$docu Possibility for reversal trade in Docusign post selloff.Expectation were high and despite a beat on earnings the stock suffered a $21 drop afterhours, which has been in keeping with the plight of others like CLDR and NTNX. The reason for the drop was described by Wedbush Analyst Daniel Ives as “Bulls were hoping for a beat-and-raise quarter and instead you got in-line numbers with some soft spots around the edges,Combined with what we saw out of Cloudera, Pivotal, BOX, and Nutanix, that caused concern.” J.P Morgans analyst Sterling Auty keeps his overweight rating and a $88price target and considers this a good buying opportunity . From a technical perspective the chart is weak and we would not be surprised if the IPO low would be tested once gain.
AVERAGE ANALYSTS PRICE TARGET $66
AVERAGE ANALYSTS RECOMMENDATION Overweight
COMPANY PROFILE
DocuSign, Inc. provides cloud-based electronic signature solutions. Its cloud based electronic signature platform helps companies and individuals securely collect information, automate data workflows and sign anything. The firm automates manual, paper-based processes allowing users to manage all aspects of documented business transactions include identity management, authentication, digital signature, forms and data collection, collaboration, workflow automation and storage. DocuSign was founded by Thomas H. Gonser and Court Lorenzini in 2003 and is headquartered in San Francisco, CA.
