Key Takeaways Docusign's IAM platform contributed 15.1% to ARR in Q2'27, with 18-19% expected for the full year.DOCU's adjusted operating income rose 16% and free cash flow rose 35% y/y in Q2'27.Docusign faces gross margin pressure from cloud migration investments & intensifying AI-driven competition. Docusign (DOCU - Free Report) stock has gained 54.3% over the past six months, outpacing the industry's 23.1% return. The Zacks S&P 500 Composite has rallied 11.3% over the same period.
6-Month Share Price Performance Image Source: Zacks Investment Research
The Zacks Consensus Estimate for DOCU's fiscal 2027 revenues is $3.5 billion, implying 8.8% year-over-year growth. For fiscal 2028, the top line is expected to rise 8%.
The consensus mark for fiscal 2027 earnings per share (EPS) is $4.59, suggesting a 19.5% year-over-year increase. The bottom line is expected to increase 13% in fiscal 2028.
Factors That Augur Well for DOCU's SuccessIAM Adoption: Intelligent Agreement Management (IAM) contributed 15.1% to the total annual recurring revenue (ARR) in the second quarter of fiscal 2027, up from 12.6% in the preceding quarter. The surge in demand for AI-driven agreement automation is driving adoption across commercial and enterprise customers.
For fiscal 2027, management anticipates IAM's ARR contribution between 18% and 19%, suggesting persistent adoption. The platform streamlines contract workflows, enhances productivity and unlocks agreement data, creating cross-selling opportunities within the company's customer base.
AI-backed Expansion: Docusign leverages AI-driven capabilities and partnerships to strengthen its competitive position. Its IAM platform provides a multi-faceted approach toward incorporating AI assistants, prebuilt agents and Agent Studio, supporting customers' contract analysis automation, document reviews, compliance procedures and workflows.
Integrations with Slack, Google Gemini, Anthropic, OpenAI, Perplexity and Microsoft Copilot raise the accessibility of agreement management across widely used enterprise applications.
Solid Cash Position & Operational Prowess: In the second quarter of fiscal 2027, DOCU's adjusted operating income increased 16% year over year, accompanied by its margin expanding 180 basis points. The free cash flow escalated 35% year over year.
The company holds cash and investments just under $1 billion with no debt, maintaining a solid financial position. Sustained operational efficiency, AI investments and share repurchases appear to be the key to long-term earnings growth and shareholder value creation.
Risks Faced by DocusignGross Margin Erosion: Docusign's profitability is at risk from the strategic pivot from on-premises infrastructure to cloud-based operations. In the second quarter of fiscal 2027, the adjusted gross margin plummeted to 81.7% year over year due to cloud migration investments.
Management anticipates the fiscal 2027 gross margin to decline marginally as the migration progresses, with the process anticipated to be completed by the end of the year. Continued infrastructure and technology investments are key to AI-powered capability expansion, which could easily deteriorate gross margin expansion.
Competition Pressure: The company shoulders fierce competitive pressure from established contract lifecycle management providers, emerging legal technology companies and AI-driven workflow solutions. Competitive pressure could increase from the growing capabilities of general-purpose AI platforms, influencing customer purchasing decisions.
DOCU's Zacks Rank & Stocks to ConsiderThe company currently carries a Zacks Rank #3 (Hold).
Better-ranked stocks in the broader Zacks Computer and Technology sector include Avnet (AVT - Free Report) and Ciena (CIEN - Free Report) . These two companies presently have a Zacks Rank #1 (Strong Buy). You can see the complete list of today's Zacks #1 Rank stocks here.
Avnet has a long-term earnings growth expectation of 31.3%. AVT delivered a trailing four-quarter earnings surprise of 13.8%, on average.
Ciena has a long-term earnings growth expectation of 12%. CIEN delivered a trailing four-quarter earnings surprise of 3.8%, on average.
DocuSign uvede 2. listopadu 2026 desktopový editor PDF pro zákazníky IAM a eSignature, který propojí úpravy dokumentů přímo s workflow elektronického podpisu.
New Docusign PDF Editor makes it easier to create, edit, and prepare contracts – key steps of the agreement process
, /PRNewswire/ -- Docusign (Nasdaq: DOCU) today announced Docusign PDF Editor, a new offering that brings PDF editing capabilities to Docusign, connecting document preparation with the broader Intelligent Agreement Management (IAM) platform.
Docusign PDF Editor Contracts don't start with a signature, and they don't end there. But preparing and signing a document often happen in separate workflows. Even a small change can mean opening another tool, editing the file, exporting a new version and uploading it again before the agreement can move forward. With more than 70% of Docusign eSignature requests initiated directly in Docusign starting as PDFs, this extra work adds up.
Docusign PDF Editor simplifies that process by giving users powerful PDF editing capabilities and a direct integration into Docusign – the company 95% of Fortune 500 businesses already trust for eSignature. It's a new offering for the Docusign IAM platform that helps businesses create, sign, manage, and now edit agreements in a smarter and more connected way.
"You shouldn't have to jump in between tools just to get a contract ready for signature," said Graham Sheldon, Chief Product Officer at Docusign. "With Docusign PDF Editor, you can now edit your PDF, send it for signature, and manage the contract afterward. It's the newest way we're bringing the entire agreement process together with Docusign IAM."
Docusign PDF Editor is a desktop application designed for teams across legal, sales, procurement, HR and more. With Docusign PDF Editor, users can:
Create and edit PDFs: Edit text and images, combine files, reorder or delete pages, redact sensitive information, add annotations, create forms, and convert file types. Move directly to signature: Once a document is ready, send it into the Docusign signing workflow without manually having to upload documents. Preserve a full auditable record: Changes made before signing remain connected to the agreement history. Once a document is signed, editing is locked to preserve its integrity. Manage agreements after signing: Once signed, agreements are analyzed using AI in Docusign, where teams can quickly answer contracting questions, track key dates like renewals, and surface potential risks and other insights. With all of these capabilities available directly in the Docusign workflow, Docusign PDF Editor can help businesses reduce manual handoffs, simplify how they manage everyday document work, and reduce the opportunity for version confusion or sensitive documents moving unnecessarily between multiple tools. With PDF Editor, Docusign is expanding its platform with powerful PDF editing, bringing document preparation together with its existing capabilities for creating, signing and managing agreements.
Availability
The Docusign PDF Editor desktop application will be available for IAM and eSignature customers to purchase starting on November 2, 2026 in English, Dutch, French, German, Italian, and Spanish with additional languages planned for 2027.
About Docusign
Docusign brings agreements to life. Over 1.9 million customers and more than a billion people in over 180 countries use Docusign solutions to accelerate the process of doing business and simplify people's lives. With intelligent agreement management, Docusign unleashes business-critical data that is trapped inside of documents. Until now, these were disconnected from business systems of record, costing businesses time, money, and opportunity. Using the Docusign AI-native IAM platform, companies can create, commit, and manage agreements with solutions created by the #1 company in e-signature and contract lifecycle management (CLM). For more information, visit http://www.docusign.com.
Media Contact:
Docusign Corporate Communications
[email protected]
Docusign za tři měsíce vzrostl o 50,8 % a těžil z růstu zákaznické báze na více než 1,9 milionu. Volný peněžní tok ve druhém fiskálním čtvrtletí stoupl o 35,9 % na 295,8 milionu USD.
Key Takeaways Docusign jumped 50.8% in three months, outpacing its industry and the broader market.DOCU's customer base topped 1.9M as larger accounts and retention strengthened.Docusign's free cash flow rose 35.9% to $295.8M, supporting continued share buybacks. Docusign (DOCU - Free Report) stock has jumped 50.8% over the past three months, significantly outperforming the industry’s 26.2% growth and the Zacks S&P 500 Composite's 2.7% return.
DOCU’s 3-Month Share Price Performance
Image Source: Zacks Investment Research
Let us delve deeper into the factors that have contributed to the company’s outperformance.
DOCU’s Broad Customer Momentum Drives GrowthDocusign’s customer base grew nearly 10% year over year to more than 1.9 million in the second quarter of fiscal 2027, supported by strength in the digital channel. Dollar net retention among direct customers improved to 103% during that period, with customer expansion contributing more to retention gains.
Customers generating more than $300,000 in annual contract value increased 14% to nearly 1,300, highlighting deeper adoption among larger accounts. International operations contributed 31% to revenues, while foreign exchange added 1.3 percentage points to reported revenue growth. Continued adoption of the intelligent agreement management platform across customer segments supports further wallet expansion and retention gains. Rising penetration among larger customers also strengthens recurring revenue growth over time.
DOCU’s Operating Leverage Supports ProfitabilityDOCU’s non-GAAP operating income increased 15.9% year over year to $276.8 million, whereas its operating margin expanded 180 basis points to 31.6%. The margin exceeded management’s guidance midpoint by 160 basis points, with roughly half of the upside driven by stronger revenues and the balance reflecting cost discipline and higher capitalized software costs. DOCU ended the second quarter of fiscal 2027 with 7,137 employees, up 3% year over year, with all net headcount growth concentrated in lower-cost locations. Continued expense discipline and a favorable hiring mix support operating leverage. Sustained revenue growth could provide additional scope for margin expansion over time.
DOCU’s Cash Flow Supports Share RepurchasesDocusign’s operating cash flow increased 36% to $334.5 million, free cash flow rose 35.9% year over year to $295.8 million in second-quarter fiscal 2027, whereas the free cash flow margin expanded to 34% from 27%. The company repurchased $306.5 million in shares during the period and retained $2.1 billion of authorization for future buybacks. Shares outstanding declined 8% year over year to 193 million, providing support to per-share results. Continued cash generation could sustain additional repurchases.
DOCU’s Zacks Rank & Stocks to ConsiderDocusign currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
A couple of better-ranked stocks in the broader Computer and Technology sector are Analog Devices, Inc. (ADI - Free Report) and Applied Materials, Inc. (AMAT - Free Report) .
Analog Devices carries a Zacks Rank #2 (Buy) at present. It has a long-term earnings growth expectation of 25%.
ADI delivered a trailing four-quarter earnings surprise of 4.8%, on average.
Applied Materials also has a Zacks Rank of 2 at present. It has a long-term earnings growth expectation of 28.1%.
AMAT beat earnings estimates in the trailing four quarters, with an average earnings surprise of 5.5%.
DocuSign za měsíc přidal 13,4 % díky silnějšímu růstu zákazníků a IAM, které ve 2Q fiskálního roku 2027 tvořilo 15,1 % ARR. Firma zároveň zvýšila výhled tržeb na 3,499–3,507 mld. USD.
Key Takeaways Docusign shares gained 13.4% in a month as customer expansion improved and IAM grew as a share of ARR.IAM reached 15.1% of Docusign's ARR in Q2 fiscal 2027, up from 10.8% at fiscal 2026 year-end.Docusign raised fiscal 2027 revenue guidance to $3.499-$3.507B as free cash flow jumped 35.9%. Docusign, Inc. (DOCU - Free Report) shares have gained 13.4% in the past month as customer expansion improved and Intelligent Agreement Management (IAM) became a larger part of annual recurring revenue.
The rally has operational support, but its durability depends on continued IAM adoption, execution against raised fiscal 2027 targets and disciplined pricing as competition broadens.
Why DOCU's One-Month Rally Has Fundamental SupportDocusign ended the July quarter with more than 1.9 million customers, up nearly 10% year over year. Direct-customer dollar net retention improved to 103%, with expansion contributing more to the gain.
Larger accounts are also expanding. Customers spending more than $300,000 in annual contract value rose 14% to nearly 1,300 for a second consecutive quarter of double-digit growth, giving the recent share-price move a firmer operating backdrop.
Docusign's IAM Mix Keeps ExpandingIAM represented 15.1% of total annual recurring revenue (ARR) in the second quarter of fiscal 2027, up from 12.6% in the first quarter and 10.8% at fiscal 2026 year-end. Management expects the mix to reach 18%-19% exiting the fourth quarter.
Most IAM ARR is coming from the installed base, while eSignature-to-IAM upgrades are creating expansion opportunities. Salesforce, Inc. (CRM - Free Report) is relevant on the ecosystem side because its platform strategy emphasizes AI agents and Slack-based workflows. Docusign's Salesforce and Slack integrations extend IAM into tools customers already use.
DOCU's Raised Outlook Adds Earnings SupportDocusign raised fiscal 2027 revenue guidance to $3.499-$3.507 billion, implying about 9% growth at the midpoint. ARR growth is expected at 8.5%-9%, versus 8% in fiscal 2026.
Full-year non-GAAP operating margin guidance of 31%-31.5% also points to continued operating leverage. In the latest quarter, adjusted earnings of $1.16 per share rose 26.1% and topped the Zacks Consensus Estimate of $1.08, providing recent execution support for the higher outlook.
Docusign's Cash Flow Backs Aggressive BuybacksFree cash flow climbed 35.9% to $295.8 million in the latest quarter, while free cash flow margin improved to 34% from 27%. Docusign repurchased $306.5 million of stock during the period.
The company still had $2.1 billion authorized for future repurchases, and diluted shares outstanding declined 8% year over year to 193 million. A lower share count can support per-share results, although buybacks do not replace operating growth.
DOCU's Valuation and Risks Test the RallyDOCU trades at 14.2X forward 12-month consensus EPS estimate, below 29.4X for its Zacks sub-industry, 20.4X for the Zacks Computer and Technology sector and 19.5X for the S&P 500. Adobe Inc. (ADBE - Free Report) , through Acrobat and Acrobat Sign, remains a direct e-signature competitor.
Image Source: Zacks Investment Research
Image Source: Zacks Investment Research
Image Source: Zacks Investment Research
Discounting is a key test as IAM expands. Docusign says larger enterprises may seek sizable price concessions, while lower-priced bundles and generic AI tools could intensify competition. Current assets also remained below current liabilities as of July 31, despite $973.1 million in cash, cash equivalents and investments and no debt.
DOCU's Growth Signals Offset a Mixed Value ProfileThe recent advance aligns with improving customer expansion and a larger IAM contribution, while raised guidance and cash generation add support. Pricing competition and execution around the platform transition remain the main checks on further momentum.
The stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
DOCU also has a Growth Score of A, Momentum Score of B, Value Score of C and a VGM Score of A. The Style Scores indicate favorable growth and momentum characteristics, while the Value Score is less favorable. Because Style Scores complement rather than replace the Zacks Rank, the #3 rank keeps the near-term signal measured.
Tidal Investments ve 2. čtvrtletí snížila podíl v DocuSign o 35,4 % na 44 130 akcií v hodnotě 1,96 milionu USD. Zároveň firma oznámila výnosy 875,75 milionu USD a EPS 1,16, obojí nad odhady.
Tidal Investments LLC decreased its holdings in Docusign Inc. (NASDAQ:DOCU – Free Report) by 35.4% during the 2nd quarter, according to its most recent disclosure with the Securities & Exchange Commission. The firm owned 44,130 shares of the company’s stock after selling 24,150 shares during the period. Tidal Investments LLC’s holdings in Docusign were worth $1,960,000 at the end of the most recent quarter.
Other hedge funds also recently made changes to their positions in the company. BlackRock Inc. bought a new stake in Docusign in the 2nd quarter valued at $927,059,000. Norges Bank acquired a new position in shares of Docusign in the fourth quarter valued at $186,795,000. Arrowstreet Capital Limited Partnership raised its position in shares of Docusign by 76.1% in the first quarter. Arrowstreet Capital Limited Partnership now owns 5,285,128 shares of the company’s stock valued at $250,568,000 after purchasing an additional 2,283,996 shares during the period. Capital World Investors lifted its stake in shares of Docusign by 38.1% during the 4th quarter. Capital World Investors now owns 5,815,804 shares of the company’s stock worth $397,801,000 after buying an additional 1,603,900 shares during the last quarter. Finally, Bank of New York Mellon Corp bought a new stake in shares of Docusign during the 2nd quarter worth about $56,219,000. 77.64% of the stock is owned by institutional investors and hedge funds.
Wall Street Analysts Forecast Growth Several equities research analysts have issued reports on the stock. Evercore set a $65.00 price objective on shares of Docusign in a research report on Friday, September 4th. Weiss Ratings upgraded Docusign from a “hold (c-)” rating to a “hold (c)” rating in a research note on Tuesday, August 25th. Wells Fargo & Company lifted their target price on Docusign from $55.00 to $60.00 and gave the stock an “equal weight” rating in a report on Friday, September 4th. Robert W. Baird boosted their target price on shares of Docusign from $55.00 to $72.00 and gave the company a “neutral” rating in a research report on Friday, September 4th. Finally, Bank of America boosted their target price on shares of Docusign from $58.00 to $64.00 and gave the company an “underperform” rating in a research report on Friday, September 4th. Three research analysts have rated the stock with a Buy rating, fourteen have assigned a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat.com, the company has an average rating of “Hold” and a consensus target price of $67.33.
View Our Latest Analysis on Docusign Key Stories Impacting Docusign Here are the key news stories impacting Docusign this week:
Positive Sentiment: DocuSign was named a Leader in the 2026 IDC MarketScape for Worldwide Integrated Signing Workflow Software. The recognition supports the company’s competitive standing as it expands Intelligent Agreement Management and AI-powered workflows. DocuSign Named a Leader in the IDC MarketScape Positive Sentiment: Investors continue to focus on DocuSign’s AI initiatives, including integrations with AI agents and its Model Context Protocol Server. The company also raised full-year revenue guidance and completed a $2.38 billion share-repurchase program covering more than 20% of its shares, which could support earnings per share and shareholder returns. DocuSign’s AI Push and Buyback Positive Sentiment: The consensus analyst price target rose 17.43% to $71.83, reflecting improved expectations for DOCU’s outlook. Recent quarterly results also exceeded forecasts, with $875.75 million in revenue, $1.16 in adjusted EPS and 9.4% year-over-year revenue growth. DocuSign Consensus Price Target Raised Neutral Sentiment: Director Mary Agnes Wilderotter sold 1,096 shares for approximately $77,378, reducing her position by 25.52%. The transaction was conducted under a pre-arranged Rule 10b5-1 plan, making it less informative about management’s current outlook. SEC Insider Trading Filing Neutral Sentiment: Director Anna Marrs separately sold 548 shares for about $36,716 under a 10b5-1 plan. The sale represented only 3.89% of her holdings and is unlikely, by itself, to indicate a change in business expectations. SEC Insider Trading Filing Negative Sentiment: Despite the improved outlook, DOCU trades at a relatively elevated valuation—roughly 43 times earnings—and the average analyst rating remains “Hold,” with several firms maintaining neutral or underperform ratings. This may limit upside after the recent rally. Docusign Price Performance Shares of NASDAQ:DOCU opened at $70.40 on Thursday. The company has a market capitalization of $13.16 billion, a P/E ratio of 42.93, a P/E/G ratio of 2.70 and a beta of 0.90. Docusign Inc. has a 1 year low of $40.16 and a 1 year high of $86.65. The business’s 50 day simple moving average is $59.16 and its 200 day simple moving average is $51.23.
Docusign (NASDAQ:DOCU – Get Free Report) last posted its quarterly earnings data on Thursday, September 3rd. The company reported $1.16 EPS for the quarter, topping analysts’ consensus estimates of $1.09 by $0.07. The firm had revenue of $875.75 million for the quarter, compared to analyst estimates of $867.22 million. Docusign had a return on equity of 18.29% and a net margin of 9.82%.The company’s revenue was up 9.4% on a year-over-year basis. During the same quarter last year, the company earned $0.30 EPS. On average, sell-side analysts anticipate that Docusign Inc. will post 2.1 EPS for the current fiscal year.
Insider Buying and Selling In other news, insider James P. Shaughnessy sold 12,000 shares of the business’s stock in a transaction on Wednesday, July 1st. The stock was sold at an average price of $45.54, for a total transaction of $546,480.00. Following the completion of the transaction, the insider owned 52,815 shares of the company’s stock, valued at approximately $2,405,195.10. The trade was a 18.51% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Robert Chatwani sold 15,902 shares of the company’s stock in a transaction on Monday, June 22nd. The stock was sold at an average price of $43.01, for a total transaction of $683,945.02. Following the transaction, the insider owned 72,805 shares of the company’s stock, valued at $3,131,343.05. This trade represents a 17.93% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 183,794 shares of company stock valued at $10,557,833 in the last ninety days. Insiders own 0.59% of the company’s stock.
Docusign Company Profile (Free Report)
DocuSign, Inc is a provider of digital agreement management and electronic signature solutions. Its platform enables individuals and organizations to prepare, send, sign, manage and store agreements electronically, helping businesses replace paper-based contracting processes with digital workflows.
The company’s products and services include DocuSign eSignature, which supports electronic signing and authentication, as well as tools for contract lifecycle management, agreement preparation, identity verification, notarial services and workflow automation.
Featured Stories Five stocks we like better than Docusign 3 Luxury Consumer Brands to Watch in a Beaten-Down Sector Jackson’s Record Quarter Powers the Bull Case Holiday Shopping Is Almost Here—And Target May Be Ready to Win Big AI Panic Hit Tech Stocks—But NVIDIA’s Growth Engine Is Intact Want to see what other hedge funds are holding DOCU? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Docusign Inc. (NASDAQ:DOCU – Free Report).
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The great fear hanging over so many established software firms this year has been that the AI revolution will pass them by, or worse, sweep them aside. Docusign Inc. NASDAQ: DOCU, long the dominant name in electronic signatures, has faced exactly that suspicion, with the bears wondering whether a company built on signing documents online can stay relevant in an age of agentic AI.
In recent weeks, however, investors have grown notably more optimistic, both for traditional software stocks in general and Docusign in particular. Heading into its Q2 fiscal year (FY2027) report, Docusign shares had already rallied more than 60%, and the numbers did nothing to dent the enthusiasm. The stock initially moved higher after the release, putting it within reach of its highest levels since late last year.
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Like with so many of its peers, the market has been keen to see if Docusign can reinvent itself around AI, rather than be eaten up by it. On the evidence of this past quarter, at least, the answer is clear.
Docusign’s Beat Gives the Turnaround More CredibilityStarting with the headline numbers, they gave the bulls plenty to cheer about. Docusign comfortably beat analyst expectations on both revenue and profit, with sales up more than 9% year over year and margins ahead of forecasts, too. For a company whose growth prospects some had written off, that was a solid statement.
Adding to the bullish overtones was the company’s own confidence in its outlook. Management raised forward guidance for the full year, nudging up its expectations for both revenue and, crucially, the growth of its recurring revenue base.
Underpinning it all was healthy customer growth, which hit a record high above 1.9 million - not exactly the kind of trend you’d expect from a company consigned to the dustheap. Instead, it was the kind of report that quietly rebuilds the whole investment case.
IAM Adoption Becomes the Real StoryBeyond the headline numbers and shiny metrics, however, the real story lies in how Docusign is answering the AI question head-on. Rather than treating the technology as a threat, the company is weaving it through a broader platform it calls Intelligent Agreement Management, or IAM, designed to handle the entire life of a contract rather than just the signature at the end.
The evidence that this is working is compelling. IAM now accounts for more than 15% of the company's recurring revenue, up sharply from the prior quarter, and management expects that share to climb toward 19% by the end of the financial year. That steady march is the clearest sign yet that customers are buying into the vision, not just listening to the sales pitch.
Docusign is also building AI-powered tools that let customers create and deploy their own automated agents, and knitting its platform together with the major AI providers and workplace apps. The aim is to make its software a deeply embedded hub for managing agreements, far harder to rip out than a simple signing tool, and its best defense against being commoditized.
Why the Bears Still Have an ArgumentStill, for all that progress, the bears are hanging onto some legitimate concerns, and the central one is conversion. Impressive as IAM adoption is, the company's overall growth remains fairly moderate, with revenue still expanding at single-digit rates since 2023. That puts the onus on management to ensure this AI-related momentum translates into meaningfully faster growth, not just a nicer product.
Then there is the ever-present competitive threat. Basic electronic signing is one of the more straightforward tasks that could easily and cheaply be replaced by a homegrown AI tool or a nimbler, lower-cost rival. That means Docusign has to work far harder to defend its turf than an entrenched platform like Salesforce NYSE: CRM, whose sprawling web of customer data, workflows, and integrations makes it enormously difficult to rip out. This is precisely why the ongoing shift toward the stickier, more sophisticated IAM platform matters so much.
AI Turnaround, or Just a Better Quarter?Docusign Stock Forecast Today12-Month Stock Price Forecast:
$67.33
3.46% Upside
Hold
Based on 18 Analyst Ratings
Current Price$65.08High Forecast$86.00Average Forecast$67.33Low Forecast$50.00Docusign Stock Forecast Details
So which is it: a real AI success story, or a stay of execution? The weight of this quarter's evidence tilts firmly toward the former. Docusign isn't merely surviving the arrival of AI; it’s using the technology to transform itself from a one-trick signing service into something altogether more valuable.
That being said, the caveats are real. The conversion of that adoption into faster company-wide growth remains unproven, and until the company is reporting revenue growth that is consistently accelerating, the jury is still out. The recent rally in Docusign shares also suggests much of the upside is already baked into the price, leaving little margin for disappointment. In other words, the company's turnaround is seeing a ton of progress, but it is not yet finished.
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Docusign ve 2. fiskálním čtvrtletí zvýšil výnosy o 9 % na 875,7 milionu USD a non-GAAP zisk na akcii na 1,16 USD, obojí nad odhady. Analytici zároveň vyzdvihli rychle rostoucí IAM a AI jako hlavní motor dalšího růstu.
Docusign Inc. (NASDAQ:DOCU) drew bullish commentary from analysts after its fiscal second-quarter results showed accelerating growth in its Intelligent Agreement Management business (IAM), improving retention and stronger-than-expected profitability.
Citizens Sees More UpsideCitizens analyst Patrick Walravens maintained a Market Outperform rating and an $86 price forecast.
The analyst highlighted Docusign’s 9.4% revenue growth, improving net retention, and IAM annual recurring revenue of about $529 million. IAM accounted for 15.1% of total ARR, ahead of Citizens’ $474 million estimate.
Walravens said Docusign is using its dominant e-signature position to become the “agreement layer” across enterprises. He expects IAM ARR to exceed $650 million by the end of fiscal 2027 and account for roughly 18.5% of total ARR.
Citizens also pointed to Docusign’s Iris AI engine, which is trained on more than 300 million private, consented agreements, as a potential competitive advantage.
The firm raised its fiscal 2027 non-GAAP earnings estimate to $4.67 per share from $4.61. It also lifted its fiscal 2028 estimate to $5.22 from $5.12.
RBC Says Valuation Caps UpsideRBC Capital Markets analyst Rishi Jaluria took a more measured view. The firm maintained its Sector Perform rating but raised its price forecast to $70 from $55 following Docusign’s results.
Jaluria said the quarter marked another solid step in Docusign’s transition toward IAM. Revenue reached $875.7 million, up 9% year over year, while non-GAAP earnings came in at $1.16 per share. Both topped consensus estimates.
RBC highlighted improving retention and larger customer deals. Customers generating more than $300,000 in annual contract value rose 14% year over year to 1,296, marking the second straight quarter of double-digit growth.
The firm also sees an opportunity in Docusign’s growing integrations with third-party AI platforms. Its connectors span platforms from OpenAI, Anthropic and Microsoft Copilot to Google Cloud and Perplexity. RBC believes those integrations could eventually become a distribution channel for Docusign.
Still, RBC said the shares appear fully valued. The firm noted that Docusign trades at roughly nine times estimated calendar 2027 free cash flow, limiting potential upside despite improving IAM adoption, retention and deal sizes.
The analysts’ differing ratings reflect a common theme: Docusign’s IAM strategy is gaining traction, but the debate is shifting toward how much of that improvement is already reflected in the stock.
Photo via Shutterstock
DOCU Price Action: Docusign shares were up 3.54% to $68.30 at the time of publication on Friday, according to Benzinga Pro data.
Buy DocuSign (DOCU). The news shows AI-driven IAM momentum: IAM is 15.1% of ARR (up from 12.6%), revenue +9% YoY to $875M, gross margin expanding to 79.7%, and free cash flow over $295M. Guidance was raised (Q3 revenue $886–$890M) and the company is accelerating buybacks ($306M vs $201M). Technicals confirm trend strength: golden cross and breakout above the $57.22 neckline.
Key Risk: AI adoption stalls and IAM growth reverses, causing margins/FCF to flatten and buybacks to slow.
DOCU sell/short (valuation risk)
Sell or short DocuSign (DOCU) if the stock keeps running without matching fundamentals. The article highlights a huge move (+62% from the year low) and multiple bullish price targets, which can turn into crowded momentum. If the next earnings report shows IAM share of ARR slipping or guidance missing, the market can quickly re-rate the stock downward.
Key Risk: Next quarter results miss on IAM/ARR mix or guidance, triggering a sharp multiple compression.
DocuSign stock continued its strong bull run as the company’s investments in artificial intelligence (AI) starting to pay off. DOCU jumped to $67.05, up by 62% from its lowest level this year. This rally may continue in the foreseeable future as analysts from companies like Morgan Stanley and Evercore boost their outlook.
DOCU has been in a strong rally in the past few months as it has positioned itself as a major player in the artificial intelligence (AI) industry. In a statement, the company said that its revenue jumped by 9% in the second quarter to $875 million.
IAM is a key product made up of AI agents that analyzes agreement terms and generates contract language. It also has pre-built agents for roles like agreement intake and vendor renewal, and an AI agent studio where customers can build, govern, and deploy custom agents. In a statement, the CEO said:
“Our AI agents are now securely executing contract workflows end-to-end, and the IAM platform also ingested a record volume of agreements.”
Most notably, its Intelligent Agreement Management (IAM) represents 15.1% of its annual recurring revenue (ARR) as of July 31. This is a big increase from 12.6% in April this year.
The company continued growing its gross margins to 79.7% from the previous 79.3%, with its free cash flow rising to over $295 million. Also, the company boosted its guidance, with Q3 revenue expected to move between $886 million and $890 million. Its gross margin will come in between 81.5% and 81.9%.
The management has also used the cheap valuation to buy back the shares. It spent $306 million buying back its shares, higher than the $201 million it spent last year. It has reduced the number of outstanding shares to 193 million from 205 million in 2024.
Analysts believe that the DocuSign stock has more upside, with Morgan Stanley hiking the target from $69 to $75. Evercore ISI, on the other hand, hiked the target to $65, while Needham reiterated its bullish view. BTIG hiked the target from $60 to $75, while Citizens hiked to $86.
DocuSign stock chart | Source: TradingView
The daily chart shows that the DOCU stock formed a double-bottom pattern at $41.45, its lowest level on February 23 and June 18. It has now moved above the neckline at $57.22, its highest point on June 1. This pattern normally points to a bullish reversal.
The stock has formed a golden cross pattern, which happens when the 50-day and 200-day moving averages cross each other. This pattern normally leads to more gains over time.
The stock has moved above the Supertrend indicator, which is a bullish sign. Therefore, the stock will likely continue rising as bulls target the key resistance level of $86.6, its highest point on September 18.
Docusign 30. září zpřístupní svůj MCP Server všem AI agentům, aby mohli nativně pracovat s inteligentní správou smluv v Claude, ChatGPT, Gemini, Copilot i Slacku.
Docusign, the most trusted name in agreement tech, applies agreement engine to modern agentic enterprise tech stacks
, /PRNewswire/ -- Docusign (Nasdaq: DOCU) today announced it will open its Model Context Protocol (MCP) Server to every AI agent on September 30. With the Docusign MCP generally available globally, agreement intelligence and governed action — powered by AI engine Docusign Iris — are now callable natively from Claude, ChatGPT, Gemini, Copilot, Slack, and any MCP client, directly accessible by the agents running a business.
"For enterprise AI to truly succeed, it must integrate with the foundational systems that businesses rely on, like agreement management," said Allan Thygesen, CEO of Docusign. "Agents require a robust framework to analyze terms and execute end-to-end agreement workflows. Docusign becomes the essential agreement layer for any platform's agent, leveraging deep context and the rigorous governance customers demand. This is what evolves a connected agent into a trusted partner for contract management."
Docusign has operated an open, API-first platform for two decades, with eSignature embedded in over 1,100 partner-built applications. Now, Docusign's MCP Server extends that same open architecture for agents leveraging a full intelligent agreement suite. The Docusign MCP Server is built for the enterprise, with account-level admin controls, global multi-region infrastructure, and multilingual support. Agents will draw on the full context of past negotiations, accepted terms, clauses, and company policy through Iris, Docusign's AI engine, across Intelligent Agreement Management, and even in advanced CLM workflows.
Available everywhere work happens
Docusign eliminates the need for app-switching that slows deals down by natively embedding contract analysis, sending, and tracking where work already happens. This runs bidirectionally with data from systems like Oracle flowing directly into Docusign, while Docusign's own capabilities extend outward into Slack, Perplexity, and Salesforce where Iris runs natively alongside Agentforce. Salesforce recently named Docusign as a Partner of the Year award winner, recognizing IAM integrations across Salesforce, Agentforce and Slack that empower customers to close deals, pull contract insight for renewals and collaborate on agreements without leaving their flow of work.
Here's what beta customers and partners had to share:
"Salesforce delivers AI agents you can trust, serving customers 24/7, generating new pipeline, and handling routine work at scale — so people can focus on judgment, relationships, and growth. Collaborating with Docusign adds real value for customers who are building their Agentic Enterprise with Salesforce. Agentforce and Slackbot will read and act on contract terms in real-time to accelerate high value sales and service actions. Together we accelerate business processes that our customers really care about," said Joe Inzerillo, President Enterprise & AI Technology, Salesforce. "As organizations move from AI experimentation to enterprise-scale deployment, agreements are an essential workflow that agents need to understand and act on securely. Docusign's MCP capabilities give organizations a practical way to bring agreement workflows into the AI platforms and agent experiences where employees already work. Slalom looks forward to helping joint customers design and deploy these connected experiences in a way that drives productivity while supporting the governance, integration, and change management required for enterprise adoption," said Carlos Etter, Director of Global Enterprise Applications & CLM Practice Leader, Slalom. "Docusign is Experian's core agreement layer. As an early enterprise customer, we're exploring how agentic capabilities can strengthen our agreement intelligence — verifying accuracy at the drafting stage, automating across the contract lifecycle, and in doing so improving both how our teams work and how our clients experience contracting with us. We're excited by the potential agents hold for how enterprises manage agreements at scale," said Gary Sonnenthal, VP, Global Quote to Cash Product Owner, Experian. About Docusign
Docusign brings agreements to life. Over 1.9 million customers and more than a billion people in over 180 countries use Docusign solutions to accelerate the process of doing business and simplify people's lives. With intelligent agreement management, Docusign unleashes business critical data that is trapped inside of documents. Until now, these were disconnected from business systems of record, costing businesses time, money, and opportunity. Using Docusign's AInative IAM platform, companies can create, commit, and manage agreements with solutions created by the #1 company in e-signature and CLM. Learn more at www.docusign.com.
Media Contact:
Docusign Communications
[email protected]
Docusign ve 2. čtvrtletí překonal odhady tržeb i upraveného zisku na akcii a zvýšil výhled tržeb na fiskální rok 2027. Akcie v after-hours vzrostly o 5,35 %.
Docusign Inc (NASDAQ:DOCU) posted financial results for the second quarter of fiscal 2027 after the bell on Thursday. Here’s a look at the key metrics from the quarter.
Docusign stock is moving. Where is DOCU stock going? Docusign Q2 HighlightsDocusign posted second-quarter revenue of $875.75 million, beating the consensus estimate of $857.43 million, according to Benzinga Pro. The agreement management company reported adjusted earnings of $1.16 per share for the quarter, beating estimates of $1.09 per share.
Total revenue was up 9% year-over-year. Net cash from operations totaled $334.5 million, and free cash flow came in at $295.8 million in the quarter.
Docusign said it repurchased $306.5 million of its common stock during the quarter. The company ended the period with $973.1 million in cash, cash equivalents and investments.
Docusign expects third-quarter revenue to be in the range of $886 million to $890 million versus estimates of $888.56 million. The company also raised its fiscal 2027 revenue outlook to $3.499 billion to $3.507 billion, up from $3.49 billion to $3.502 billion, versus estimates of $3.497 billion.
“Docusign is raising its outlook as AI accelerates momentum across the business,” said Allan Thygesen, CEO of Docusign.
Docusign management will discuss the quarter on an earnings call with investors and analysts at 5 p.m. ET.
DOCU Shares Move HigherDOCU Price Action: Docusign shares were up 5.35% in after-hours trading at $69.73 at the time of publication on Thursday, according to Benzinga Pro.
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DocuSign Inc. (NASDAQ:DOCU) shares are in the spotlight, with earnings on deck today, key growth metrics in focus, a technical setup showing a repaired trend and Edge Rankings all drawing attention.
Docusign stock is gaining positive traction. What’s pushing DOCU stock higher? Earnings Preview & HistoryDocuSign is scheduled to report second-quarter fiscal 2027 earnings today after market close. Analysts estimate EPS of $1.09 along with revenue of $867.43 million. For the prior quarter, DocuSign reported non-GAAP EPS of $1.09, beating estimates of 99 cents. The company also posted revenue of $830.2 million, up 9% year-over-year, in line with consensus expectations.
What to Watch: IAM Adoption, ARR Guidance, AI Partnerships, and BuybackInvestors will be closely tracking Intelligent Agreement Management adoption, since IAM represented 12.6% of total annual recurring revenue as of April 30, up from 10.8% at the end of the prior quarter and remains central to DocuSign’s growth strategy. Full-year ARR guidance will also be in focus, with management projecting 8.25% to 8.75% year-over-year growth to over $3.5 billion by the end of fiscal 2027.
Commentary on the company’s AI integrations, including its recent Google Cloud partnership, along with share buyback activity — which management has said will more than offset dilution from stock compensation — should offer additional signals on margin expansion heading into the back half of the year.
A Repaired Trend Testing Prior ResistanceDocusign is trading about 8% above its 20-day SMA ($61.66) and more than 20% above its 50-day SMA ($54.74), which keeps the intermediate trend pointed up and suggests pullbacks have been getting bought. It’s also roughly 24% above the 200-day SMA ($53.63), reinforcing that the longer-term trend has repaired since the first-half lows.
MACD is the cleaner momentum read here: it’s above its signal line with a positive histogram, which typically means upside pressure is building versus the recent baseline rather than fading. In plain terms, MACD compares two moving averages to gauge whether momentum is improving or cooling, and being above the signal line leans bullish.
The next technical test is whether price can work through the prior supply zone near the low $70s after the recent swing high in August, or whether it needs to digest gains first. If the stock slips, traders will watch whether it can stay constructive above the mid-to-high $50s area that has acted as a prior demand zone.
Key Resistance: $71.00 — a nearby round-number area that can act as a pivot where rebounds stall Key Support: $58.50 — a nearby level tied to a prior demand zone and closer to the 20-day/50-day trend structure Benzinga Edge RankingsBelow is the Benzinga Edge scorecard for DocuSign, highlighting its strengths and weaknesses compared to the broader market:
Momentum: Bullish (Score: 76.64) — The stock is screening as an above-average momentum name, consistent with price holding well above key moving averages. Value: Moderate (Score: 47.75) — Valuation looks closer to the middle of the pack, though the premium P/E suggests the market is still paying up for the growth profile. Growth: Bullish (Score: 96.56) — Growth factors are a key support for the bull case, helping explain why buyers have been willing to defend the uptrend. The Verdict: DocuSign’s Benzinga Edge signal reveals a growth-led profile with supportive momentum, which fits a stock that’s been trending above its major moving averages. The trade-off is that value is only moderate, so follow-through likely depends on DOCU continuing to deliver on growth expectations.
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DocuSign Shares Edge HigherDOCU Price Action: At the time of publication, DocuSign shares are trading 2.25% higher at $66.86, according to data from Benzinga Pro.
Image via Shutterstock
This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
Docusign zpřístupnil svou platformu Intelligent Agreement Management v Gemini Enterprise for Legal, aby právní týmy mohly automatizovat workflow a rychleji pracovat s kontrakty. Integrace je dostupná globálně v angličtině.
Docusign helps legal teams answer contract questions, automate workflows, and move from insight to action within Gemini Enterprise for Legal
, /PRNewswire/ -- Docusign (Nasdaq: DOCU) Docusign today announced that its Intelligent Agreement Management (IAM) platform is available within Google Cloud's Gemini Enterprise for Legal to automate complex enterprise workflows. The integration gives legal teams secure access to Docusign's agreement intelligence directly within Gemini Enterprise for Legal, helping them quickly understand contracts, surface key business insights, and automate workflows across the business.
Docusign MCP Connector for Gemini Enterprise for Legal "Enterprise AI is most powerful when customers can connect it to the trusted business systems they already rely on," said Allan Thygesen, CEO of Docusign. "We're building an open and connected AI ecosystem that gives organizations the flexibility to use the AI platforms that work best for them while bringing trusted Docusign agreement intelligence into those experiences. Together with Google Cloud, we're helping legal teams unlock greater value from AI with the governance and control enterprises expect."
Contracts are one of the richest sources of business context, capturing the commitments, approvals, obligations, and relationships that help AI deliver more informed insights and actions. By bringing the Docusign IAM platform into Gemini Enterprise for Legal, teams can put that information to work without leaving their AI workflow.
Understand agreements faster. Ask Gemini Enterprise to "Summarize this MSA and highlight liability caps" or "Show me all NDAs signed last month." Track agreement activity and business commitments. Ask "What signatures are we still waiting for?" or "Which contracts are up for renewal next quarter?" Get started quickly. Prompt Gemini Enterprise to "Create an updated supplier agreement using our latest approved template." Using the Docusign Model Context Protocol (MCP) connector, the Gemini Enterprise for Legal plug-in securely connects to Docusign agreement intelligence, helping legal teams analyze agreements, automate workflows, and take action while maintaining enterprise-grade security and governance.
The Docusign MCP connector for Gemini Enterprise is available globally in English. Gemini Enterprise for Legal is available by request with features rolling out in the coming weeks. For more information, see the Google Enterprise for Legal announcement.
About Docusign
Docusign brings agreements to life. Nearly 1.9 million customers and more than a billion people in over 180 countries use Docusign solutions to accelerate the process of doing business and simplify people's lives. With intelligent agreement management, Docusign unleashes business-critical data that is trapped inside of documents. Until now, these were disconnected from business systems of record, costing businesses time, money, and opportunity. Using Docusign's IAM platform, companies can create, commit, and manage agreements with solutions created by the #1 company in e-signature and CLM. Learn more at www.docusign.com.
Media Contact:
Docusign Corporate Communications
[email protected]
Docusign za měsíc vzrostl o 18,7 % a těží z rozšiřování platformy IAM s AI nástroji a integracemi. V 1. čtvrtletí fiskálního roku 2027 stoupl provozní zisk o 18 % na 266 mil. USD.
Key Takeaways Docusign stock gained 18.7% in a month, outpacing its industry and the S&P 500 Composite.DOCU is expanding IAM with AI-powered review agents, workflow tools and major platform integrations.Docusign held about $1B in cash and investments, had no debt and posted 28% operating cash flow growth. Docusign (DOCU - Free Report) stock has gained 18.7% in a month compared with the industry’s 0.3% growth and the Zacks S&P 500 Composite's 2.9% return.
DOCU’s 1-Month Share Price Performance
Image Source: Zacks Investment Research
Let us delve deeper into the factors that have contributed to the company’s outperformance.
DOCU’s AI-backed ScalabilityDocusign continues to benefit from broad use of e-Signature while expanding customer relationships through its Intelligent Agreement Management (IAM) platform. The company is extending beyond eSignature by building IAM around agreement creation, review, workflow automation and post-signature management.
The company witnessed investments from 40,000 customers in IAM during the first quarter of fiscal 2027, representing 12.6% of total Annual Recurring Revenue, up from 10.8% at fiscal 2026 year-end. DOCU expanded the platform’s capabilities through new artificial intelligence (AI)-powered offerings under its Iris agreement AI engine. New contract review agents, workflow automation tools and integrations with platforms such as Anthropic Claude, OpenAI ChatGPT, Salesforce, Coupa and Thomson Reuters are intended to deepen customer engagement and strengthen DOCU’s competitive position in agreement management.
DOCU’s Strong Profitability Attracts InvestorsRecently, Docusign delivered solid profit figures in the first quarter of fiscal 2027. Its non-GAAP operating income rose 18% year over year to $266 million, while operating margin expanded 250 basis points to 32%. Adjusted net income increased 12.6% year over year, while adjusted earnings per share rose 21.1% year over year to $1.09 per share. Results benefited from higher revenues, disciplined spending, increased capitalization of development costs and an insurance-related legal reimbursement. Such results boosted shareholder confidence in the company's profit growth. invest
DOCU’s Solid Cash ProfileAs of April 30, 2026, DOCU held approximately $1 billion in cash, cash equivalents and investments with no debt. This solid cash position, which was enhanced by 28% year-over-year growth in operating cash flow during the last reported quarter, provides DOCU with sufficient flexibility to invest in its scaling business without hampering its short-term financial position. Free cash flow increased by 27% during this time frame.
DOCU’s Zacks Rank & Stocks to ConsiderDocusign currently carries a Zacks Rank #3 (Hold).
A couple of better-ranked stocks in the broader Zacks Computer and Technology sector are Analog Devices, Inc. (ADI - Free Report) and AMETEK, Inc. (AME - Free Report) . You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Analog Devices carries a Zacks Rank #2 (Buy) at present. It has a long-term earnings growth expectation of 31%.
ADI delivered a trailing four-quarter earnings surprise of 5.5%, on average.
AMETEK also holds a Zacks Rank of 2 at present. It has a long-term earnings growth expectation of 9.4%.
AME beat earnings estimates in each of the trailing four quarters, with an average earnings surprise of 4.9%.
Akcie DocuSign v posledním obchodním dni klesly o 1,2 % na 52,74 USD, ale za poslední měsíc vzrostly o 22,8 %. Investoři čekají na výsledky hospodaření, kde analytici odhadují EPS 1,08 USD a tržby 868,04 milionu USD.
In the latest close session, DocuSign (DOCU - Free Report) was down 1.2% at $52.74. This change lagged the S&P 500's 1.01% loss on the day. Meanwhile, the Dow experienced a drop of 0.77%, and the technology-dominated Nasdaq saw a decrease of 1.4%.
The stock of provider of electronic signature technology has risen by 22.8% in the past month, leading the Computer and Technology sector's loss of 3.73% and the S&P 500's gain of 0.32%.
Investors will be eagerly watching for the performance of DocuSign in its upcoming earnings disclosure. In that report, analysts expect DocuSign to post earnings of $1.08 per share. This would mark year-over-year growth of 17.39%. Alongside, our most recent consensus estimate is anticipating revenue of $868.04 million, indicating a 8.42% upward movement from the same quarter last year.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $4.54 per share and revenue of $3.49 billion. These totals would mark changes of +18.23% and +8.53%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for DocuSign. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Consequently, upward revisions in estimates express analysts' positivity towards the business operations and its ability to generate profits.
Based on our research, we believe these estimate revisions are directly related to near-term stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the past month, there's been a 1% rise in the Zacks Consensus EPS estimate. As of now, DocuSign holds a Zacks Rank of #3 (Hold).
Investors should also note DocuSign's current valuation metrics, including its Forward P/E ratio of 11.76. This denotes a discount relative to the industry average Forward P/E of 20.37.
We can additionally observe that DOCU currently boasts a PEG ratio of 0.7. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. As of the close of trade yesterday, the Internet - Software industry held an average PEG ratio of 1.11.
The Internet - Software industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 86, putting it in the top 35% of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
