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DocuSign (DOCU) Outperforms Broader Market: What You Need to Know
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DocuSign (DOCU - Free Report) closed at $57.14 in the latest trading session, marking a +1.34% move from the prior day. The stock outperformed the S&P 500, which registered a daily gain of 0.28%. At the same time, the Dow added 0.53%, and the tech-heavy Nasdaq gained 0.4%.
Shares of the provider of electronic signature technology witnessed a gain of 10.9% over the previous month, beating the performance of the Business Services sector with its gain of 1.47% and the S&P 500's gain of 3.78%.
The upcoming earnings release of DocuSign will be of great interest to investors. On that day, DocuSign is projected to report earnings of $0.81 per share, which would represent year-over-year growth of 12.5%. Meanwhile, our latest consensus estimate is calling for revenue of $726.28 million, up 5.61% from the prior-year quarter.
DOCU's full-year Zacks Consensus Estimates are calling for earnings of $3.27 per share and revenue of $2.93 billion. These results would represent year-over-year changes of +9.73% and +5.94%, respectively.
Any recent changes to analyst estimates for DocuSign should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.57% higher. DocuSign is currently sporting a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that DocuSign has a Forward P/E ratio of 17.25 right now. This expresses a discount compared to the average Forward P/E of 22.7 of its industry.
Also, we should mention that DOCU has a PEG ratio of 1.26. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. As of the close of trade yesterday, the Technology Services industry held an average PEG ratio of 1.46.
The Technology Services industry is part of the Business Services sector. At present, this industry carries a Zacks Industry Rank of 98, placing it within the top 39% of over 250 industries.
The Zacks Industry Rank is ordered 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.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.
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DocuSign (DOCU) Outperforms Broader Market: What You Need to Know
DocuSign (DOCU - Free Report) closed at $57.14 in the latest trading session, marking a +1.34% move from the prior day. The stock outperformed the S&P 500, which registered a daily gain of 0.28%. At the same time, the Dow added 0.53%, and the tech-heavy Nasdaq gained 0.4%.
Shares of the provider of electronic signature technology witnessed a gain of 10.9% over the previous month, beating the performance of the Business Services sector with its gain of 1.47% and the S&P 500's gain of 3.78%.
The upcoming earnings release of DocuSign will be of great interest to investors. On that day, DocuSign is projected to report earnings of $0.81 per share, which would represent year-over-year growth of 12.5%. Meanwhile, our latest consensus estimate is calling for revenue of $726.28 million, up 5.61% from the prior-year quarter.
DOCU's full-year Zacks Consensus Estimates are calling for earnings of $3.27 per share and revenue of $2.93 billion. These results would represent year-over-year changes of +9.73% and +5.94%, respectively.
Any recent changes to analyst estimates for DocuSign should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.57% higher. DocuSign is currently sporting a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that DocuSign has a Forward P/E ratio of 17.25 right now. This expresses a discount compared to the average Forward P/E of 22.7 of its industry.
Also, we should mention that DOCU has a PEG ratio of 1.26. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. As of the close of trade yesterday, the Technology Services industry held an average PEG ratio of 1.46.
The Technology Services industry is part of the Business Services sector. At present, this industry carries a Zacks Industry Rank of 98, placing it within the top 39% of over 250 industries.
The Zacks Industry Rank is ordered 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.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.