-term story but were not enough to offset near-term guidance concerns. Docusign Inc (DOCU) Q1 2027 Earnings Call Highlights
• Negative Sentiment: Shares moved lower because the full-year outlook did not meaningfully exceed Wall Street expectations, dampening enthusiasm despite the earnings beat and prompting a “sell-the-news” reaction. DocuSign shares fall despite Q1 beat as guidance disappoints investors
• Negative Sentiment: Investors also appear to be focusing on whether DocuSign can accelerate growth beyond the low-double-digit range, as recent reports say the outlook “left investors looking for stronger signs of accelerating growth.” DocuSign stock falls as cautious outlook overshadows earnings beat

About Docusign

DocuSign, Inc NASDAQ: DOCU is a leading provider of electronic signature and digital transaction management solutions. The company's flagship offering, DocuSign eSignature, enables organizations to send, sign and manage legally binding electronic agreements securely in the cloud. Beyond eSignature, DocuSign's Agreement Cloud combines contract lifecycle management, document generation, and workflow automation to streamline agreement processes from initiation through execution and storage.

DocuSign's platform serves a diverse customer base spanning industries such as finance, real estate, healthcare, technology, and government.

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