DOCUSIGN INC (DOCU) Fundamental Analysis & Valuation

NASDAQ:DOCU • US2561631068

46.74 USD
+0.58 (+1.26%)
At close: Mar 3, 2026
45.55 USD
-1.19 (-2.55%)
After Hours: 3/3/2026, 8:06:06 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Forecast Earnings Financials Ownership News

This DOCU fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

Fundamental Rating

5

We assign a fundamental rating of 5 out of 10 to DOCU. DOCU was compared to 276 industry peers in the Software industry. DOCU has an average financial health and profitability rating. DOCU may be a bit undervalued, certainly considering the very reasonable score on growth This makes DOCU very considerable for value investing!


Dividend Valuation Growth Profitability Health

6

1. DOCU Profitability Analysis

1.1 Basic Checks

  • DOCU had positive earnings in the past year.
  • DOCU had a positive operating cash flow in the past year.
  • The reported net income has been mixed in the past 5 years: DOCU reported negative net income in multiple years.
  • Each year in the past 5 years DOCU had a positive operating cash flow.
DOCU Yearly Net Income VS EBIT VS OCF VS FCFDOCU Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 500M 1B

1.2 Ratios

  • Looking at the Return On Assets, with a value of 7.59%, DOCU belongs to the top of the industry, outperforming 80.43% of the companies in the same industry.
  • The Return On Equity of DOCU (15.25%) is better than 81.88% of its industry peers.
  • DOCU has a better Return On Invested Capital (9.75%) than 85.51% of its industry peers.
Industry RankSector Rank
ROA 7.59%
ROE 15.25%
ROIC 9.75%
ROA(3y)8.62%
ROA(5y)2.54%
ROE(3y)14.69%
ROE(5y)-11.2%
ROIC(3y)N/A
ROIC(5y)N/A
DOCU Yearly ROA, ROE, ROICDOCU Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 20 -20 40 -40 -60

1.3 Margins

  • The Profit Margin of DOCU (9.57%) is better than 72.10% of its industry peers.
  • DOCU has a Operating Margin of 8.59%. This is in the better half of the industry: DOCU outperforms 74.64% of its industry peers.
  • Looking at the Gross Margin, with a value of 79.31%, DOCU is in the better half of the industry, outperforming 78.62% of the companies in the same industry.
  • In the last couple of years the Gross Margin of DOCU has remained more or less at the same level.
Industry RankSector Rank
OM 8.59%
PM (TTM) 9.57%
GM 79.31%
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.53%
GM growth 5Y1.07%
DOCU Yearly Profit, Operating, Gross MarginsDOCU Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 50 -50

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ROAROEROICOperating and Profit MarginShow most profitable peers

5

2. DOCU Health Analysis

2.1 Basic Checks

  • The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so DOCU is destroying value.
  • The number of shares outstanding for DOCU has been reduced compared to 1 year ago.
  • Compared to 5 years ago, DOCU has more shares outstanding
  • There is no outstanding debt for DOCU. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
DOCU Yearly Shares OutstandingDOCU Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 50M 100M 150M 200M
DOCU Yearly Total Debt VS Total AssetsDOCU Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1B 2B 3B 4B

2.2 Solvency

  • An Altman-Z score of 3.06 indicates that DOCU is not in any danger for bankruptcy at the moment.
  • DOCU has a Altman-Z score of 3.06. This is in the better half of the industry: DOCU outperforms 64.86% of its industry peers.
  • There is no outstanding debt for DOCU. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
Industry RankSector Rank
Debt/Equity 0
Debt/FCF 0
Altman-Z 3.06
ROIC/WACC0.9
WACC10.88%
DOCU Yearly LT Debt VS Equity VS FCFDOCU Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 500M 1B 1.5B 2B

2.3 Liquidity

  • A Current Ratio of 0.73 indicates that DOCU may have some problems paying its short term obligations.
  • DOCU's Current ratio of 0.73 is on the low side compared to the rest of the industry. DOCU is outperformed by 88.41% of its industry peers.
  • DOCU has a Quick Ratio of 0.73. This is a bad value and indicates that DOCU is not financially healthy enough and could expect problems in meeting its short term obligations.
  • Looking at the Quick ratio, with a value of 0.73, DOCU is doing worse than 88.41% of the companies in the same industry.
Industry RankSector Rank
Current Ratio 0.73
Quick Ratio 0.73
DOCU Yearly Current Assets VS Current LiabilitesDOCU Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 500M 1B 1.5B 2B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

6

3. DOCU Growth Analysis

3.1 Past

  • The Earnings Per Share has been growing slightly by 6.96% over the past year.
  • The Earnings Per Share has been growing by 62.84% on average over the past years. This is a very strong growth
  • Looking at the last year, DOCU shows a quite strong growth in Revenue. The Revenue has grown by 8.45% in the last year.
  • Measured over the past years, DOCU shows a very strong growth in Revenue. The Revenue has been growing by 25.04% on average per year.
EPS 1Y (TTM)6.96%
EPS 3Y21.69%
EPS 5Y62.84%
EPS Q2Q%12.22%
Revenue 1Y (TTM)8.45%
Revenue growth 3Y12.2%
Revenue growth 5Y25.04%
Sales Q2Q%8.42%

3.2 Future

  • The Earnings Per Share is expected to grow by 8.69% on average over the next years. This is quite good.
  • The Revenue is expected to grow by 6.97% on average over the next years.
EPS Next Y8.79%
EPS Next 2Y8.77%
EPS Next 3Y9.1%
EPS Next 5Y8.69%
Revenue Next Year8.37%
Revenue Next 2Y7.53%
Revenue Next 3Y7.48%
Revenue Next 5Y6.97%

3.3 Evolution

  • When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
  • The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
DOCU Yearly Revenue VS EstimatesDOCU Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2016 2018 2020 2022 2024 2026 2028 2030 2032 2034 1B 2B 3B 4B 5B
DOCU Yearly EPS VS EstimatesDOCU Yearly EPS VS EstimatesYearly EPS VS Estimates 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2 4 6

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Find the best growth stocksShow best growing peers

7

4. DOCU Valuation Analysis

4.1 Price/Earnings Ratio

  • With a Price/Earnings ratio of 12.67, DOCU is valued correctly.
  • Compared to the rest of the industry, the Price/Earnings ratio of DOCU indicates a rather cheap valuation: DOCU is cheaper than 84.06% of the companies listed in the same industry.
  • Compared to an average S&P500 Price/Earnings ratio of 26.83, DOCU is valued rather cheaply.
  • DOCU is valuated reasonably with a Price/Forward Earnings ratio of 11.13.
  • Based on the Price/Forward Earnings ratio, DOCU is valued cheaper than 83.33% of the companies in the same industry.
  • DOCU's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 24.95.
Industry RankSector Rank
PE 12.67
Fwd PE 11.13
DOCU Price Earnings VS Forward Price EarningsDOCU Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30 40

4.2 Price Multiples

  • Based on the Enterprise Value to EBITDA ratio, DOCU is valued a bit cheaper than 73.91% of the companies in the same industry.
  • Based on the Price/Free Cash Flow ratio, DOCU is valued cheaper than 91.30% of the companies in the same industry.
Industry RankSector Rank
P/FCF 9.47
EV/EBITDA 20.91
DOCU Per share dataDOCU EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 5 10 15

4.3 Compensation for Growth

  • The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
  • DOCU has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)1.44
PEG (5Y)0.2
EPS Next 2Y8.77%
EPS Next 3Y9.1%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

0

5. DOCU Dividend Analysis

5.1 Amount

  • No dividends for DOCU!.
Industry RankSector Rank
Dividend Yield 0%

More info and screens

Find the best dividend stocksShow peers with best dividend

DOCU Fundamentals: All Metrics, Ratios and Statistics

DOCUSIGN INC

NASDAQ:DOCU (3/3/2026, 8:06:06 PM)

After market: 45.55 -1.19 (-2.55%)

46.74

+0.58 (+1.26%)

Chartmill FA Rating
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)12-04
Earnings (Next)03-17
Inst Owners86.69%
Inst Owner Change-1.08%
Ins Owners0.5%
Ins Owner Change0.54%
Market Cap9.36B
Revenue(TTM)3.16B
Net Income(TTM)302.27M
Analysts71.72
Price Target80.82 (72.91%)
Short Float %7.09%
Short Ratio3.13
Dividend
Industry RankSector Rank
Dividend Yield 0%
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)7.48%
Min EPS beat(2)6.77%
Max EPS beat(2)8.2%
EPS beat(4)3
Avg EPS beat(4)5.78%
Min EPS beat(4)-0.64%
Max EPS beat(4)8.79%
EPS beat(8)7
Avg EPS beat(8)7.57%
EPS beat(12)11
Avg EPS beat(12)11.53%
EPS beat(16)13
Avg EPS beat(16)9.6%
Revenue beat(2)1
Avg Revenue beat(2)0.02%
Min Revenue beat(2)-0.57%
Max Revenue beat(2)0.61%
Revenue beat(4)2
Avg Revenue beat(4)0.02%
Min Revenue beat(4)-0.57%
Max Revenue beat(4)0.61%
Revenue beat(8)2
Avg Revenue beat(8)-0.39%
Revenue beat(12)4
Avg Revenue beat(12)-0.07%
Revenue beat(16)7
Avg Revenue beat(16)0.13%
PT rev (1m)-7.23%
PT rev (3m)-16.31%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-0.22%
EPS NY rev (1m)0%
EPS NY rev (3m)2.77%
Revenue NQ rev (1m)-0.02%
Revenue NQ rev (3m)0.12%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.43%
Valuation
Industry RankSector Rank
PE 12.67
Fwd PE 11.13
P/S 2.96
P/FCF 9.47
P/OCF 8.54
P/B 4.72
P/tB 6.4
EV/EBITDA 20.91
EPS(TTM)3.69
EY7.89%
EPS(NY)4.2
Fwd EY8.99%
FCF(TTM)4.93
FCFY10.55%
OCF(TTM)5.47
OCFY11.71%
SpS15.77
BVpS9.89
TBVpS7.31
PEG (NY)1.44
PEG (5Y)0.2
Graham Number28.66
Profitability
Industry RankSector Rank
ROA 7.59%
ROE 15.25%
ROCE 12.34%
ROIC 9.75%
ROICexc 15.77%
ROICexgc 25.5%
OM 8.59%
PM (TTM) 9.57%
GM 79.31%
FCFM 31.27%
ROA(3y)8.62%
ROA(5y)2.54%
ROE(3y)14.69%
ROE(5y)-11.2%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.53%
GM growth 5Y1.07%
F-Score7
Asset Turnover0.79
Health
Industry RankSector Rank
Debt/Equity 0
Debt/FCF 0
Debt/EBITDA 0
Cap/Depr 91.05%
Cap/Sales 3.41%
Interest Coverage 250
Cash Conversion 281.19%
Profit Quality 326.83%
Current Ratio 0.73
Quick Ratio 0.73
Altman-Z 3.06
F-Score7
WACC10.88%
ROIC/WACC0.9
Cap/Depr(3y)92.4%
Cap/Depr(5y)93.61%
Cap/Sales(3y)3.23%
Cap/Sales(5y)3.65%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)6.96%
EPS 3Y21.69%
EPS 5Y62.84%
EPS Q2Q%12.22%
EPS Next Y8.79%
EPS Next 2Y8.77%
EPS Next 3Y9.1%
EPS Next 5Y8.69%
Revenue 1Y (TTM)8.45%
Revenue growth 3Y12.2%
Revenue growth 5Y25.04%
Sales Q2Q%8.42%
Revenue Next Year8.37%
Revenue Next 2Y7.53%
Revenue Next 3Y7.48%
Revenue Next 5Y6.97%
EBIT growth 1Y47.82%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year21.68%
EBIT Next 3Y12.03%
EBIT Next 5Y-3.95%
FCF growth 1Y31.45%
FCF growth 3Y27.4%
FCF growth 5Y83.99%
OCF growth 1Y29.53%
OCF growth 3Y26.17%
OCF growth 5Y54.46%

DOCUSIGN INC / DOCU FAQ

What is the ChartMill fundamental rating of DOCUSIGN INC (DOCU) stock?

ChartMill assigns a fundamental rating of 5 / 10 to DOCU.


What is the valuation status of DOCUSIGN INC (DOCU) stock?

ChartMill assigns a valuation rating of 7 / 10 to DOCUSIGN INC (DOCU). This can be considered as Undervalued.


How profitable is DOCUSIGN INC (DOCU) stock?

DOCUSIGN INC (DOCU) has a profitability rating of 6 / 10.


What is the earnings growth outlook for DOCUSIGN INC?

The Earnings per Share (EPS) of DOCUSIGN INC (DOCU) is expected to grow by 8.79% in the next year.