Sheaff Brock Investment Advisors LLC Makes New Investment in Docusign Inc. (NASDAQ:DOCU)

Key Points

• Sheaff Brock Investment Advisors LLC has invested $566,000 in Docusign Inc., acquiring 6,952 shares in the first quarter of the year.
• Several large investors, including Carrera Capital Advisors and Zurcher Kantonalbank, have also adjusted their holdings in Docusign, resulting in institutional investors owning 77.64% of the company's stock.
• Docusign reported earnings of $0.90 per share for the last quarter, surpassing analyst expectations, and the company has authorized a $1.00 billion share buyback program.

Sheaff Brock Investment Advisors LLC acquired a new stake in Docusign Inc. (NASDAQ:DOCU - Free Report) during the first quarter, according to its most recent disclosure with the SEC. The institutional investor acquired 6,952 shares of the company's stock, valued at approximately $566,000.

A number of other institutional investors also recently modified their holdings of DOCU. Concurrent Investment Advisors LLC bought a new position in Docusign during the first quarter worth $618,000. Gilman Hill Asset Management LLC lifted its position in shares of Docusign by 4.9% during the first quarter. Gilman Hill Asset Management LLC now owns 84,326 shares of the company's stock valued at $6,864,000 after purchasing an additional 3,904 shares in the last quarter. Paradiem LLC bought a new position in shares of Docusign during the first quarter valued at about $4,357,000. Wealth Enhancement Advisory Services LLC lifted its position in shares of Docusign by 528.7% during the first quarter. Wealth Enhancement Advisory Services LLC now owns 108,232 shares of the company's stock valued at $8,810,000 after purchasing an additional 91,017 shares in the last quarter. Finally, Kentucky Retirement Systems bought a new stake in Docusign in the first quarter worth about $1,114,000. 77.64% of the stock is owned by institutional investors.

Docusign Stock Down 2.8%

Shares of NASDAQ:DOCU traded down $2.12 during midday trading on Friday, reaching $73.52. The company's stock had a trading volume of 755,390 shares, compared to its average volume of 2,593,903. The firm has a 50 day moving average of $79.40 and a 200-day moving average of $82.77. The firm has a market capitalization of $14.86 billion, a P/E ratio of 13.92, a PEG ratio of 29.10 and a beta of 1.08. Docusign Inc. has a 12-month low of $48.80 and a 12-month high of $107.86.

Docusign (NASDAQ:DOCU - Get Free Report) last released its earnings results on Thursday, June 5th. The company reported $0.90 earnings per share for the quarter, topping analysts' consensus estimates of $0.81 by $0.09. The firm had revenue of $763.65 million for the quarter, compared to the consensus estimate of $748.79 million. Docusign had a net margin of 36.50% and a return on equity of 14.27%. The company's revenue was up 7.6% compared to the same quarter last year. During the same period in the prior year, the firm earned $0.82 EPS. On average, research analysts predict that Docusign Inc. will post 1.17 EPS for the current year.

Docusign declared that its board has authorized a stock buyback program on Thursday, June 5th that allows the company to repurchase $1.00 billion in outstanding shares. This repurchase authorization allows the company to purchase up to 6.6% of its stock through open market purchases. Stock repurchase programs are usually a sign that the company's management believes its shares are undervalued.

Insider Activity

In related news, insider Robert Chatwani sold 22,875 shares of the firm's stock in a transaction that occurred on Wednesday, June 18th. The shares were sold at an average price of $74.79, for a total value of $1,710,821.25. Following the transaction, the insider owned 72,126 shares of the company's stock, valued at approximately $5,394,303.54. This trade represents a 24.08% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through this link. Also, CEO Allan C. Thygesen sold 40,000 shares of the business's stock in a transaction that occurred on Tuesday, July 1st. The shares were sold at an average price of $77.51, for a total transaction of $3,100,400.00. Following the sale, the chief executive officer owned 143,983 shares of the company's stock, valued at $11,160,122.33. This trade represents a 21.74% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last 90 days, insiders sold 78,552 shares of company stock valued at $5,983,631. Company insiders own 1.01% of the company's stock.

Wall Street Analysts Forecast Growth

Several analysts have commented on DOCU shares. Bank of America lowered their price objective on shares of Docusign from $88.00 to $85.00 and set a "neutral" rating on the stock in a research report on Friday, June 6th. HSBC raised shares of Docusign from a "reduce" rating to a "hold" rating and set a $70.00 target price on the stock in a report on Friday, April 11th. Morgan Stanley dropped their target price on shares of Docusign from $92.00 to $86.00 and set an "equal weight" rating for the company in a research report on Friday, June 6th. Needham & Company LLC restated a "hold" rating on shares of Docusign in a report on Friday, June 6th. Finally, JMP Securities restated a "market outperform" rating and issued a $124.00 price objective on shares of Docusign in a report on Tuesday, June 3rd. Twelve analysts have rated the stock with a hold rating and four have assigned a buy rating to the company's stock. According to MarketBeat.com, Docusign presently has a consensus rating of "Hold" and a consensus price target of $89.77.

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.