46.07 USD
-5.93 (-11.4%)
At close: Feb 3, 2026
46.04 USD
-0.03 (-0.07%)
After Hours: 2/3/2026, 4:42:47 PM
DOCU gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 278 industry peers in the Software industry. DOCU has only an average score on both its financial health and profitability. DOCU may be a bit undervalued, certainly considering the very reasonable score on growth These ratings could make DOCU a good candidate for value investing.
1. Profitability
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.
1.2 Ratios
- DOCU has a Return On Assets of 7.59%. This is in the better half of the industry: DOCU outperforms 79.14% of its industry peers.
- DOCU's Return On Equity of 15.25% is amongst the best of the industry. DOCU outperforms 82.37% of its industry peers.
- DOCU has a better Return On Invested Capital (9.75%) than 84.53% of its industry peers.
| Industry Rank | Sector 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
1.3 Margins
- Looking at the Profit Margin, with a value of 9.57%, DOCU is in the better half of the industry, outperforming 69.42% of the companies in the same industry.
- DOCU's Operating Margin of 8.59% is fine compared to the rest of the industry. DOCU outperforms 73.74% of its industry peers.
- DOCU has a better Gross Margin (79.31%) than 78.78% of its industry peers.
- In the last couple of years the Gross Margin of DOCU has remained more or less at the same level.
| Industry Rank | Sector 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%
2. Health
2.1 Basic Checks
- DOCU has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it 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
- DOCU has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
- An Altman-Z score of 3.42 indicates that DOCU is not in any danger for bankruptcy at the moment.
- DOCU's Altman-Z score of 3.42 is fine compared to the rest of the industry. DOCU outperforms 67.27% 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 Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 3.42 |
ROIC/WACC0.87
WACC11.16%
2.3 Liquidity
- DOCU has a Current 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.
- DOCU's Current ratio of 0.73 is on the low side compared to the rest of the industry. DOCU is outperformed by 87.05% of its industry peers.
- A Quick Ratio of 0.73 indicates that DOCU may have some problems paying its short term obligations.
- Looking at the Quick ratio, with a value of 0.73, DOCU is doing worse than 87.05% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.73 | ||
| Quick Ratio | 0.73 |
3. Growth
3.1 Past
- The Earnings Per Share has been growing slightly by 6.96% over the past year.
- DOCU shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 62.84% yearly.
- The Revenue has grown by 8.45% in the past year. This is quite good.
- 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.
- DOCU is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 6.97% yearly.
EPS Next Y8.79%
EPS Next 2Y8.77%
EPS Next 3Y9.1%
EPS Next 5Y8.69%
Revenue Next Year8.37%
Revenue Next 2Y7.59%
Revenue Next 3Y7.63%
Revenue Next 5Y6.97%
3.3 Evolution
- The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
- The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 12.49, DOCU is valued correctly.
- Based on the Price/Earnings ratio, DOCU is valued cheaply inside the industry as 81.30% of the companies are valued more expensively.
- When comparing the Price/Earnings ratio of DOCU to the average of the S&P500 Index (28.41), we can say DOCU is valued rather cheaply.
- A Price/Forward Earnings ratio of 10.97 indicates a reasonable valuation of DOCU.
- Based on the Price/Forward Earnings ratio, DOCU is valued cheaper than 82.73% 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 25.64.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.49 | ||
| Fwd PE | 10.97 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, DOCU is valued a bit cheaper than the industry average as 71.94% of the companies are valued more expensively.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of DOCU indicates a rather cheap valuation: DOCU is cheaper than 90.65% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.38 | ||
| EV/EBITDA | 24.02 |
4.3 Compensation for Growth
- DOCU's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
- The decent profitability rating of DOCU may justify a higher PE ratio.
PEG (NY)1.42
PEG (5Y)0.2
EPS Next 2Y8.77%
EPS Next 3Y9.1%
5. Dividend
5.1 Amount
- No dividends for DOCU!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
46.07
-5.93 (-11.4%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)12-04 2025-12-04/amc
Earnings (Next)03-11 2026-03-11/amc
Inst Owners86.69%
Inst Owner Change-2.71%
Ins Owners0.5%
Ins Owner Change0.59%
Market Cap9.26B
Revenue(TTM)3.16B
Net Income(TTM)302.27M
Analysts72.41
Price Target87.12 (89.1%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector 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)-1.9%
PT rev (3m)-9.79%
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%
Revenue NQ rev (3m)0.14%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.43%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.49 | ||
| Fwd PE | 10.97 | ||
| P/S | 2.93 | ||
| P/FCF | 9.38 | ||
| P/OCF | 8.46 | ||
| P/B | 4.68 | ||
| P/tB | 6.33 | ||
| EV/EBITDA | 24.02 |
EPS(TTM)3.69
EY8.01%
EPS(NY)4.2
Fwd EY9.12%
FCF(TTM)4.91
FCFY10.66%
OCF(TTM)5.45
OCFY11.83%
SpS15.71
BVpS9.85
TBVpS7.28
PEG (NY)1.42
PEG (5Y)0.2
Graham Number28.6
Profitability
| Industry Rank | Sector 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 Rank | Sector 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 | 3.42 |
F-Score7
WACC11.16%
ROIC/WACC0.87
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 2Y7.59%
Revenue Next 3Y7.63%
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.