Docusign (DOCU)
Market Price (5/7/2026): $46.5 | Market Cap: $9.3 BilSector: Information Technology | Industry: Application Software
Docusign (DOCU)
Market Price (5/7/2026): $46.5Market Cap: $9.3 BilSector: Information TechnologyIndustry: Application Software
Investment Highlights Why It Matters Detailed financial logic regarding cash flow yields vs trend-riding momentum.
Attractive cash flow generationCFO/Rev LTMCash Flow from Operations / Revenue (Sales), Last Twelve Months (LTM) is 36%, FCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is 33% Valuation becoming less expensiveP/S 6M Chg %Price/Sales change over 6 months. Declining P/S indicates valuation has become less expensive. is -37% Attractive yieldFCF Yield is 11% Stock buyback supportStock Buyback 3Y Total is 1.7 Bil Low stock price volatilityVol 12M is 47% Megatrend and thematic driversMegatrends include Cloud Computing, and Cybersecurity. Themes include Software as a Service (SaaS), and Identity Management. | Weak multi-year price returns2Y Excs Rtn is -66%, 3Y Excs Rtn is -83% | Significant share based compensationSBC/Rev LTMShare Based Compensation / Revenue (Sales), Last Twelve Months (LTM) is 19% Key risksDOCU key risks include [1] AI-powered disruption to its core business, Show more. |
| Attractive cash flow generationCFO/Rev LTMCash Flow from Operations / Revenue (Sales), Last Twelve Months (LTM) is 36%, FCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is 33% |
| Valuation becoming less expensiveP/S 6M Chg %Price/Sales change over 6 months. Declining P/S indicates valuation has become less expensive. is -37% |
| Attractive yieldFCF Yield is 11% |
| Stock buyback supportStock Buyback 3Y Total is 1.7 Bil |
| Low stock price volatilityVol 12M is 47% |
| Megatrend and thematic driversMegatrends include Cloud Computing, and Cybersecurity. Themes include Software as a Service (SaaS), and Identity Management. |
| Weak multi-year price returns2Y Excs Rtn is -66%, 3Y Excs Rtn is -83% |
| Significant share based compensationSBC/Rev LTMShare Based Compensation / Revenue (Sales), Last Twelve Months (LTM) is 19% |
| Key risksDOCU key risks include [1] AI-powered disruption to its core business, Show more. |
Qualitative Assessment
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Docusign (DOCU) stock has lost about 10% since 1/31/2026 because of the following key factors:
1. Muted Fiscal Year 2027 Revenue Growth Guidance.
Despite exceeding Q4 fiscal year 2026 earnings per share (EPS) estimates by reporting $1.01 against an expected $0.95, Docusign provided a revenue outlook for fiscal year 2027 that may have been perceived as cautious. The company projected total revenue for the first quarter of fiscal year 2027 (ending April 30, 2026) to be between $822 million and $826 million, representing an approximate 8% year-over-year increase at the midpoint. Full-year fiscal year 2027 revenue guidance was also set at an 8% year-over-year increase, ranging from $3.484 billion to $3.496 billion. This single-digit growth forecast, alongside an anticipated 8.25% to 8.75% increase in annual recurring revenue (ARR) for FY27, may have dampened investor enthusiasm, leading to a "show-me" sentiment as the market focuses on whether new AI-driven products can re-accelerate growth.
2. Significant Analyst Downgrades and Price Target Reductions.
Docusign experienced a wave of analyst downgrades and substantial price target cuts throughout the period. Notably, Jefferies downgraded Docusign from "Buy" to "Hold" on February 23, 2026, and drastically reduced its price target from $105 to $45, a 57.14% decline. Other firms followed suit in March 2026, with Citizens lowering its price target from $124 to $86 (a 30.65% decrease), RBC Capital reducing its target from $70 to $55, Piper Sandler cutting its target from $75 to $52, and Morgan Stanley dropping its target from $90 to $69. This widespread reduction in valuations by multiple brokerage firms contributed to negative market sentiment and downward pressure on the stock.
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1. Muted Fiscal Year 2027 Revenue Growth Guidance.
Despite exceeding Q4 fiscal year 2026 earnings per share (EPS) estimates by reporting $1.01 against an expected $0.95, Docusign provided a revenue outlook for fiscal year 2027 that may have been perceived as cautious. The company projected total revenue for the first quarter of fiscal year 2027 (ending April 30, 2026) to be between $822 million and $826 million, representing an approximate 8% year-over-year increase at the midpoint. Full-year fiscal year 2027 revenue guidance was also set at an 8% year-over-year increase, ranging from $3.484 billion to $3.496 billion. This single-digit growth forecast, alongside an anticipated 8.25% to 8.75% increase in annual recurring revenue (ARR) for FY27, may have dampened investor enthusiasm, leading to a "show-me" sentiment as the market focuses on whether new AI-driven products can re-accelerate growth.
2. Significant Analyst Downgrades and Price Target Reductions.
Docusign experienced a wave of analyst downgrades and substantial price target cuts throughout the period. Notably, Jefferies downgraded Docusign from "Buy" to "Hold" on February 23, 2026, and drastically reduced its price target from $105 to $45, a 57.14% decline. Other firms followed suit in March 2026, with Citizens lowering its price target from $124 to $86 (a 30.65% decrease), RBC Capital reducing its target from $70 to $55, Piper Sandler cutting its target from $75 to $52, and Morgan Stanley dropping its target from $90 to $69. This widespread reduction in valuations by multiple brokerage firms contributed to negative market sentiment and downward pressure on the stock.
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Stock Movement Drivers
Fundamental Drivers
The -11.4% change in DOCU stock from 1/31/2026 to 5/6/2026 was primarily driven by a -14.0% change in the company's P/E Multiple.| (LTM values as of) | 1312026 | 5062026 | Change |
|---|---|---|---|
| Stock Price ($) | 52.54 | 46.53 | -11.4% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 3,159 | 3,220 | 1.9% |
| Net Income Margin (%) | 9.6% | 9.6% | 0.3% |
| P/E Multiple | 35.1 | 30.2 | -14.0% |
| Shares Outstanding (Mil) | 202 | 200 | 0.7% |
| Cumulative Contribution | -11.4% |
Market Drivers
1/31/2026 to 5/6/2026| Return | Correlation | |
|---|---|---|
| DOCU | -11.4% | |
| Market (SPY) | 3.6% | 19.6% |
| Sector (XLK) | 18.3% | 22.0% |
Fundamental Drivers
The -36.4% change in DOCU stock from 10/31/2025 to 5/6/2026 was primarily driven by a -42.8% change in the company's P/E Multiple.| (LTM values as of) | 10312025 | 5062026 | Change |
|---|---|---|---|
| Stock Price ($) | 73.14 | 46.53 | -36.4% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 3,095 | 3,220 | 4.0% |
| Net Income Margin (%) | 9.1% | 9.6% | 5.8% |
| P/E Multiple | 52.8 | 30.2 | -42.8% |
| Shares Outstanding (Mil) | 203 | 200 | 1.1% |
| Cumulative Contribution | -36.4% |
Market Drivers
10/31/2025 to 5/6/2026| Return | Correlation | |
|---|---|---|
| DOCU | -36.4% | |
| Market (SPY) | 5.5% | 22.4% |
| Sector (XLK) | 13.4% | 23.8% |
Fundamental Drivers
The -43.1% change in DOCU stock from 4/30/2025 to 5/6/2026 was primarily driven by a -73.2% change in the company's Net Income Margin (%).| (LTM values as of) | 4302025 | 5062026 | Change |
|---|---|---|---|
| Stock Price ($) | 81.75 | 46.53 | -43.1% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 2,977 | 3,220 | 8.2% |
| Net Income Margin (%) | 35.9% | 9.6% | -73.2% |
| P/E Multiple | 15.6 | 30.2 | 93.9% |
| Shares Outstanding (Mil) | 203 | 200 | 1.4% |
| Cumulative Contribution | -43.1% |
Market Drivers
4/30/2025 to 5/6/2026| Return | Correlation | |
|---|---|---|
| DOCU | -43.1% | |
| Market (SPY) | 30.4% | 25.5% |
| Sector (XLK) | 62.9% | 25.0% |
Fundamental Drivers
The -5.9% change in DOCU stock from 4/30/2023 to 5/6/2026 was primarily driven by a -27.0% change in the company's P/S Multiple.| (LTM values as of) | 4302023 | 5062026 | Change |
|---|---|---|---|
| Stock Price ($) | 49.44 | 46.53 | -5.9% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 2,516 | 3,220 | 28.0% |
| P/S Multiple | 4.0 | 2.9 | -27.0% |
| Shares Outstanding (Mil) | 202 | 200 | 0.7% |
| Cumulative Contribution | -5.9% |
Market Drivers
4/30/2023 to 5/6/2026| Return | Correlation | |
|---|---|---|
| DOCU | -5.9% | |
| Market (SPY) | 78.7% | 40.6% |
| Sector (XLK) | 130.2% | 38.8% |
Price Returns Compared
| 2021 | 2022 | 2023 | 2024 | 2025 | 2026 | Total [1] | |
|---|---|---|---|---|---|---|---|
| Returns | |||||||
| DOCU Return | -31% | -64% | 7% | 51% | -24% | -29% | -78% |
| Peers Return | 32% | -13% | 36% | 15% | -0% | -14% | 54% |
| S&P 500 Return | 27% | -19% | 24% | 23% | 16% | 6% | 93% |
Monthly Win Rates [3] | |||||||
| DOCU Win Rate | 42% | 25% | 50% | 67% | 42% | 40% | |
| Peers Win Rate | 63% | 37% | 63% | 55% | 43% | 48% | |
| S&P 500 Win Rate | 75% | 42% | 67% | 75% | 67% | 60% | |
Max Drawdowns [4] | |||||||
| DOCU Max Drawdown | -39% | -74% | -30% | -16% | -29% | -39% | |
| Peers Max Drawdown | -7% | -30% | -10% | -13% | -20% | -28% | |
| S&P 500 Max Drawdown | -1% | -25% | -1% | -2% | -15% | -7% | |
[1] Cumulative total returns since the beginning of 2021
[2] Peers: ADBE, MSFT, DBX, BOX, ORCL. See DOCU Returns vs. Peers.
[3] Win Rate = % of calendar months in which monthly returns were positive
[4] Max drawdown represents maximum peak-to-trough decline within a year
[5] 2026 data is for the year up to 5/6/2026 (YTD)
How Low Can It Go
| Event | DOCU | S&P 500 |
|---|---|---|
| 2025 US Tariff Shock | ||
| % Loss | -18.9% | -18.8% |
| % Gain to Breakeven | 23.3% | 23.1% |
| Time to Breakeven | 34 days | 79 days |
| Summer-Fall 2023 Five Percent Yield Shock | ||
| % Loss | -24.9% | -9.5% |
| % Gain to Breakeven | 33.1% | 10.5% |
| Time to Breakeven | 45 days | 24 days |
| 2023 SVB Regional Banking Crisis | ||
| % Loss | -23.4% | -6.7% |
| % Gain to Breakeven | 30.5% | 7.1% |
| Time to Breakeven | 226 days | 31 days |
| 2020 COVID-19 Crash | ||
| % Loss | -24.9% | -33.7% |
| % Gain to Breakeven | 33.2% | 50.9% |
| Time to Breakeven | 19 days | 140 days |
| Q4 2018 Fed Policy Error / Growth Scare | ||
| % Loss | -20.6% | -19.2% |
| % Gain to Breakeven | 25.9% | 23.7% |
| Time to Breakeven | 67 days | 105 days |
In The Past
Docusign's stock fell -18.9% during the 2025 US Tariff Shock. Such a loss loss requires a 23.3% gain to breakeven.
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| Event | DOCU | S&P 500 |
|---|---|---|
| Summer-Fall 2023 Five Percent Yield Shock | ||
| % Loss | -24.9% | -9.5% |
| % Gain to Breakeven | 33.1% | 10.5% |
| Time to Breakeven | 45 days | 24 days |
| 2023 SVB Regional Banking Crisis | ||
| % Loss | -23.4% | -6.7% |
| % Gain to Breakeven | 30.5% | 7.1% |
| Time to Breakeven | 226 days | 31 days |
| 2020 COVID-19 Crash | ||
| % Loss | -24.9% | -33.7% |
| % Gain to Breakeven | 33.2% | 50.9% |
| Time to Breakeven | 19 days | 140 days |
| Q4 2018 Fed Policy Error / Growth Scare | ||
| % Loss | -20.6% | -19.2% |
| % Gain to Breakeven | 25.9% | 23.7% |
| Time to Breakeven | 67 days | 105 days |
In The Past
Docusign's stock fell -18.9% during the 2025 US Tariff Shock. Such a loss loss requires a 23.3% gain to breakeven.
Preserve Wealth
Limiting losses and compounding gains is essential to preserving wealth.
Asset Allocation
Actively managed asset allocation strategies protect wealth. Learn more.
About Docusign (DOCU)
DocuSign, Inc. provides electronic signature software in the United States and internationally. The company provides e-signature solution that enables businesses to digitally prepare, sign, act on, and manage agreements. It also offers CLM, which automates workflows across the entire agreement process; Insights that use artificial intelligence (AI) to search and analyze agreements by legal concepts and clauses; Gen for Salesforce, which allows sales representatives to automatically generate agreements with a few clicks from within Salesforce; Negotiate for Salesforce that supports for approvals, document comparisons, and version control; Analyzer, which helps customers understand what they're signing before they sign it; and CLM+ that provide AI-driven contract lifecycle management. The company provides Guided Forms, which enable complex forms to be filled via an interactive and step-by-step process; Click that supports no-signature-required agreements for standard terms and consents; Identify, a signer-identification option for checking government-issued IDs; Standards-Based Signatures, which support signatures that involve digital certificates; Payments that enables customers to collect signatures and payment; Remote Online Notary is a solution using audio-visual and identify verification technologies to enable notarization; and Monitor using advanced analytics to track DocuSign eSignature web, mobile, and API account. It offers industry-specific cloud offerings, including Rooms for Real Estate that provides a way for brokers and agents to manage the entire real estate transaction digitally; Rooms for Mortgage, which offers digital workspace to create and close mortgages; FedRAMP, an authorized version of DocuSign eSignature for U.S. federal government agencies; and life sciences modules that support compliance with the electronic signature practices. The company sells its products through direct, partner-assisted, and Web-based sales. It serves enterprise, commercial, and small businesses. The company was incorporated in 2003 and is headquartered in San Francisco, California.
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DocuSign is like the Adobe Acrobat of digital agreements and e-signatures.
DocuSign is like Salesforce for managing business agreements and contracts.
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Docusign's major products and services include:
- DocuSign eSignature: The primary electronic signature solution enabling digital preparation, signing, and management of agreements.
- DocuSign CLM (Contract Lifecycle Management): Automates workflows across the entire agreement process, including AI-driven features like CLM+.
- DocuSign Insights: An AI-powered tool designed to search and analyze legal concepts and clauses within agreements.
- DocuSign for Salesforce: Integrations (Gen and Negotiate) that allow users to automatically generate, negotiate, and manage agreements directly within Salesforce.
- DocuSign Analyzer: A tool that assists customers in understanding what they are signing before they sign it.
- DocuSign Guided Forms: Enables complex forms to be filled via an interactive and step-by-step process.
- DocuSign Identity Solutions: Services including Identify, Click, and Standards-Based Signatures, for verifying signer identity and facilitating various types of digital consents.
- DocuSign Remote Online Notary (RON): A solution using audio-visual and identity verification technologies to enable digital notarization.
- DocuSign Payments: Enables customers to collect payments simultaneously while obtaining signatures.
- DocuSign Rooms (for Real Estate & Mortgage): Industry-specific digital workspaces that streamline the management of real estate and mortgage transactions.
- DocuSign Monitor: Provides advanced analytics to track DocuSign eSignature account activity across web, mobile, and API.
- DocuSign FedRAMP eSignature: An authorized version of DocuSign eSignature tailored for U.S. federal government agencies.
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DocuSign (DOCU) primarily sells its software and services to other companies and organizations, rather than directly to individuals.
Based on the provided company description, its major customer categories include:
- Enterprise businesses
- Commercial businesses
- Small businesses
- U.S. federal government agencies (through its FedRAMP authorized version)
- Professionals and companies in the real estate sector (e.g., brokers and agents)
- Professionals and companies in the mortgage sector
- Companies in the life sciences industry
The provided background information does not list specific customer company names.
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- Amazon.com, Inc. (AMZN)
- Microsoft Corporation (MSFT)
- Salesforce, Inc. (CRM)
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Allan Thygesen Chief Executive Officer Allan Thygesen has served as the Chief Executive Officer and Director of DocuSign since October 2022. Prior to joining DocuSign, he was President, Americas & Global Partners at Google, where he led their advertising business across North and South America, which generated over $100 billion in revenue. Earlier in his career, Thygesen was a managing director and partner in the U.S. venture and growth funds of The Carlyle Group, a private equity firm, where he led investments in startups in various sectors including e-commerce and enterprise software. He also held executive positions in several public and private companies, including Wink Communications, Inc., an interactive television technology company, which he helped take public in 1999. Blake Grayson Chief Financial Officer Blake Grayson assumed the role of Chief Financial Officer at DocuSign in June 2023. Before DocuSign, he served as the Chief Financial Officer of The Trade Desk from December 2019 to May 2023. For over a decade prior to that, Grayson held various Vice President of Finance and Chief Financial Officer roles at Amazon, contributing to their international consumer operations and the Amazon Marketplace. His experience also includes significant financial planning and analysis functions at JPMorgan Chase / Washington Mutual and AT&T Wireless. His background demonstrates a pattern of managing finances for publicly traded technology companies. Robert Chatwani President and General Manager, Growth Robert Chatwani has been the President and General Manager, Growth at DocuSign since February 2023. In this role, he leads the company's Marketing & Growth organization, overseeing its digital strategy, product-led growth, and all Chief Marketing Officer functions. Previously, Chatwani was the Chief Marketing Officer at Atlassian, where he played a key role in scaling the business to nearly $3 billion in revenue. He also served as Chief Revenue & Marketing Officer for the social e-commerce platform Spring and spent over a decade at eBay, culminating in his role as Chief Marketing Officer for North America. Steve Shute President of Worldwide Field Operations Steve Shute joined DocuSign as President of Worldwide Field Operations in May 2022. He is responsible for leading DocuSign's unified sales and success organization globally. Shute brings nearly three decades of experience in leading global enterprise sales and success organizations. His previous roles include serving as President of Global Sales & Go-to-Market for Customer Success at SAP, and he spent 14 years at IBM in various senior executive capacities. He began his career as a CPA and also held a Key Officer and EVP of Sales and Services role at Allscripts. Jim Shaughnessy Chief Legal Officer Jim Shaughnessy serves as the Chief Legal Officer at DocuSign, overseeing the company's legal strategies and compliance initiatives. He brings over 25 years of experience representing technology companies in public policy and legal affairs. Prior to DocuSign, Shaughnessy served as General Counsel at Workday and Chief Administrative Officer at Orbitz Worldwide.AI Analysis | Feedback
Key Business Risks for DocuSign (DOCU)
- Increased Competition and AI-powered Disruption: DocuSign faces significant challenges from a growing competitive landscape, including established players and emerging AI-powered solutions. The introduction of advanced AI tools, such as OpenAI's DocuGPT, could automate many of the processes currently handled by DocuSign's platform, potentially diminishing its value proposition and market share. As DocuSign expands into areas like Identity and Access Management (IAM) and Contract Lifecycle Management (CLM), it encounters strong competition from other companies already entrenched in these markets. Regional alternatives, like eSignGlobal in the Asia-Pacific (APAC) region, are also gaining traction by offering more localized solutions and addressing specific regional compliance needs, posing a threat to DocuSign's global dominance.
- Customer Dissatisfaction and Retention Issues: DocuSign has encountered significant customer dissatisfaction stemming from various factors. These include criticisms regarding its complex and opaque pricing model, unexpected charges, and difficulties in managing and canceling subscriptions. Many users have reported issues with inadequate customer service, particularly in regions like APAC, where service speeds are slower and support access is limited. Furthermore, some users find the platform's interface to be unfriendly and experience problems with document signing and saving functionalities. These issues can lead to customer churn and negatively impact the company's reputation and growth.
- Security Vulnerabilities and Regulatory Compliance Challenges: As a provider of electronic signature and agreement solutions, DocuSign handles highly sensitive information, making it susceptible to security breaches. The company has previously acknowledged data breaches that led to targeted malware phishing campaigns. While DocuSign emphasizes strong security, any future incidents could result in significant financial losses, reputational damage, and loss of customer trust. Additionally, operating internationally exposes DocuSign to diverse and often stringent regional data residency and compliance requirements. Its ability to fully align with these varying regulations, particularly in regions like China, Hong Kong, and Southeast Asia, has been highlighted as a limitation, creating potential legal and operational risks.
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DocuSign (symbol: DOCU) addresses several key markets with its products and services.
-
E-signature/Digital Signature Market:
The global e-signing market was estimated to be between USD 2.3 billion and USD 2.8 billion in 2020. It was projected to grow to USD 4.5 billion to USD 5 billion by 2023 and is expected to exceed USD 14 billion by 2026. Other projections indicate the global digital signature market was valued at USD 9.85 billion in 2025 and is expected to grow to USD 154.52 billion by 2034, exhibiting a compound annual growth rate (CAGR) of 35.40%. Another estimate places the global digital signature market size at USD 16.83 billion in 2026, forecast to reach USD 47.19 billion by 2031. DocuSign holds a dominant position, with an estimated 67% to 75% market share in the digital document management and e-signing market, respectively. In the U.S. e-signature sector, DocuSign is projected to maintain a leading position with around 42% market share by 2026.
-
Contract Lifecycle Management (CLM) Market:
DocuSign's Intelligent Agreement Management (IAM) platform allows for expansion into the CLM market. The total addressable market size for CLM is estimated to reach $40 billion before 2030. More specifically, the global contract lifecycle management software market size was estimated at USD 1.62 billion in 2024 and is projected to reach USD 3.24 billion by 2030, growing at a CAGR of 12.7% from 2025 to 2030. North America dominated the contract lifecycle management software market in 2024. Another projection indicates the global contract lifecycle management solution market size is expected to grow from USD 2.07 billion in 2026 to USD 5.09 billion by 2034. The global contract lifecycle management market is valued at USD 1.8 billion in 2026 and is projected to reach USD 5.4 billion by 2036.
-
Remote Online Notary (RON) Market:
The Online Notary Service market is projected to reach approximately $2 billion by 2025, with an anticipated CAGR of 15% from 2025 to 2033. The Mobile Notary Public Market is estimated to be valued at USD 0.5 billion in 2025 and is projected to reach USD 2.6 billion by 2035, growing at a CAGR of 18.4%. Another source states the global Mobile Notary Service Market size was valued at USD 0.45 billion in 2026, expected to reach USD 0.78 billion by 2035, with North America dominating with a 48% market share. The mobile notary public market size is anticipated to be valued at about US$ 1,582.6 million (approximately $1.58 billion) by 2032 end.
Overall, DocuSign's total addressable market, encompassing its various offerings, is cited as $50 billion.
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DocuSign (DOCU) is anticipated to drive future revenue growth over the next 2-3 years through several strategic initiatives focused on expanding its platform, leveraging advanced technologies, and broadening its market reach. Here are the key drivers:- Expansion of Intelligent Agreement Management (IAM) and Contract Lifecycle Management (CLM) offerings: DocuSign is strategically shifting beyond its core e-signature service to offer a more comprehensive Intelligent Agreement Management (IAM) platform and robust Contract Lifecycle Management (CLM) solutions. This expansion aims to capture broader digital agreement market opportunities by automating workflows across the entire agreement process, from drafting and negotiation to execution, storage, and renewal. DocuSign’s management has indicated a focus on transitioning customers from e-signature to IAM to drive future growth, and CLM has shown faster growth than the total business, with strong adoption among enterprise customers.
- Integration of Artificial Intelligence (AI) and advanced analytics: A significant driver of future revenue growth for DocuSign is the integration of AI and advanced analytics across its platform, particularly within its IAM and CLM offerings. The company is rolling out new AI features and digital contract tools, such as its AI engine Iris, to enhance contract automation, risk analysis, and decision-making. These AI capabilities enable users to draft, review, route, and manage agreements through natural language prompts, streamlining processes and reducing manual work. This technological advancement is expected to drive user adoption and expand DocuSign's addressable market.
- International Expansion: DocuSign is actively pursuing growth by expanding into more overseas markets. International expansion is recognized by management as a significant growth opportunity. In a recent quarter, international revenue reached 30% of the total, indicating the increasing importance of this segment.
- Strategic Partnerships and deeper integrations with other platforms: DocuSign aims to widen its market presence and reach through strategic partnerships and tighter integrations with other widely used business applications. The company has partnered with major players like Salesforce, Microsoft, and Google to embed its services within their ecosystems, facilitating increased usage and driving revenue. These integrations are crucial for expanding DocuSign's reach and enhancing its utility for businesses.
- Continued customer adoption and increased usage of core and new services: The fundamental engine for DocuSign's revenue growth remains the ongoing adoption of its services by new customers and increased usage among its existing client base. This includes improved customer retention rates and opportunities for upselling and cross-selling both core e-signature functionalities and newer IAM and CLM products. Recent reports show a modest improvement in the dollar net retention rate and improved consumption across customer segments, indicating healthy customer demand and a positive signal for future revenue growth.
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Share Repurchases
- DocuSign's annual share buybacks were $683.528 million in fiscal year 2025, $145.515 million in fiscal year 2024, and $63.041 million in fiscal year 2023.
- The company executed its largest single quarterly dollar buyback in history during Q3 2026, repurchasing $215 million in shares.
- As of Q3 2026, DocuSign had over $1 billion in remaining share buyback authorization.
Share Issuance
- DocuSign's shares outstanding increased by 0.66% to 0.21 billion in 2025 from 2024.
- Shares outstanding increased by 4.01% to 0.209 billion in 2024 from 2023.
- In Q3 2026, DocuSign had 201 million shares outstanding, marking a 0.5% decrease from the prior quarter.
Outbound Investments
- DocuSign has made 9 investments in total, spanning sectors such as Legal Tech, Finance & Accounting Tech, and Sales Force Automation.
- The company's most recent investment was a Series A funding round in OneNotary on March 26, 2024.
- Notable investments include BlackBoiler (Series A, October 2020), Seal Software (acquired, March 2019), and Snapdocs (Series D, October 2020).
Capital Expenditures
- DocuSign invested $27.4 million in capital expenditures during Q3 2026.
- The company's capital expenditures coverage for fiscal years ending January 2021 to 2025 averaged 7.9x, peaking at 10.6x in January 2024.
- Annual capital expenditures were -$108 million, -$97 million, and -$92 million in recent fiscal years.
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| 04302026 | PLTR | Palantir Technologies | Monopoly | MY | Getting CheaperMonopoly-Like with P/S DeclineLarge cap with monopoly-like margins or cash flow generation and getting cheaper based on P/S multiple | 0.0% | 0.0% | 0.0% |
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| 04102026 | BL | BlackLine | Dip Buy | DB | CFO/Rev | Low D/EDip Buy with High Cash Flow MarginsBuying dips for companies with significant cash flows from operations and reasonable debt / market cap | 3.2% | 3.2% | -3.0% |
| 02062026 | DOCU | Docusign | Dip Buy | DB | CFO/Rev | Low D/EDip Buy with High Cash Flow MarginsBuying dips for companies with significant cash flows from operations and reasonable debt / market cap | -2.4% | -2.4% | -11.4% |
| 06302022 | DOCU | Docusign | Dip Buy | DB | CFO/Rev | Low D/EDip Buy with High Cash Flow MarginsBuying dips for companies with significant cash flows from operations and reasonable debt / market cap | -2.8% | -11.0% | -30.6% |
Research & Analysis
Invest in Strategies
Wealth Management
Peer Comparisons
| Peers to compare with: |
Financials
| Median | |
|---|---|
| Name | |
| Mkt Price | 120.28 |
| Mkt Cap | 55.9 |
| Rev LTM | 13,836 |
| Op Inc LTM | 4,824 |
| FCF LTM | 994 |
| FCF 3Y Avg | 904 |
| CFO LTM | 5,836 |
| CFO 3Y Avg | 4,969 |
Growth & Margins
| Median | |
|---|---|
| Name | |
| Rev Chg LTM | 9.6% |
| Rev Chg 3Y Avg | 9.4% |
| Rev Chg Q | 10.7% |
| QoQ Delta Rev Chg LTM | 2.6% |
| Op Inc Chg LTM | 19.3% |
| Op Inc Chg 3Y Avg | 23.0% |
| Op Mgn LTM | 29.8% |
| Op Mgn 3Y Avg | 25.9% |
| QoQ Delta Op Mgn LTM | 0.5% |
| CFO/Rev LTM | 37.2% |
| CFO/Rev 3Y Avg | 35.7% |
| FCF/Rev LTM | 29.8% |
| FCF/Rev 3Y Avg | 29.8% |
Valuation
| Median | |
|---|---|
| Name | |
| Mkt Cap | 55.9 |
| P/S | 3.6 |
| P/Op Inc | 23.8 |
| P/EBIT | 22.2 |
| P/E | 27.3 |
| P/CFO | 9.7 |
| Total Yield | 4.4% |
| Dividend Yield | 0.0% |
| FCF Yield 3Y Avg | 6.5% |
| D/E | 0.1 |
| Net D/E | 0.0 |
Returns
| Median | |
|---|---|
| Name | |
| 1M Rtn | 3.2% |
| 3M Rtn | -1.1% |
| 6M Rtn | -22.4% |
| 12M Rtn | -17.8% |
| 3Y Rtn | 5.7% |
| 1M Excs Rtn | -6.9% |
| 3M Excs Rtn | -8.1% |
| 6M Excs Rtn | -32.0% |
| 12M Excs Rtn | -48.9% |
| 3Y Excs Rtn | -69.0% |
Comparison Analyses
Price Behavior
Price Behavior
| Market Price | $46.53 | |
| Market Cap ($ Bil) | 9.3 | |
| First Trading Date | 04/27/2018 | |
| Distance from 52W High | -50.4% | |
| 50 Days | 200 Days | |
| DMA Price | $46.81 | $62.80 |
| DMA Trend | down | down |
| Distance from DMA | -0.6% | -25.9% |
| 3M | 1YR | |
| Volatility | 45.1% | 46.8% |
| Downside Capture | 0.65 | 0.83 |
| Upside Capture | 89.24 | 44.44 |
| Correlation (SPY) | 15.1% | 24.9% |
DOCU Betas & Captures as of 4/30/2026
[1] Upside and downside betas calculated using positive and negative benchmark daily returns respectively
| 1M | 2M | 3M | 6M | 1Y | 3Y | |
|---|---|---|---|---|---|---|
| Beta | 0.22 | 0.12 | 0.66 | 0.70 | 0.95 | 1.19 |
| Up Beta | -0.35 | -0.47 | -0.21 | 0.44 | 0.88 | 1.01 |
| Down Beta | -2.97 | -0.62 | -0.53 | 0.16 | 0.98 | 1.28 |
| Up Capture | 28% | 52% | 81% | 37% | 32% | 132% |
| Bmk +ve Days | 15 | 22 | 31 | 66 | 141 | 428 |
| Stock +ve Days | 9 | 20 | 30 | 61 | 124 | 385 |
| Down Capture | 550% | 64% | 177% | 143% | 136% | 108% |
| Bmk -ve Days | 4 | 18 | 30 | 56 | 108 | 321 |
| Stock -ve Days | 13 | 22 | 33 | 63 | 126 | 363 |
[1] Upside and downside betas calculated using positive and negative benchmark daily returns respectively
Based On 1-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with DOCU | |
|---|---|---|---|---|
| DOCU | -44.0% | 46.8% | -1.09 | - |
| Sector ETF (XLK) | 59.0% | 20.6% | 2.14 | 25.2% |
| Equity (SPY) | 28.5% | 12.5% | 1.78 | 25.7% |
| Gold (GLD) | 40.6% | 27.2% | 1.23 | -7.8% |
| Commodities (DBC) | 50.9% | 18.0% | 2.20 | -5.1% |
| Real Estate (VNQ) | 12.8% | 13.5% | 0.65 | 12.2% |
| Bitcoin (BTCUSD) | -14.2% | 42.1% | -0.25 | 17.8% |
Smart multi-asset allocation framework can stack odds in your favor. Learn How
Based On 5-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with DOCU | |
|---|---|---|---|---|
| DOCU | -27.1% | 58.2% | -0.30 | - |
| Sector ETF (XLK) | 20.1% | 24.8% | 0.72 | 50.6% |
| Equity (SPY) | 12.7% | 17.1% | 0.58 | 50.2% |
| Gold (GLD) | 21.0% | 17.9% | 0.96 | 0.1% |
| Commodities (DBC) | 13.9% | 19.1% | 0.60 | 5.1% |
| Real Estate (VNQ) | 3.5% | 18.8% | 0.09 | 35.7% |
| Bitcoin (BTCUSD) | 8.7% | 56.1% | 0.37 | 26.0% |
Smart multi-asset allocation framework can stack odds in your favor. Learn How
Based On 10-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with DOCU | |
|---|---|---|---|---|
| DOCU | 1.5% | 56.5% | 0.27 | - |
| Sector ETF (XLK) | 24.3% | 24.4% | 0.90 | 49.0% |
| Equity (SPY) | 14.9% | 17.9% | 0.71 | 44.0% |
| Gold (GLD) | 13.7% | 16.0% | 0.71 | 2.0% |
| Commodities (DBC) | 9.5% | 17.7% | 0.45 | 8.4% |
| Real Estate (VNQ) | 5.7% | 20.7% | 0.24 | 27.0% |
| Bitcoin (BTCUSD) | 68.4% | 66.9% | 1.07 | 18.1% |
Smart multi-asset allocation framework can stack odds in your favor. Learn How
Earnings Returns History
Expand for More| Forward Returns | |||
|---|---|---|---|
| Earnings Date | 1D Returns | 5D Returns | 21D Returns |
| 3/17/2026 | 2.9% | -2.9% | -3.1% |
| 12/4/2025 | -7.6% | -1.2% | -2.2% |
| 9/4/2025 | 4.7% | 5.2% | -8.5% |
| 6/5/2025 | -19.0% | -18.2% | -14.3% |
| 3/13/2025 | 14.8% | 13.9% | -0.5% |
| 12/5/2024 | 27.9% | 13.0% | 5.5% |
| 9/5/2024 | 4.0% | -0.8% | 12.1% |
| 6/6/2024 | -4.7% | -6.3% | -4.9% |
| ... | |||
| SUMMARY STATS | |||
| # Positive | 10 | 7 | 6 |
| # Negative | 11 | 14 | 15 |
| Median Positive | 5.3% | 13.0% | 15.2% |
| Median Negative | -7.6% | -7.1% | -8.5% |
| Max Positive | 27.9% | 24.8% | 43.2% |
| Max Negative | -42.2% | -36.1% | -32.9% |
SEC Filings
Expand for More| Report Date | Filing Date | Filing |
|---|---|---|
| 01/31/2026 | 03/18/2026 | 10-K |
| 10/31/2025 | 12/05/2025 | 10-Q |
| 07/31/2025 | 09/05/2025 | 10-Q |
| 04/30/2025 | 06/06/2025 | 10-Q |
| 01/31/2025 | 03/18/2025 | 10-K |
| 10/31/2024 | 12/06/2024 | 10-Q |
| 07/31/2024 | 09/06/2024 | 10-Q |
| 04/30/2024 | 06/07/2024 | 10-Q |
| 01/31/2024 | 03/21/2024 | 10-K |
| 10/31/2023 | 12/08/2023 | 10-Q |
| 07/31/2023 | 09/07/2023 | 10-Q |
| 04/30/2023 | 06/08/2023 | 10-Q |
| 01/31/2023 | 03/27/2023 | 10-K |
| 10/31/2022 | 12/08/2022 | 10-Q |
| 07/31/2022 | 09/08/2022 | 10-Q |
| 04/30/2022 | 06/09/2022 | 10-Q |
Recent Forward Guidance [BETA]
Latest: Q4 2026 Earnings Reported 3/17/2026
| Forward Guidance | Guidance Change | ||||||
|---|---|---|---|---|---|---|---|
| Metric | Low | Mid | High | % Chg | % Delta | Change | Prior |
| Q1 2027 Total Revenue | 822.00 Mil | 824.00 Mil | 826.00 Mil | -0.4% | Lowered | Guidance: 827.00 Mil for Q4 2026 | |
| Q1 2027 Non-GAAP Gross Margin | 80.8% | 81.0% | 81.2% | 0 | 0 | Affirmed | Guidance: 81.0% for Q4 2026 |
| Q1 2027 Non-GAAP Operating Margin | 29.0% | 29.25% | 29.5% | 2.6% | 0.8% | Raised | Guidance: 28.5% for Q4 2026 |
| 2027 Total Revenue | 3.48 Bil | 3.49 Bil | 3.50 Bil | 8.7% | Higher New | Guidance: 3.21 Bil for 2026 | |
| 2027 Annual Recurring Revenue Growth | 8.25% | 8.5% | 8.75% | ||||
| 2027 Non-GAAP Gross Margin | 81.5% | 81.75% | 82.0% | 0 | 0 | Affirmed | Guidance: 81.75% for 2026 |
| 2027 Non-GAAP Operating Margin | 30.0% | 30.25% | 30.5% | 1.3% | 0.4% | Raised | Guidance: 29.85% for 2026 |
Prior: Q3 2026 Earnings Reported 12/4/2025
| Forward Guidance | Guidance Change | ||||||
|---|---|---|---|---|---|---|---|
| Metric | Low | Mid | High | % Chg | % Delta | Change | Prior |
| Q4 2026 Total revenue | 825.00 Mil | 827.00 Mil | 829.00 Mil | 2.6% | Higher New | Guidance: 806.00 Mil for Q3 2026 | |
| Q4 2026 Subscription revenue | 808.00 Mil | 810.00 Mil | 812.00 Mil | 2.8% | Higher New | Guidance: 788.00 Mil for Q3 2026 | |
| Q4 2026 Billings | 992.00 Mil | 997.00 Mil | 1.00 Bil | 26.2% | Higher New | Guidance: 790.00 Mil for Q3 2026 | |
| Q4 2026 Non-GAAP gross margin | 80.8% | 81.0% | 81.2% | ||||
| Q4 2026 Non-GAAP operating margin | 28.3% | 28.5% | 28.7% | ||||
| 2026 Total revenue | 3.21 Bil | 3.21 Bil | 3.21 Bil | 0.5% | Raised | Guidance: 3.19 Bil for 2026 | |
| 2026 Subscription revenue | 3.14 Bil | 3.14 Bil | 3.14 Bil | 0.5% | Raised | Guidance: 3.13 Bil for 2026 | |
| 2026 Billings | 3.38 Bil | 3.38 Bil | 3.39 Bil | 1.3% | Raised | Guidance: 3.34 Bil for 2026 | |
| 2026 Non-GAAP gross margin | 81.7% | 81.75% | 81.8% | ||||
| 2026 Non-GAAP operating margin | 29.8% | 29.85% | 29.9% | ||||
Insider Activity
Expand for More| # | Owner | Title | Holding | Action | Filing Date | Price | Shares | Transacted Value | Value of Held Shares | Form |
|---|---|---|---|---|---|---|---|---|---|---|
| 1 | Hansen, Paula | Chief Revenue Officer | Direct | Sell | 4022026 | 46.84 | 6,000 | 281,027 | 3,711,099 | Form |
| 2 | Shaughnessy, James P | Chief Legal Officer | Direct | Sell | 4022026 | 46.83 | 12,000 | 562,012 | 2,511,772 | Form |
| 3 | Thygesen, Allan C | President and CEO | Direct | Sell | 4022026 | 47.78 | 26,250 | 1,254,161 | 7,273,513 | Form |
| 4 | Chatwani, Robert | President General Mgr, Growth | Direct | Sell | 3192026 | 48.10 | 16,696 | 803,043 | 3,485,079 | Form |
| 5 | Marrs, Anna | Direct | Sell | 3052026 | 46.33 | 363 | 16,818 | 567,589 | Form |
External Quote Links
| Y Finance | Barrons |
| TradingView | Morningstar |
| SeekingAlpha | ValueLine |
| Motley Fool | Robinhood |
| CNBC | Etrade |
| MarketWatch | Unusual Whales |
| YCharts | Perplexity Finance |
| FinViz |
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