Envestnet Portfolio Solutions Inc. has significantly increased its investment in DocuSign Inc. (NASDAQ:DOCU) by acquiring an additional 4,378 shares in the second quarter of 2023, raising its total holding to 8,510 shares. This move reflects a substantial 106.0% increase in the firm’s stake, which is now valued at approximately $663,000 based on the latest reporting period. The information was disclosed in a recent filing with the Securities and Exchange Commission.
Other institutional investors have also adjusted their positions in DocuSign. For instance, Banque Transatlantique SA entered a new position in the company during the first quarter, investing around $26,000. Similarly, Hemington Wealth Management increased its shares by 318.1%, now owning 347 shares valued at $28,000. Other notable transactions include Golden State Wealth Management LLC raising its stake by 519.4%, and Rise Advisors LLC boosting its position by an impressive 864.6%.
Institutional ownership of DocuSign is notably high, with hedge funds and other institutional investors controlling approximately 77.64% of the stock.
Analysts’ Outlook on DocuSign
Several financial research firms have recently issued reports on DocuSign, indicating a generally positive outlook. Wells Fargo & Company increased its price target for the company from $80.00 to $85.00 while maintaining an “equal weight” rating. On the other hand, Zacks Research upgraded DocuSign from a “hold” to a “strong-buy” rating based on improved market sentiment.
In a similar vein, Morgan Stanley raised its price target from $86.00 to $90.00, also assigning an “equal weight” rating. JMP Securities reaffirmed a “market outperform” rating with a price objective of $124.00. Analysts now broadly consider the stock, on average, to have a target price of $94.14 and a consensus rating of “Hold.”
Insider Activity and Stock Performance
Recent insider transactions have also attracted attention. On September 17, 2023, insider Robert Chatwani sold 13,817 shares at an average price of $83.10, totaling approximately $1.15 million. Following this sale, Chatwani retains 71,162 shares valued at around $5.91 million. Notably, this transaction resulted in a 16.26% decrease in his ownership position.
Additionally, Blake Jeffrey Grayson, the Chief Financial Officer, sold 6,500 shares on October 1, 2023, at an average price of $71.20, bringing in $462,800.00. Post-sale, Grayson holds 105,660 shares, valued at about $7.52 million. In total, insiders have sold 102,533 shares worth approximately $7.71 million in the last three months.
DocuSign’s stock opened at $70.68 on Tuesday, showing a 1-year low of $66.35 and a high of $107.86. The company has a market capitalization of $14.21 billion, a price-to-earnings (P/E) ratio of 53.14, and a beta of 1.02.
In its most recent earnings report, released on September 4, 2023, DocuSign surpassed analysts’ expectations with earnings per share (EPS) of $0.92, exceeding the consensus estimate of $0.84. The company reported revenue of $800.64 million, which was higher than the anticipated $780.35 million, marking an 8.8% increase from the previous year.
DocuSign, known for its electronic signature solutions, continues to adapt and grow within the competitive technology landscape, providing various services that streamline agreement processes across devices and platforms. As analysts continue to monitor the company’s performance, the recent stake increases from institutional investors signal a positive outlook in the market.
