On September 15, Docusign rose 5.06% in regular trading, trading at $68.995/share, with turnover of $78.93 million. The rally was driven by the company's strong FY2027 Q2 results and a wave of analyst price target upgrades.
Docusign reported Q2 revenue of $875.7 million, up 9.4% year-over-year, beating estimates by $8.54 million. Adjusted EPS came in at $1.16, surpassing the consensus estimate of $1.09. The company raised its full-year revenue guidance to $3.499–3.507 billion and lifted its IAM business ARR target to 18%–19% of total ARR. Adjusted operating margin of 31.6% also exceeded the 30% forecast.
Following the beat, multiple investment banks raised their price targets: Morgan Stanley to $75, Piper Sandler to $75, RBC Capital Markets to $70, and BofA Securities to $64. Most maintained hold-equivalent ratings, noting shares appear near fair value but acknowledging improving IAM adoption momentum.
Additionally, Docusign announced it will open its Model Context Protocol server to all AI agents on September 30, integrating with Claude, ChatGPT, Gemini, Copilot, and Slack, further reinforcing its AI ecosystem strategy and bolstering market confidence.
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