Mitsubishi UFJ Trust & Banking Corp Trims Stake in Docusign Inc. $DOCU

Key Points

• Mitsubishi UFJ Trust & Banking Corp cut its stake in DocuSign by 42.6%, selling 142,430 shares and ending the quarter with 191,669 shares (about 0.10% of the company) valued at $13.11 million.
• DocuSign beat quarterly estimates (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 program that could repurchase up to 21% of outstanding shares.
• Company insiders have recently sold shares—including CEO Allan C. Thygesen—and insiders sold 64,673 shares in the past three months; analysts’ consensus remains a Hold with an average price target of $61.40.

Mitsubishi UFJ Trust & Banking Corp reduced its stake in shares of Docusign Inc. (NASDAQ:DOCU - Free Report) by 42.6% in the 4th quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The institutional investor owned 191,669 shares of the company's stock after selling 142,430 shares during the quarter. Mitsubishi UFJ Trust & Banking Corp owned 0.10% of Docusign worth $13,110,000 at the end of the most recent reporting period.

Other institutional investors also recently bought and sold shares of the company. Central Pacific Bank Trust Division purchased a new position in Docusign during the fourth quarter valued at approximately $25,000. Aventura Private Wealth LLC acquired a new stake in Docusign in the fourth quarter valued at approximately $30,000. True Wealth Design LLC grew its holdings in Docusign by 105.2% in the fourth quarter. True Wealth Design LLC now owns 433 shares of the company's stock valued at $30,000 after purchasing an additional 222 shares during the period. SJS Investment Consulting Inc. grew its holdings in Docusign by 5,318.2% in the third quarter. SJS Investment Consulting Inc. now owns 596 shares of the company's stock valued at $43,000 after purchasing an additional 585 shares during the period. Finally, CX Institutional grew its holdings in Docusign by 5,860.0% in the third quarter. CX Institutional now owns 596 shares of the company's stock valued at $43,000 after purchasing an additional 586 shares during the period. 77.64% of the stock is currently owned by hedge funds and other institutional investors.

Docusign Price Performance

Shares of NASDAQ:DOCU opened at $47.96 on Friday. The business's 50 day moving average price is $46.53 and its 200-day moving average price is $57.75. The firm has a market capitalization of $9.32 billion, a PE ratio of 32.41, a P/E/G ratio of 1.75 and a beta of 0.88. Docusign Inc. has a 1 year low of $40.16 and a 1 year high of $94.67.

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

Docusign announced that its Board of Directors has initiated a share buyback program on Tuesday, March 17th that permits the company to repurchase $2.00 billion in outstanding shares. This repurchase authorization permits the company to purchase up to 21% of its shares through open market purchases. Shares repurchase programs are usually a sign that the company's board of directors believes its stock is undervalued.

Analyst Upgrades and Downgrades

DOCU has been the topic of several research analyst reports. Weiss Ratings lowered Docusign from a "hold (c-)" rating to a "sell (d+)" rating in a report on Wednesday, April 15th. BTIG Research reissued a "buy" rating and issued a $70.00 price objective on shares of Docusign in a report on Wednesday, March 18th. Piper Sandler dropped their price objective on Docusign from $75.00 to $52.00 and set a "neutral" rating on the stock in a report on Wednesday, March 18th. Royal Bank Of Canada dropped their price objective on Docusign from $70.00 to $55.00 and set a "sector perform" rating on the stock in a report on Wednesday, March 18th. Finally, Jefferies Financial Group lowered Docusign from a "buy" rating to a "hold" rating and dropped their price objective for the company from $105.00 to $45.00 in a report on Monday, February 23rd. Three analysts have rated the stock with a Buy rating, fourteen have assigned a Hold rating and two have assigned a Sell rating to the stock. According to data from MarketBeat.com, Docusign has an average rating of "Hold" and an average price target of $61.40.

Insider Transactions at Docusign

In other news, insider Robert Chatwani sold 16,696 shares of Docusign stock in a transaction that occurred on Wednesday, March 18th. The stock was sold at an average price of $48.10, for a total value of $803,077.60. Following the sale, the insider directly owned 72,458 shares of the company's stock, valued at $3,485,229.80. The trade was a 18.73% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this link. Also, CEO Allan C. Thygesen sold 26,250 shares of Docusign stock in a transaction that occurred on Wednesday, April 1st. The stock was sold at an average price of $47.78, for a total value of $1,254,225.00. Following the completion of the sale, the chief executive officer directly owned 152,237 shares in the company, valued at $7,273,883.86. This represents a 14.71% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last three months, insiders sold 64,673 shares of company stock valued at $3,077,699. Insiders own 1.01% of the company's stock.

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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