Docusign Inc. $DOCU Shares Bought by Cwm LLC

Key Points

• Cwm LLC increased its stake in DocuSign by 151.8%, buying 28,511 shares to own 47,290 shares worth about $3.24 million, as institutional investors now hold roughly 77.64% of the stock.
• DocuSign beat expectations for the quarter (EPS $1.01 vs. $0.95; revenue $836.9M vs. $828.2M, +7.8% YoY) and its board authorized a $2.0 billion share buyback (up to ~21% of shares outstanding).
• Analysts have grown cautious—consensus rating is "Hold" with a $61.40 target after several price cuts and downgrades—while insiders have sold about 64,673 shares (~$3.08M) in the past 90 days, leaving insiders owning 1.01%.

Cwm LLC boosted its holdings in shares of Docusign Inc. (NASDAQ:DOCU - Free Report) by 151.8% in the fourth quarter, according to its most recent filing with the Securities and Exchange Commission. The fund owned 47,290 shares of the company's stock after buying an additional 28,511 shares during the quarter. Cwm LLC's holdings in Docusign were worth $3,235,000 at the end of the most recent reporting period.

Several other institutional investors and hedge funds have also bought and sold shares of the business. Childress Capital Advisors LLC acquired a new stake in shares of Docusign in the fourth quarter worth $218,000. PFG Investments LLC raised its holdings in shares of Docusign by 9.4% during the fourth quarter. PFG Investments LLC now owns 4,659 shares of the company's stock worth $319,000 after purchasing an additional 402 shares during the last quarter. Farther Finance Advisors LLC lifted its position in Docusign by 8.6% during the fourth quarter. Farther Finance Advisors LLC now owns 9,684 shares of the company's stock valued at $662,000 after purchasing an additional 768 shares during the period. Westbourne Investment Advisors Inc. lifted its position in Docusign by 15.6% during the fourth quarter. Westbourne Investment Advisors Inc. now owns 58,522 shares of the company's stock valued at $4,003,000 after purchasing an additional 7,877 shares during the period. Finally, U.S. Capital Wealth Advisors LLC boosted its holdings in Docusign by 17.7% in the fourth quarter. U.S. Capital Wealth Advisors LLC now owns 3,589 shares of the company's stock valued at $245,000 after purchasing an additional 541 shares during the last quarter. 77.64% of the stock is currently owned by institutional investors and hedge funds.

Docusign Stock Performance

DOCU opened at $45.02 on Friday. The company has a fifty day moving average of $46.40 and a two-hundred day moving average of $58.60. The stock has a market capitalization of $8.75 billion, a price-to-earnings ratio of 30.42, a PEG ratio of 1.81 and a beta of 0.99. Docusign Inc. has a fifty-two week low of $40.16 and a fifty-two week high of $94.67.

Docusign (NASDAQ:DOCU - Get Free Report) last posted its earnings results on Tuesday, March 17th. The company reported $1.01 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.95 by $0.06. Docusign had a net margin of 9.60% and a return on equity of 16.86%. The business had revenue of $836.86 million for the quarter, compared to analyst estimates of $828.23 million. During the same period in the prior year, the company posted $0.86 EPS. The company's revenue for the quarter was up 7.8% on a year-over-year basis. On average, equities research analysts forecast that Docusign Inc. will post 1.76 earnings per share for the current year.

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

Wall Street Analyst Weigh In

DOCU has been the topic of several analyst reports. UBS Group cut their price target on Docusign from $75.00 to $54.00 and set a "neutral" rating on the stock in a research report on Wednesday, March 18th. Needham & Company LLC reissued a "hold" rating on shares of Docusign in a report on Tuesday, March 10th. Citigroup downgraded Docusign from a "buy" rating to a "neutral" rating and lowered their target price for the stock from $99.00 to $50.00 in a research note on Friday, April 10th. Bank of America initiated coverage on Docusign in a report on Tuesday, March 31st. They set an "underperform" rating and a $52.00 target price on the stock. Finally, Citizens Jmp reduced their price target on Docusign from $124.00 to $86.00 and set a "market outperform" rating for the company in a research report on Wednesday, March 18th. Three research analysts have rated the stock with a Buy rating, fourteen have issued a Hold rating and two have given a Sell rating to the company's stock. According to MarketBeat.com, the stock currently has a consensus rating of "Hold" and a consensus target price of $61.40.

Insider Activity at Docusign

In other Docusign news, CRO Paula Hansen sold 6,000 shares of the firm's stock in a transaction that occurred on Wednesday, April 1st. The stock was sold at an average price of $46.84, for a total value of $281,040.00. Following the sale, the executive directly owned 79,233 shares of the company's stock, valued at approximately $3,711,273.72. This trade represents a 7.04% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider James P. Shaughnessy sold 12,000 shares of the business's stock in a transaction that occurred on Wednesday, April 1st. The shares were sold at an average price of $46.83, for a total value of $561,960.00. Following the completion of the sale, the insider owned 53,631 shares of the company's stock, valued at $2,511,539.73. This trade represents a 18.28% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 64,673 shares of company stock valued at $3,077,699 in the last ninety days. 1.01% of the stock is currently owned by company insiders.

Docusign Company Profile

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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