DocuSign (DOCU) Stock Moves -1.12%: What You Should Know
DocuSign (DOCU) closed the most recent trading day at $60.92, moving -1.12% from the previous trading session. This move was narrower than the S&P 500's daily loss of 1.61%. Meanwhile, the Dow experienced a drop of 0.82%, and the technology-dominated Nasdaq saw a decrease of 2.23%.
Coming into today, shares of the provider of electronic signature technology had gained 8.05% in the past month. In that same time, the Business Services sector gained 1.82%, while the S&P 500 gained 3.28%.
The upcoming earnings release of DocuSign will be of great interest to investors. It is anticipated that the company will report an EPS of $0.64, marking a 1.54% fall compared to the same quarter of the previous year. Alongside, our most recent consensus estimate is anticipating revenue of $698.05 million, indicating a 5.83% upward movement from the same quarter last year.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $2.87 per share and a revenue of $2.75 billion, indicating changes of +41.38% and +9.21%, respectively, from the former year.
It is also important to note the recent changes to analyst estimates for DocuSign. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has remained steady. Right now, DocuSign possesses a Zacks Rank of #1 (Strong Buy).
Investors should also note DocuSign's current valuation metrics, including its Forward P/E ratio of 21.49. This valuation marks a discount compared to its industry's average Forward P/E of 24.51.
Investors should also note that DOCU has a PEG ratio of 1.42 right now. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. DOCU's industry had an average PEG ratio of 1.48 as of yesterday's close.
The Technology Services industry is part of the Business Services sector. This industry currently has a Zacks Industry Rank of 79, which puts it in the top 32% of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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DocuSign (DOCU) : Free Stock Analysis Report
