68.81 USD
-0.58 (-0.84%)
68.81 USD
0 (0%)
We assign a fundamental rating of 5 out of 10 to DOCU. DOCU was compared to 280 industry peers in the Software industry. DOCU has only an average score on both its financial health and profitability. DOCU is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year DOCU was profitable.
In the past year DOCU had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: DOCU reported negative net income in multiple years.
DOCU had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 7.59%, DOCU is in the better half of the industry, outperforming 78.57% of the companies in the same industry.
DOCU has a better Return On Equity (15.25%) than 82.50% of its industry peers.
With an excellent Return On Invested Capital value of 9.75%, DOCU belongs to the best of the industry, outperforming 83.57% of the companies in the same industry.
| 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
With a decent Profit Margin value of 9.57%, DOCU is doing good in the industry, outperforming 70.71% of the companies in the same industry.
DOCU has a better Operating Margin (8.59%) than 73.93% 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 79.29% of the companies in the same industry.
DOCU's Gross Margin has been stable in the last couple of years.
| 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.
DOCU has less shares outstanding than it did 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 4.47 indicates that DOCU is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 4.47, DOCU is in the better half of the industry, outperforming 66.79% of the companies in the same industry.
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 | 4.47 |
ROIC/WACC0.89
WACC10.97%
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 has a worse Current ratio (0.73) than 86.43% of its industry peers.
A Quick Ratio of 0.73 indicates that DOCU may have some problems paying its short term obligations.
The Quick ratio of DOCU (0.73) is worse than 86.43% 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.
Measured over the past years, DOCU shows a very strong growth in Earnings Per Share. The EPS has been growing by 62.84% on average per year.
DOCU shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 8.45%.
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
The Earnings Per Share is expected to grow by 8.07% 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 7.67% yearly.
EPS Next Y5.79%
EPS Next 2Y7.61%
EPS Next 3Y8.83%
EPS Next 5Y8.07%
Revenue Next Year7.91%
Revenue Next 2Y7.34%
Revenue Next 3Y7.71%
Revenue Next 5Y7.67%
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
A Price/Earnings ratio of 18.65 indicates a rather expensive valuation of DOCU.
77.14% of the companies in the same industry are more expensive than DOCU, based on the Price/Earnings ratio.
DOCU's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 26.59.
Based on the Price/Forward Earnings ratio of 16.74, the valuation of DOCU can be described as correct.
Based on the Price/Forward Earnings ratio, DOCU is valued a bit cheaper than the industry average as 78.93% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.80, DOCU is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.65 | ||
| Fwd PE | 16.74 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of DOCU indicates a somewhat cheap valuation: DOCU is cheaper than 68.21% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, DOCU is valued cheaper than 88.21% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.01 | ||
| EV/EBITDA | 33 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The decent profitability rating of DOCU may justify a higher PE ratio.
PEG (NY)3.22
PEG (5Y)0.3
EPS Next 2Y7.61%
EPS Next 3Y8.83%
5. Dividend
5.1 Amount
DOCU does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
68.81
-0.58 (-0.84%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners86.33%
Inst Owner Change0.64%
Ins Owners0.46%
Ins Owner Change0.81%
Market Cap13.84B
Revenue(TTM)3.16B
Net Income(TTM)302.27M
Analysts72.14
Price Target93.02 (35.18%)
Short Float %2.41%
Short Ratio1.79
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
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)-3.68%
PT rev (3m)1.28%
EPS NQ rev (1m)0%
EPS NQ rev (3m)2.26%
EPS NY rev (1m)-0.07%
EPS NY rev (3m)2.92%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)1.3%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.15%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.65 | ||
| Fwd PE | 16.74 | ||
| P/S | 4.38 | ||
| P/FCF | 14.01 | ||
| P/OCF | 12.63 | ||
| P/B | 6.98 | ||
| P/tB | 9.46 | ||
| EV/EBITDA | 33 |
EPS(TTM)3.69
EY5.36%
EPS(NY)4.11
Fwd EY5.97%
FCF(TTM)4.91
FCFY7.14%
OCF(TTM)5.45
OCFY7.92%
SpS15.71
BVpS9.85
TBVpS7.28
PEG (NY)3.22
PEG (5Y)0.3
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 | 4.47 |
F-Score7
WACC10.97%
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 Y5.79%
EPS Next 2Y7.61%
EPS Next 3Y8.83%
EPS Next 5Y8.07%
Revenue 1Y (TTM)8.45%
Revenue growth 3Y12.2%
Revenue growth 5Y25.04%
Sales Q2Q%8.42%
Revenue Next Year7.91%
Revenue Next 2Y7.34%
Revenue Next 3Y7.71%
Revenue Next 5Y7.67%
EBIT growth 1Y47.82%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year20.23%
EBIT Next 3Y12.53%
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
Can you provide the ChartMill fundamental rating for DOCUSIGN INC?
ChartMill assigns a fundamental rating of 5 / 10 to DOCU.
What is the valuation status for DOCU stock?
ChartMill assigns a valuation rating of 5 / 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.
Can you provide the PE and PB ratios for DOCU stock?
The Price/Earnings (PE) ratio for DOCUSIGN INC (DOCU) is 18.65 and the Price/Book (PB) ratio is 6.98.
How financially healthy is DOCUSIGN INC?
The financial health rating of DOCUSIGN INC (DOCU) is 5 / 10.