59.69 USD
-2.18 (-3.52%)
60 USD
+0.31 (+0.52%)
DOCU gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 276 industry peers in the Software industry. DOCU has an average financial health and profitability rating. DOCU is not valued too expensively and it also shows a decent growth rate.
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
- The Return On Assets of DOCU (7.59%) is better than 78.26% of its industry peers.
- DOCU's Return On Equity of 15.25% is amongst the best of the industry. DOCU outperforms 82.25% of its industry peers.
- DOCU has a better Return On Invested Capital (9.75%) than 84.06% 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
- The Profit Margin of DOCU (9.57%) is better than 69.93% of its industry peers.
- Looking at the Operating Margin, with a value of 8.59%, DOCU is in the better half of the industry, outperforming 73.91% of the companies in the same industry.
- With a decent Gross Margin value of 79.31%, DOCU is doing good in the industry, outperforming 78.99% 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 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.
- Compared to 1 year ago, DOCU has less shares outstanding
- 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
- DOCU has an Altman-Z score of 4.02. This indicates that DOCU is financially healthy and has little risk of bankruptcy at the moment.
- Looking at the Altman-Z score, with a value of 4.02, DOCU is in the better half of the industry, outperforming 68.48% of the companies in the same industry.
- DOCU has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 4.02 |
ROIC/WACC0.89
WACC10.99%
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.
- With a Current ratio value of 0.73, DOCU is not doing good in the industry: 86.59% of the companies in the same industry are doing better.
- A Quick Ratio of 0.73 indicates that DOCU may have some problems paying its short term obligations.
- DOCU has a Quick ratio of 0.73. This is amonst the worse of the industry: DOCU underperforms 86.59% of its industry peers.
| 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.
- The Earnings Per Share has been growing by 62.84% on average over the past years. This is a very strong growth
- The Revenue has grown by 8.45% in the past year. This is quite good.
- The Revenue has been growing by 25.04% on average over the past years. This is a very strong growth!
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
- DOCU is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 8.69% yearly.
- Based on estimates for the next years, DOCU will show a small growth in Revenue. The Revenue will grow by 6.97% on average per year.
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
- The Price/Earnings ratio is 16.18, which indicates a correct valuation of DOCU.
- Compared to the rest of the industry, the Price/Earnings ratio of DOCU indicates a somewhat cheap valuation: DOCU is cheaper than 78.26% of the companies listed in the same industry.
- Compared to an average S&P500 Price/Earnings ratio of 27.54, DOCU is valued a bit cheaper.
- With a Price/Forward Earnings ratio of 14.21, DOCU is valued correctly.
- 81.88% of the companies in the same industry are more expensive than DOCU, based on the Price/Forward Earnings ratio.
- The average S&P500 Price/Forward Earnings ratio is at 24.31. DOCU is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.18 | ||
| Fwd PE | 14.21 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, DOCU is valued a bit cheaper than the industry average as 69.93% of the companies are valued more expensively.
- DOCU's Price/Free Cash Flow ratio is rather cheap when compared to the industry. DOCU is cheaper than 89.13% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.15 | ||
| EV/EBITDA | 29.12 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
- DOCU has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)1.84
PEG (5Y)0.26
EPS Next 2Y8.77%
EPS Next 3Y9.1%
5. Dividend
5.1 Amount
- No dividends for DOCU!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
59.69
-2.18 (-3.52%)
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 Change0.17%
Ins Owners0.5%
Ins Owner Change0.88%
Market Cap12.00B
Revenue(TTM)3.16B
Net Income(TTM)302.27M
Analysts72.41
Price Target88.81 (48.79%)
Short Float %2.76%
Short Ratio2.08
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)-4.53%
PT rev (3m)-8.04%
EPS NQ rev (1m)-0.22%
EPS NQ rev (3m)-0.22%
EPS NY rev (1m)2.83%
EPS NY rev (3m)2.77%
Revenue NQ rev (1m)0.06%
Revenue NQ rev (3m)0.14%
Revenue NY rev (1m)0.43%
Revenue NY rev (3m)0.43%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.18 | ||
| Fwd PE | 14.21 | ||
| P/S | 3.8 | ||
| P/FCF | 12.15 | ||
| P/OCF | 10.96 | ||
| P/B | 6.06 | ||
| P/tB | 8.2 | ||
| EV/EBITDA | 29.12 |
EPS(TTM)3.69
EY6.18%
EPS(NY)4.2
Fwd EY7.04%
FCF(TTM)4.91
FCFY8.23%
OCF(TTM)5.45
OCFY9.13%
SpS15.71
BVpS9.85
TBVpS7.28
PEG (NY)1.84
PEG (5Y)0.26
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 | 4.02 |
F-Score7
WACC10.99%
ROIC/WACC0.89
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 Year23.02%
EBIT Next 3Y12.06%
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 6 / 10 to DOCUSIGN INC (DOCU). This can be considered as Fairly Valued.
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.