DocuSign (NASDAQ:DOCU) Sees Unusually-High Trading Volume After Analyst Upgrade

DocuSign, Inc. (NASDAQ:DOCU - Get Free Report) shares saw an uptick in trading volume on Monday after Wells Fargo & Company raised their price target on the stock from $65.00 to $67.00. Wells Fargo & Company currently has an underweight rating on the stock. 3,866,800 shares were traded during trading, an increase of 53% from the previous session's volume of 2,520,337 shares.The stock last traded at $78.33 and had previously closed at $75.28.

A number of other analysts have also recently issued reports on DOCU. William Blair reissued an "outperform" rating on shares of DocuSign in a research report on Monday, April 21st. HSBC upgraded DocuSign from a "reduce" rating to a "hold" rating and set a $70.00 price target for the company in a report on Friday, April 11th. Citigroup increased their price objective on DocuSign from $113.00 to $115.00 and gave the stock a "buy" rating in a report on Friday, March 14th. Wedbush reduced their target price on shares of DocuSign from $100.00 to $85.00 and set a "neutral" rating for the company in a research note on Friday. Finally, Hsbc Global Res raised shares of DocuSign from a "moderate sell" rating to a "hold" rating in a research report on Friday, April 11th. One investment analyst has rated the stock with a sell rating, eleven have given a hold rating and four have issued a buy rating to the company's stock. According to MarketBeat, the stock currently has a consensus rating of "Hold" and an average target price of $89.15.

Insider Activity

In related news, CFO Blake Jeffrey Grayson sold 16,111 shares of DocuSign stock in a transaction dated Wednesday, March 19th. The stock was sold at an average price of $83.20, for a total transaction of $1,340,435.20. Following the sale, the chief financial officer now directly owns 93,960 shares of the company's stock, valued at $7,817,472. This trade represents a 14.64% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, Director Teresa Briggs sold 534 shares of the company's stock in a transaction that occurred on Monday, March 17th. The shares were sold at an average price of $87.41, for a total value of $46,676.94. Following the completion of the transaction, the director now directly owns 8,270 shares of the company's stock, valued at approximately $722,880.70. This trade represents a 6.07% decrease in their position. The disclosure for this sale can be found here. Over the last three months, insiders sold 47,851 shares of company stock valued at $3,912,239. 1.01% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently bought and sold shares of the company. Rhumbline Advisers raised its stake in shares of DocuSign by 118.8% in the 4th quarter. Rhumbline Advisers now owns 608,123 shares of the company's stock valued at $54,695,000 after buying an additional 330,136 shares in the last quarter. Gilman Hill Asset Management LLC increased its stake in DocuSign by 4.9% in the first quarter. Gilman Hill Asset Management LLC now owns 84,326 shares of the company's stock valued at $6,864,000 after acquiring an additional 3,904 shares during the period. Principal Financial Group Inc. raised its position in DocuSign by 3,026.7% in the fourth quarter. Principal Financial Group Inc. now owns 546,796 shares of the company's stock worth $49,179,000 after purchasing an additional 529,308 shares in the last quarter. Amundi lifted its stake in DocuSign by 565.8% during the fourth quarter. Amundi now owns 1,379,575 shares of the company's stock worth $123,486,000 after purchasing an additional 1,172,368 shares during the period. Finally, SBI Securities Co. Ltd. acquired a new stake in DocuSign during the fourth quarter valued at approximately $882,000. 77.64% of the stock is owned by institutional investors.

DocuSign Stock Up 3.8%

The company has a market capitalization of $15.83 billion, a price-to-earnings ratio of 16.13, a P/E/G ratio of 6.94 and a beta of 1.14. The business has a fifty day simple moving average of $82.08 and a two-hundred day simple moving average of $86.32.

DocuSign (NASDAQ:DOCU - Get Free Report) last announced its quarterly earnings results on Thursday, June 5th. The company reported $0.90 earnings per share for the quarter, beating analysts' consensus estimates of $0.81 by $0.09. The firm had revenue of $763.65 million for the quarter, compared to analysts' expectations of $748.79 million. DocuSign had a return on equity of 14.90% and a net margin of 34.73%. The business's revenue was up 7.6% compared to the same quarter last year. During the same period in the prior year, the business posted $0.82 earnings per share. As a group, equities analysts predict that DocuSign, Inc. will post 1.17 earnings per share for the current fiscal year.

DocuSign announced that its Board of Directors has initiated a share repurchase program on Thursday, June 5th that permits the company to buyback $1.00 billion in shares. This buyback authorization permits the company to buy up to 6.6% of its stock through open market purchases. Stock buyback programs are generally a sign that the company's leadership believes its stock is undervalued.

DocuSign Company Profile

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.

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