Did You Miss Your Chance to Buy DocuSign, Inc. (DOCU)?

It has been reported that multiple insider activity took place at DocuSign, Inc. (DOCU). Chief Technology & Ops Officer Wolberg Kirsten O. sold 10,166 shares for $178,175 in transaction occurred on 2019/03/25. After making this transaction, Chief Technology & Ops Officer owns a direct stake of 4 shares, worth $9,844,169, as per the last closing price. On 2019/03/19 Alhadeff Loren, Chief Revenue Officer at DOCU, dumped 8,717 shares at an average price of $56.04 per share. The selling total is valued at $7,928,375.

Chief Revenue Officer, Alhadeff Loren had divested 12,000 shares for $157,875 through a trade on 2019/02/25. Following this activity, the insider holds 2 shares worth $8,722,594 as of recent close.

Smallcap World Fund revealed as top hedge fund owner in DocuSign, Inc. (DOCU) with a stake of over 3.62M DOCU shares as of December 30, with a market value of approx. $145.16M as of today. The second largest holder, Price (T.Rowe) New Horizons Fund, with 2.74M shares which equates to $109.93M worth of the stock. At third is Virtus Equity Tr-Virtus KAR Small Cap Growth Fd, which stood pat with 2.41M shares, a 1.38% position in DocuSign, Inc., worth $127.66M. The insider holding in stood at 6.9% while institutions hold 79.6%.

DocuSign, Inc. (NASDAQ:DOCU) dropped -0.18% in recent trade and currently has a stock-market value of $9.3B. The shares finished at $55.25, after trading as low as $54.81 earlier in the session. It hit an intraday high Friday at $55.86. Trading activity significantly weakened as the volume at ready counter decreased to 1,308,260 shares versus 2,185,925 in average daily trading volume over the past 20 days. So far this year, the volume has averaged about 2,311,608 shares. Now the market price is down 0% on the year and up 37.85% YTD.

DOCU stock’s 50 day simple moving average (SMA 50) price is $54.27 and its 200-day simple moving average (SMA 200) price is $50.16. The company’s stock currently has a total float of 153.08M shares. Its weekly volatility is hovering around 2.75% and felt 3.33% volatility in price over a month. On the upside, the share price will test short term resistance at around $55.8. On a downside, the stock is likely to find some support, which begins at $54.75. The failure to get near-term support could push it to $54.26.

It had seen a positive analyst call from Deutsche Bank, which upgraded the stock from Hold to Buy on February 13. Analysts at KeyBanc Capital Mkts, started covering the stock on January 28 with a Overweight rating. The stock won favor of Morgan Stanley analysts who expressed their confidence in it using an upgrade from Equal-Weight to Overweight on January 15. Goldman, released new analyst coverage on December 13, calling the stock is Neutral.

Moreover, it trades for 147.73 times the next 12 months of expected earnings. Also, it is trading at rather expensive levels at just over 15.05x price/book and 13.27x price/sales. Compared to others, DocuSign, Inc. is in a different league with regards to profitability, having net margins of -60.9%. To put some perspective around this, the industry’s average net margin is 12.2%. DOCU’s ROE is -93.1%, which is also considerably worse than the industry’s ROE of 14.96%. It’s also very liquid in the near term, with a current ratio of 1.9. The stock has a debt/capital of 0.71.

DOCU last reported earnings that exceeded expectations. The company raked in 0 per share, -100% change on the same period last year. That was better than consensus for -$0.02. For this quarter, Wall Street analysts forecast revenue in a range of $215.27 million to $223.5 million, which should be compared with $0 generated last year.