DocuSign's Quest for Profitability Is Coming at a Significant Cost
DocuSign (NASDAQ: DOCU) is the leader in e-signature technology, and its Agreement Cloud platform is transforming the way businesses draft contracts and negotiate deals. But the company is coming off a pandemic-driven sugar high. It aggressively invested in growth to serve the stay-at-home economy, while sustaining heavy net losses.
But the economy has shifted, and so the company has now been focusing on delivering profitability. The good news is that it succeeded in the fiscal 2024 first quarter (ended April 30); however, that came with a rather concerning consequence. Here's what investors need to know before buying DocuSign stock.
The Agreement Cloud is a collection of more than 15 different applications designed to manage every step of the contract life cycle. It also integrates with more than 400 different software systems like Salesforce, for example, and customers have built a further 1,000 integrations through the DocuSign application programming interface.
Source Fool.com
DocuSign Inc. Stock
With 8 Sell predictions and only 2 Buy predictions the community sentiment for DocuSign Inc. is rather negative.
A potential of -21.39%, resulting from comparing the current price of 54.7 € with the target price of 43 € for DocuSign Inc., shows the chance of incurring significant losses.
