DocuSign, Inc. (DOCU) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

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DocuSign, Inc.

Why is DocuSign, Inc. ?

With ROE of 54.93%, it has a fair valuation with a 7.57 Price to Book Value

Over the past year, while the stock has generated a return of -20.52%, its profits have risen by 716.1% ; the PEG ratio of the company is 0

Below par performance in long term as well as near term

Along with generating -20.52% returns in the last 1 year, the stock has also underperformed S&P 500 in the last 3 years, 1 year and 3 months

Real-Time Research Report

Verdict Report

How much should you sell?

All quantity irrespective of whether you are making profits or losses

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Software Products)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is DocuSign, Inc. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

DocuSign, Inc.

-11.62%

0.60

55.42%

S&P 500

13.22%

0.61

20.17%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

21.61%

EBIT Growth (5y)

27.48%

EBIT to Interest (avg)

32.25

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.47

Sales to Capital Employed (avg)

1.72

Tax Ratio

Tax Ratio is Negative%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

96.41%

ROCE (avg)

32.26%

ROE (avg)

13.37%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

7.57

EV to EBIT

60.12

EV to EBITDA

34.23

EV to Capital Employed

13.16

EV to Sales

4.72

PEG Ratio

0.02

Dividend Yield

ROCE (Latest)

21.89%

ROE (Latest)

54.93%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

Mildly Bearish

OBV

No Trend

Mildly Bullish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

9What is working for the Company

OPERATING CASH FLOW(Y)

Highest at USD 1,039.75 MM

OPERATING PROFIT(Q)

Highest at USD 94.11 MM

RAW MATERIAL COST(Y)

Fallen by -0.59% (YoY

DEBTORS TURNOVER RATIO(HY)

Highest at 8.97 times

NET SALES(Q)

Highest at USD 800.64 MM

PRE-TAX PROFIT(Q)

Highest at USD 76.46 MM

-18What is not working for the Company

INTEREST(HY)

At USD 1.31 MM has Grown at 89.83%

NET PROFIT(Q)

At USD 62.97 MM has Fallen at -92.92%

INTEREST COVERAGE RATIO(Q)

Lowest at 11,365.58

DEBT-EQUITY RATIO (HY)

Highest at -36.91 %

EPS(Q)

Lowest at USD 0.3

Here's what is working for DocuSign, Inc.

Operating Cash Flow

Highest at USD 1,039.75 MM and Grown

In each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (USD MM)

Operating Profit

Highest at USD 94.11 MM and Grown

In each period in the last five periods

MOJO Watch

Near term Operating Profit trend is quite positive

Operating Profit (USD MM)

Net Sales

Highest at USD 800.64 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (USD MM)

Pre-Tax Profit

Highest at USD 76.46 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (USD MM)

Debtors Turnover Ratio

Highest at 8.97 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Raw Material Cost

Fallen by -0.59% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales

Here's what is not working for DocuSign, Inc.

Net Profit

At USD 62.97 MM has Fallen at -92.92%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (USD MM)

Interest

At USD 1.31 MM has Grown at 89.83%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (USD MM)

Interest Coverage Ratio

Lowest at 11,365.58

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

EPS

Lowest at USD 0.3

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (USD)

Debt-Equity Ratio

Highest at -36.91 %

in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio