The Vanguard Group, Inc. recently announced the acquisition of new stake in DocuSign Inc. (NASDAQ:DOCU). The institutional investor has increased its shareholding in the Technology company by 22.58% to 15.53 million shares with purchase of 2.86 million shares. This fresh investment now brings its stake to 8.47% valued currently at $3.37 billion. In addition, BlackRock Fund Advisors raised its holdings by 0.77 million to 7.49 million shares. And SSgA Funds Management, Inc. has lifted its position by 28.39% or 0.8 million shares – to 3.61 million shares.
With over 20.65 million DocuSign Inc. (DOCU) shares trading Tuesday and a closing price of $268.80 on the day, the dollar volume was approximately $5.55 billion. The shares have shown a positive weekly performance of 31.06% and its price on 09/01/20 gained nearly 20.54%. Currently, there are 182.98M common shares owned by the public and among those 170.99M shares have been available to trade.
An analysis of what Wall Street brokers have to say about the expected price targets for this stock gives us this picture: 18 analysts who have offered their price forecasts for DOCU have a consensus price objective of $193.70. The analysts have set the share’s price value over the next 12 months at a high of $250.00 and a low of $140.00 should the stock experience a downside. Incidentally, analysts’ outlook for the DocuSign Inc. stock is 2.20 for the next 12 months. The average price target is -40.62% below its last price level and a downside to the estimated low will see the stock lose -92.0% over that period. But an upside of -7.52% will see the stock hit the forecast high price target while mean target price for the stock is $193.50.
Insiders at the company have transacted a total of 185 times over the past 12 months, according to data filed with the U.S. Securities and Exchange Commission (SEC). 20 of these insider trades were purchases, accounting for 312,549 shares. Insider sales of the common stock occurred on 165 occasions, with total insider shares sold totaling 905,328 shares.
The top 3 mutual fund holders in DocuSign Inc. are Vanguard Total Stock Market Index, T Rowe Price New Horizons Fund, and Vanguard Mid Cap Index Fund. Vanguard Total Stock Market Index owns 4.94 million shares of the company’s stock, all valued at over $1.07 billion. The company sold 17991.0 shares recently to bring their total holdings to about 2.69% of the shares outstanding. T Rowe Price New Horizons Fund sold -2.01 million shares to see its total holdings shrink to 4.4 million shares valued at over $953.89 million and representing 2.40% of the shares outstanding. Vanguard Mid Cap Index Fund sold 34112.0 shares to bring its total holdings to over 4.27 million shares at a value of $925.28 million. Vanguard Mid Cap Index Fund now owns shares totaling to 2.33% of the shares outstanding.
Shares of DocuSign Inc. (NASDAQ: DOCU) opened at $240.68, up $17.68 from a prior closing price of $223.00. However, the script later closed the day at $268.80, up 20.54%. The company’s stock has a 5-day price change of 31.06% and 82.30% over the past three months. DOCU shares are trading 262.70% year to date (YTD), with the 12-month market performance up to 476.70% higher. It has a 12-month low price of $45.52 and touched a high of $229.83 over the same period. Currently, 20.65 million shares have been traded, compared to an average intraday trading volume of 4.94 million shares. The stock is trading above its simple moving averages at the SMA20, SMA50, and SMA200, as the current price level is off by 28.50%, 34.63%, and 123.83% respectively.
Institutional ownership of DocuSign Inc. (NASDAQ: DOCU) shares accounts for 79.10% of the company’s 182.98M shares outstanding. Mutual fund holders own 31.90%, while other institutional holders and individual stakeholders account for 45.08% and 24.66% respectively.
It has a market capitalization of $49.22B. The earnings-per-share (ttm) stands at -$1.18. Price movements for the stock have been influenced by the stock’s volatility, which stands at 6.42% over the week and 5.03% over the month.
Analysts forecast that DocuSign Inc. (DOCU) will achieve an EPS of $0.08 for the current quarter, $0.12 for the next quarter and $0.84 for 2022. The lowest estimate earnings-per-share for the quarter is $0.06 while analysts give the company a high EPS estimate of $0.1. Comparatively, EPS for the current quarter was $0.01 a year ago. Earnings per share for the fiscal year are expected to increase by 62.70%, and 73.90% over the next financial year.
If you are looking to buy this stock, then you may note that the average analyst recommendation by 18 brokerage firm advisors rate DocuSign Inc. (DOCU) as a “Moderate Buy” at a consensus score of 2.20. Specifically, 10 Wall Street analysts polled rate the stock as a buy, while 7 of the 18 advise that investors “hold,” and 1 rated it as a “Sell.”
Looking at the support for the DOCU, a number of firms have released research notes about the stock. RBC Capital Mkts stated their Outperform rating for the stock in a research note on July 02, 2020, with the firm’s price target at $170-$210. Oppenheimer coverage for the DocuSign Inc. (DOCU) stock in a research note released on June 25, 2020 offered a Outperform rating with a price target of $200. Wells Fargo was of a view on June 23, 2020 that the stock is Equal Weight, while Morgan Stanley gave the stock Equal-Weight rating on January 13, 2020, issuing a price target of $67- $76. JMP Securities on their part issued Mkt Outperform rating on November 21, 2019.