Should I Buy DOCU Stock in 2026?

Data-driven analysis and honest assessment for Docusign Inc

Analysis Updated:
CAUTIONSeveral concerns warrant careful consideration

Current Price: $45.07P/E: 31.5

Decision Score

4.6/10

Weak

Based on 6 fundamental factors

Score Breakdown:

Valuation (20%)5/10

Elevated P/E of 31.5

Growth (20%)5/10

Slow growth of 0%

Profitability (20%)4/10

Thin margins (0% net)

Financial Health (15%)5/10

Financial health data limited

Cash Flow (15%)4/10

Low FCF yield of 2.5%

Insider Activity (10%)5/10

No recent insider activity

Key Investment Metrics

Current Price

$45.07

P/E Ratio

31.52

Revenue Growth

0.1%

Profit Margin

0.1%

Market Cap

$9.0B

Dividend Yield

None

How DOCU Compares to Competitors

Understanding how DOCU stacks up against peers helps inform your investment decision.

How DOCU Compares to Peers

Upcoming Events for DOCU

+5 Reasons TO Buy DOCU

1. High gross margins of 79%

strong

Gross margins above 50% typically indicate strong brand value or intellectual property moats.

-5 Reasons NOT to Buy DOCU

1. Thin profit margins of 0.1%

high risk

Low margins provide little cushion against cost increases or pricing pressure.

2. Premium valuation at 32x earnings

medium risk

P/E of 32 requires sustained growth to justify. Multiple compression risk exists.

3. Minimal revenue growth

low risk

Growth of 0.1% barely keeps pace with inflation.

Who Should Buy DOCU?

Investment Profile

Risk Level

High

Recommended Holding Period

3-5 years

Best For:

    Not Suitable For:

    • Growth Investors

      Limited 0% growth may disappoint

    • Value Investors

      Premium P/E of 32 doesn't fit value criteria

    • Income-Focused Retirees

      No dividend paid

    • Risk-Averse Investors

      High risk may cause uncomfortable volatility

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    Pro tip: Compare DOCU directly with competitors using our comparison tool to see which stock better fits your criteria.

    Get the Full Picture

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    Frequently Asked Questions

    What is DOCU stock price today?

    DOCU (Docusign Inc) stock is trading at $45.07 as of the latest market data. Stock prices update in real-time during market hours (9:30 AM - 4:00 PM ET).

    Is DOCU stock going up or down today?

    DOCU stock price movements are influenced by market conditions, news, earnings reports, and investor sentiment. Check our live dashboard for real-time price changes and technical indicators.

    Should I buy DOCU stock now?

    The decision to buy DOCU depends on your investment strategy, risk tolerance, and financial goals. Our AI analysis evaluates fundamentals, valuation metrics, growth prospects, and market conditions to help inform your decision.

    Is DOCU a buy, hold, or sell right now?

    Our AI-powered analysis provides buy/hold/sell recommendations for DOCU based on multiple factors including valuation, growth metrics, technical indicators, and analyst consensus. Visit our dashboard for the latest recommendation.

    Is DOCU stock overvalued or undervalued?

    DOCU currently trades at a P/E ratio of 31.52, which may indicate premium valuation. Our DCF calculator provides intrinsic value estimates to help determine if DOCU is fairly priced.

    What is DOCU's P/E ratio?

    DOCU has a price-to-earnings (P/E) ratio of 31.52, which measures how much investors are willing to pay per dollar of earnings. Compare this to industry peers and historical averages for context.

    What is DOCU's market cap?

    DOCU (Docusign Inc) has a market capitalization of $9.03 billion, making it a small-cap stock.

    What is DOCU's price to book ratio?

    DOCU trades at a price-to-book (P/B) ratio of 4.62, which compares the stock price to the company's book value per share. A P/B below 1.0 may indicate undervaluation, while above 3.0 may suggest premium pricing.

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    Disclaimer

    This analysis is for informational purposes only and should not be considered financial advice. The decision score and recommendations are based on quantitative factors and do not account for all risks, your personal financial situation, or qualitative factors. Always do your own research and consider consulting with a financial advisor before making investment decisions.