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DocuSign (DOCU) Dips More Than Broader Markets: What You Should Know
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DocuSign (DOCU - Free Report) closed at $186.51 in the latest trading session, marking a -0.3% move from the prior day. This change lagged the S&P 500's 0.25% loss on the day.
Heading into today, shares of the provider of electronic signature technology had lost 19.78% over the past month, lagging the Business Services sector's loss of 1.95% and the S&P 500's gain of 1.26% in that time.
Wall Street will be looking for positivity from DOCU as it approaches its next earnings report date. This is expected to be June 3, 2021. On that day, DOCU is projected to report earnings of $0.27 per share, which would represent year-over-year growth of 125%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $434.87 million, up 46.41% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $1.32 per share and revenue of $1.97 billion. These totals would mark changes of +46.67% and +35.62%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for DOCU. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. DOCU is currently a Zacks Rank #3 (Hold).
Digging into valuation, DOCU currently has a Forward P/E ratio of 141.59. For comparison, its industry has an average Forward P/E of 31.27, which means DOCU is trading at a premium to the group.
We can also see that DOCU currently has a PEG ratio of 3.66. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Technology Services stocks are, on average, holding a PEG ratio of 2.38 based on yesterday's closing prices.
The Technology Services industry is part of the Business Services sector. This industry currently has a Zacks Industry Rank of 186, which puts it in the bottom 27% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow DOCU in the coming trading sessions, be sure to utilize Zacks.com.
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DocuSign (DOCU) Dips More Than Broader Markets: What You Should Know
DocuSign (DOCU - Free Report) closed at $186.51 in the latest trading session, marking a -0.3% move from the prior day. This change lagged the S&P 500's 0.25% loss on the day.
Heading into today, shares of the provider of electronic signature technology had lost 19.78% over the past month, lagging the Business Services sector's loss of 1.95% and the S&P 500's gain of 1.26% in that time.
Wall Street will be looking for positivity from DOCU as it approaches its next earnings report date. This is expected to be June 3, 2021. On that day, DOCU is projected to report earnings of $0.27 per share, which would represent year-over-year growth of 125%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $434.87 million, up 46.41% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $1.32 per share and revenue of $1.97 billion. These totals would mark changes of +46.67% and +35.62%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for DOCU. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. DOCU is currently a Zacks Rank #3 (Hold).
Digging into valuation, DOCU currently has a Forward P/E ratio of 141.59. For comparison, its industry has an average Forward P/E of 31.27, which means DOCU is trading at a premium to the group.
We can also see that DOCU currently has a PEG ratio of 3.66. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Technology Services stocks are, on average, holding a PEG ratio of 2.38 based on yesterday's closing prices.
The Technology Services industry is part of the Business Services sector. This industry currently has a Zacks Industry Rank of 186, which puts it in the bottom 27% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow DOCU in the coming trading sessions, be sure to utilize Zacks.com.