Digital signature cloud company DocuSign Inc. (NASDAQ: DOCU) stock got clobbered on the Sell rating by UBS on Feb. 21, 2023. The company is arguably the leader in digital eSignatures and offers additional services that lead to complete contract lifecycle management. The company has a growing list of competitors, including Adobe Inc. (NASDAQ: ADBE) , Dropbox Inc. (NYSE: DBX) , Zix Co. (NASDAQ: ZIXI) , and SAP SE (NYSE: SAP) . Outstanding shares grew from 198 million to 201 million in fiscal Q3 2022. It’s falling top-line growth, growing outstanding shares, normalization, and a second round of layoffs in less than eight months makes for a compelling case for the downgrade. Miscalculating the Pandemic DocuSign experienced tremendous growth during the pandemic as lockdowns and social distancing restrictions forced businesses to adopt eSignatures for contracts and agreements. The growth of remote work and elastic offices have been strong tailwinds for DocuSign, but investors are concerned about normalization. The company admits it made the mistake of not scaling correctly, leading to a loss in innovation velocity. The company announced restructuring plans to include a layoff of 10% of its workforce (approximately 680 workers) on Feb. 16, 2023. Layoffs have become commonplace […]
K&X Design and Investment Technology, LLC
Invest The Invisible Impact
K&X Design and Investment Technology, LLC
Invest The Invisible Impact
