DocuSign Inc (DOCU) experienced a price drop of 5.00% during regular trading, crossing below its 5-day SMA. This decline occurred in a mixed market environment, with the Nasdaq-100 down 0.22% and the S&P 500 slightly up by 0.04%.
The stock's movement is attributed to a recent initiation of coverage by BTIG, which assigned a Buy rating with an $88 price target. Despite the stock being down 34% from its December high, the analyst highlighted strong financial performance in Q3 2025, including an 8% year-over-year revenue growth and a significant share buyback program. This suggests a potential buying opportunity, although the stock's current performance reflects sector rotation amid mixed market conditions.
Investors may view this as a chance to capitalize on the stock's lower price, especially given the company's solid fundamentals and growth prospects. The ongoing adoption of its Intelligent Agreement Management platform also indicates a positive trajectory for future revenue.
Wall Street analysts forecast DOCU stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for DOCU is 80.23 USD with a low forecast of 70.00 USD and a high forecast of 105.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
16 Analyst Rating
Wall Street analysts forecast DOCU stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for DOCU is 80.23 USD with a low forecast of 70.00 USD and a high forecast of 105.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
3 Buy
13 Hold
0 Sell
Hold
Current: 56.215
Low
70.00
Averages
80.23
High
105.00
Current: 56.215
Low
70.00
Averages
80.23
High
105.00
RBC Capital
Sector Perform
downgrade
$95 -> $70
2026-01-05
Reason
RBC Capital
Price Target
$95 -> $70
AI Analysis
2026-01-05
downgrade
Sector Perform
Reason
RBC Capital lowered the firm's price target on DocuSign to $70 from $95 and keeps a Sector Perform rating on the shares. 2026 is likely to be a year when AI tailwinds become more evident for companies well positioned for enterprise AI adoption, while less prepared peers may remain pressured by the "AI is the death of software" narrative, the analyst tells investors in a research note. Enterprise spending appears to be stabilizing and improving in select areas, with GenAI driving innovation even as management teams remain conservative in early 2026 guidance, the firm says.
BTIG
Allan Verkhovski
initiated
$88
2025-12-16
Reason
BTIG
Allan Verkhovski
Price Target
$88
2025-12-16
initiated
Reason
BTIG analyst Allan Verkhovski initiated coverage of DocuSign with a Buy rating and $88 price target.
Unlock Full Analyst Thesis, Get the complete breakdown of rating reason for DOCU
Unlock Now
BTIG
Allan Verkhovski
Buy
initiated
$88
2025-12-16
Reason
BTIG
Allan Verkhovski
Price Target
$88
2025-12-16
initiated
Buy
Reason
BTIG analyst Allan Verkhovski initiated coverage of DocuSign with a Buy rating and $88 price target. Shares are now 34% off their multi-year high of $107 per share last December in what was a very "noisy" year for DocuSign, the analyst tells investors in a research note. The firm believes developments such as the DocuGPT agent and the company guiding to annual ARR instead of billings beginning next quarter factors intot share underperformance this year, presenting a "great" buying opportunity.
Baird
Neutral
downgrade
$90 -> $75
2025-12-05
Reason
Baird
Price Target
$90 -> $75
2025-12-05
downgrade
Neutral
Reason
Baird lowered the firm's price target on DocuSign to $75 from $90 and keeps a Neutral rating on the shares. The firm updated its model following solid Q3 results but awaiting a greater IAM lift in 2027.
About DOCU
DocuSign, Inc. provides intelligent agreement management (IAM) platform an eSignature solution, and contract lifecycle management (CLM) solution - allow organizations to increase productivity, accelerate contract review cycles, and transform agreement data into insights and actions. The Company’s IAM platform automates agreement workflows, uncovers actionable insights, and leverages artificial intelligence (AI) capabilities, enabling organizations to create, commit, and manage agreements virtually. Its products include eSignature, CLM, IAM Apps, and Add-on Products. Its Add-on Products include Payments to collect payments along with signed agreements; Identity and standards-based signature for enhanced signer-identification and signatures with digital certification; Notary for remote online notarization; Monitor for advanced analytics; Gen for Salesforce for automated agreement generation within Salesforce, among others.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.