Why DocuSign Stock Dropped Today
Shares of DocuSign (NASDAQ: DOCU) fell 8.5% on Monday after Reuters reported talks had stalled with two private equity firms as they weighed whether to acquire the online signature services company.
Shares of DocuSign have rallied in recent weeks amid rumors that the e-signature leader was exploring a potential sale. Private equity firms Bain Capital and Hellman Friedman emerged as potential suitors in the process. But according to three people "familiar with the matter" this week, Reuters says the firms' interest in striking a deal has waned after weeks of talks "over disagreements on how much they should pay" for the company.
DocuSign boasts a market capitalization of just under $11 billion as of Monday's close, which would potentially make its acquisition one of the largest leveraged buyouts in recent years. DocuSign previously thrived during the pandemic as at-home work accelerated the transition to e-signature platforms. However, shares have pulled back sharply since late 2021 as growth decelerated. Even after rallying nearly 40% from their 2023 lows, shares of DocuSign are down around 15% over the past year.
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 -22.37%, resulting from comparing the current price of 55.39 € with the target price of 43 € for DocuSign Inc., shows the chance of incurring significant losses.
