United Super Pty Ltd in its capacity as Trustee for the Construction & Building Unions Superannuation Fund Makes New $6.90 Million Investment in Docusign Inc. $DOCU

Key Points

• United Super Pty Ltd disclosed a new position in DocuSign, buying 100,837 shares worth about $6.9 million in the fourth quarter, representing roughly 0.05% of the company.
• DocuSign reported better-than-expected quarterly results, posting $1.01 EPS on revenue of $836.86 million, with revenue up 7.8% year over year.
• The company’s board approved a $2 billion share repurchase program, while analysts remain cautious overall with a consensus rating of Hold and a $61.40 price target.

United Super Pty Ltd in its capacity as Trustee for the Construction & Building Unions Superannuation Fund purchased a new position in shares of Docusign Inc. (NASDAQ:DOCU - Free Report) during the 4th quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The institutional investor purchased 100,837 shares of the company's stock, valued at approximately $6,897,000. United Super Pty Ltd in its capacity as Trustee for the Construction & Building Unions Superannuation Fund owned approximately 0.05% of Docusign at the end of the most recent quarter.

Other institutional investors and hedge funds have also recently added to or reduced their stakes in the company. Bank of New York Mellon Corp raised its position in Docusign by 3.1% during the third quarter. Bank of New York Mellon Corp now owns 1,594,884 shares of the company's stock worth $114,975,000 after acquiring an additional 47,331 shares in the last quarter. Federated Hermes Inc. raised its position in Docusign by 101.0% during the third quarter. Federated Hermes Inc. now owns 230,524 shares of the company's stock worth $16,618,000 after acquiring an additional 115,829 shares in the last quarter. Nordea Investment Management AB raised its position in Docusign by 3.8% during the fourth quarter. Nordea Investment Management AB now owns 1,198,634 shares of the company's stock worth $82,502,000 after acquiring an additional 43,810 shares in the last quarter. Step Capital Management Pte. Ltd. bought a new stake in Docusign during the fourth quarter worth $2,052,000. Finally, Retirement Systems of Alabama raised its position in Docusign by 4.9% during the fourth quarter. Retirement Systems of Alabama now owns 544,473 shares of the company's stock worth $37,242,000 after acquiring an additional 25,367 shares in the last quarter. 77.64% of the stock is owned by institutional investors.

Wall Street Analyst Weigh In

Several equities analysts have commented on the stock. Morgan Stanley decreased their price objective on shares of Docusign from $90.00 to $69.00 and set an "equal weight" rating on the stock in a report on Wednesday, March 18th. Needham & Company LLC reiterated a "hold" rating on shares of Docusign in a report on Tuesday, March 10th. Weiss Ratings downgraded shares of Docusign from a "hold (c-)" rating to a "sell (d+)" rating in a report on Wednesday, April 15th. Bank of America assumed coverage on shares of Docusign in a report on Tuesday, March 31st. They issued an "underperform" rating and a $52.00 price objective on the stock. Finally, JPMorgan Chase & Co. decreased their price objective on shares of Docusign from $78.00 to $65.00 and set a "neutral" rating on the stock in a 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 issued a Sell rating to the company's stock. According to data from MarketBeat.com, the stock has a consensus rating of "Hold" and a consensus price target of $61.40.

Docusign Stock Up 5.9%

Shares of Docusign stock opened at $52.52 on Friday. The company has a market capitalization of $10.20 billion, a price-to-earnings ratio of 35.49, a PEG ratio of 1.89 and a beta of 0.88. Docusign Inc. has a 12-month low of $40.16 and a 12-month high of $94.67. The firm's 50-day moving average price is $47.23 and its two-hundred day moving average price is $54.72.

Docusign (NASDAQ:DOCU - Get Free Report) last announced its quarterly earnings data 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 the consensus estimate of $828.23 million. Docusign had a net margin of 9.60% and a return on equity of 16.86%. The business's revenue for the quarter was up 7.8% on a year-over-year basis. During the same period in the prior year, the company posted $0.86 earnings per share. On average, sell-side analysts expect that Docusign Inc. will post 1.76 earnings per share for the current year.

Docusign declared that its board has approved a share repurchase program on Tuesday, March 17th that authorizes the company to repurchase $2.00 billion in shares. This repurchase authorization authorizes the company to reacquire up to 21% of its shares through open market purchases. Shares repurchase programs are usually a sign that the company's management believes its shares are undervalued.

Insider Transactions at Docusign

In other news, CRO Paula Hansen sold 6,000 shares of the stock in a transaction dated Wednesday, April 1st. The shares were sold at an average price of $46.84, for a total value of $281,040.00. Following the completion of 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 transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Robert Chatwani sold 16,696 shares of the stock in a transaction dated Wednesday, March 18th. The stock was sold at an average price of $48.10, for a total transaction of $803,077.60. Following the completion of the transaction, the insider directly owned 72,458 shares of the company's stock, valued at $3,485,229.80. This trade represents a 18.73% decrease in their position. The SEC filing for this sale provides additional information. In the last three months, insiders have sold 64,309 shares of company stock valued at $3,061,570. 0.59% of the stock is 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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