SG Americas Securities LLC Grows Stake in Docusign Inc. $DOCU

Key Points

• SG Americas Securities LLC increased its Docusign stake by 452.3% in the first quarter, ending with 1.31 million shares valued at about $62.3 million.
• Docusign reported better-than-expected quarterly results, with EPS of $1.09 versus $0.99 expected and revenue of $830.24 million, up 8.7% year over year.
• The company’s board approved a $2 billion share repurchase program in March, allowing it to buy back up to 21% of outstanding shares, while analysts currently maintain an overall Hold rating on the stock.

SG Americas Securities LLC raised its holdings in shares of Docusign Inc. (NASDAQ:DOCU - Free Report) by 452.3% during the first quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The institutional investor owned 1,314,632 shares of the company's stock after purchasing an additional 1,076,622 shares during the period. SG Americas Securities LLC owned 0.68% of Docusign worth $62,327,000 at the end of the most recent quarter.

Several other hedge funds and other institutional investors have also recently made changes to their positions in the business. Uhlmann Price Securities LLC acquired a new position in Docusign during the 1st quarter valued at about $252,000. Diversified Trust Co boosted its holdings in Docusign by 37.9% in the first quarter. Diversified Trust Co now owns 13,593 shares of the company's stock worth $644,000 after acquiring an additional 3,736 shares in the last quarter. Rockefeller Capital Management L.P. boosted its holdings in Docusign by 11.6% in the fourth quarter. Rockefeller Capital Management L.P. now owns 238,114 shares of the company's stock worth $16,287,000 after acquiring an additional 24,842 shares in the last quarter. Corient Private Wealth LLC grew its stake in shares of Docusign by 2.5% during the fourth quarter. Corient Private Wealth LLC now owns 29,608 shares of the company's stock worth $2,026,000 after acquiring an additional 732 shares during the last quarter. Finally, Kera Capital Partners Inc. grew its stake in shares of Docusign by 347.8% during the fourth quarter. Kera Capital Partners Inc. now owns 16,556 shares of the company's stock worth $1,132,000 after acquiring an additional 12,859 shares during the last quarter. Hedge funds and other institutional investors own 77.64% of the company's stock.

Docusign Price Performance

NASDAQ:DOCU opened at $42.71 on Tuesday. The company's fifty day moving average price is $47.11 and its 200-day moving average price is $52.32. Docusign Inc. has a 1-year low of $40.16 and a 1-year high of $86.65. The firm has a market capitalization of $8.16 billion, a P/E ratio of 27.73, a PEG ratio of 1.32 and a beta of 0.92.

Docusign (NASDAQ:DOCU - Get Free Report) last posted its earnings results on Thursday, June 4th. The company reported $1.09 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.99 by $0.10. The company had revenue of $830.24 million during the quarter, compared to the consensus estimate of $824.71 million. Docusign had a net margin of 9.59% and a return on equity of 17.48%. The firm's quarterly revenue was up 8.7% on a year-over-year basis. During the same period in the previous year, the firm posted $0.90 earnings per share. Equities analysts anticipate that Docusign Inc. will post 1.97 EPS for the current fiscal year.

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

Wall Street Analysts Forecast Growth

Several equities analysts recently commented on the stock. Piper Sandler decreased their price objective on shares of Docusign from $75.00 to $52.00 and set a "neutral" rating for the company in a research report on Wednesday, March 18th. Morgan Stanley cut their price target on shares of Docusign from $90.00 to $69.00 and set an "equal weight" rating on the stock in a research note on Wednesday, March 18th. Weiss Ratings raised shares of Docusign from a "sell (d+)" rating to a "hold (c-)" rating in a report on Wednesday, June 3rd. Wall Street Zen upgraded shares of Docusign from a "buy" rating to a "strong-buy" rating in a research note on Saturday, June 13th. Finally, Citigroup boosted their price objective on shares of Docusign from $50.00 to $54.00 and gave the company a "neutral" rating in a report on Friday, June 5th. Three investment analysts have rated the stock with a Buy rating, fifteen have given a Hold rating and one has given a Sell rating to the company. According to MarketBeat, Docusign has an average rating of "Hold" and an average price target of $60.27.

Insiders Place Their Bets

In related news, insider James P. Shaughnessy sold 12,000 shares of the firm's stock in a transaction dated Wednesday, April 1st. The stock was sold at an average price of $46.83, for a total transaction of $561,960.00. Following the sale, the insider directly 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 transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CRO Paula Hansen sold 6,000 shares of Docusign stock in a transaction that occurred on Wednesday, April 1st. The shares were sold at an average price of $46.84, for a total value of $281,040.00. Following the transaction, the executive owned 79,233 shares of the company's stock, valued at approximately $3,711,273.72. This represents a 7.04% 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. Over the last quarter, insiders have sold 64,695 shares of company stock worth $3,006,682. 0.59% of the stock is currently owned by company insiders.

Docusign 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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