Why is DocuSign falling?
Asked by: Mario Moen II | Last update: February 13, 2026Score: 4.8/5 (36 votes)
DocuSign (DOCU) stock has been falling due to increased competition (especially from Adobe & new AI tools), market anxiety about high-growth tech stocks, concerns over commoditization in the e-signature space, decelerating revenue growth, and some insider selling, despite recent positive AI product launches and analyst upgrades suggesting it could be undervalued.
Why is DocuSign stock dropping?
Shares of electronic signature company DocuSign (NASDAQ:DOCU) fell 5.6% in the afternoon session after a wave of competitive anxiety hit the enterprise software sector sparked by a high-profile downgrade of Adobe, triggering a broader sell-off in high-valuation cloud stocks.
What is the DocuSign controversy?
A lawsuit out of California claims DocuSign is violating the California Invasion of Privacy Act (CIPA). The lawsuit involves allegations against the company for violating California's digital privacy laws through the use of tracking software on its website, specifically “pen register” and “trap and trace” devices.
Who is DocuSign's biggest competitor?
DocuSign's biggest competitors in the eSignature market are Adobe Acrobat Sign, Dropbox Sign (formerly HelloSign), and PandaDoc<<!/60>>, alongside strong players like SignNow, Zoho Sign, and OneSpan Sign, with Adobe often cited as the primary rival due to its extensive ecosystem and robust features for enterprise users. These competitors offer similar core services like secure eSignatures, workflow automation, and integrations, but vary in pricing, specific features (like advanced PDF editing), and target business size.
Is DocuSign a buy, sell, or hold?
Wall Street analysts currently have a consensus "Hold" rating for DocuSign (DOCU), with many recommending holding the stock while awaiting stronger growth signals, despite some analysts seeing potential upside and a favorable valuation compared to its industry, with a significant number of recent reports advising a hold. While some view it as a growth play with AI potential, others are cautious due to broader tech market shifts and competition, leading to mixed sentiment but a dominant "Hold" consensus.
Why is Docusign Stock Falling in 2025, and is it a Buying Opportunity for 2026? | DOCU Stock
What stocks are going to skyrocket in 2025?
While no one can predict the future, Artificial Intelligence (AI), semiconductors, cloud computing, health tech, and e-commerce were strong sectors in 2025, with names like Nvidia (NVDA), Microsoft (MSFT), Apple (AAPL), Alphabet (GOOGL), Amazon (AMZN), and TSMC (TSM) often cited for their performance and potential, driven by AI demand and strong tech fundamentals. Companies like Broadcom (AVGO), Eli Lilly (LLY) (health/obesity), and emerging tech/growth stocks such as Palantir (PLTR), AMD (AMD), and ASML (ASML) also showed promise, with real assets like gold miners gaining momentum in early 2026 as the tech rally broadened, suggesting a rotation into other areas.
Why did the stock market fall suddenly?
A sudden stock market fall (or "crash") happens due to panic selling driven by major negative news, like a pandemic (2020), new AI disruption fears, unexpected weak economic data (job losses), sudden changes in Federal Reserve policy expectations (interest rates), or geopolitical events (trade wars, tariffs), leading to risk aversion and investors rushing to safe assets like gold, causing a rapid, widespread decline in stock prices.
Is DocuSign a good long-term investment?
Additionally, the company could be a top pick for growth investors. DOCU has a Growth Style Score of A, forecasting year-over-year earnings growth of 6.8% for the current fiscal year. Seven analysts revised their earnings estimate upwards in the last 60 days for fiscal 2026.
Is Adobe or DocuSign better?
DocuSign is often seen as the industry leader with deeper integrations and extensive automation for complex enterprise needs, while Adobe Sign excels with seamless integration into the Adobe ecosystem (PDFs, Microsoft 365), offering strong PDF manipulation and often better value for existing Adobe users, though both provide robust, secure e-signature capabilities. Your best choice depends on your existing software stack: choose DocuSign for broad third-party integrations and advanced automation, or Adobe Sign for tighter integration with Adobe/Microsoft products and strong PDF features.
Who is the parent company of DocuSign?
Further details of our company can be found in our annual report and accounts available at investor.docusign.com. Docusign's group's parent company is Docusign, Inc., a Delaware corporation. Docusign, Inc. has subsidiary companies operating in over 18 countries with 6,838 employees as of January 31, 2025.
Do people still use DocuSign?
Yes, many individuals and organizations still use DocuSign for electronic signatures. However, with the evolution of technology and increasing concerns about data privacy and compliance, some users are exploring alternative options.
How is DocuSign doing financially?
Subscription revenue was $801.0 million, a 9% year-over-year increase. Professional services and other revenue was $17.4 million, a 14% year-over-year decrease. Billings were $829.5 million, a 10% year-over-year increase including approximately 0.5% positive impact of foreign currency exchange rates.
Is DocuSign banned in China?
Technically, DocuSign is not banned in China. Businesses and individuals in China can potentially access DocuSign's services through cross-border collaboration, especially in transactions involving multinational parties.
Who will acquire DocuSign?
Market Overview: -Bain Capital and Hellman & Friedman emerge as frontrunners in the hotly contested race to acquire DocuSign, the king of electronic signatures. -The potential $12.5 billion deal, fueled by rising demand for digital workflows, could be one of 2024's biggest leveraged buyouts.
What are the top 3 AI stocks to buy now?
While no definitive "top 3" exists, leading AI stocks frequently mentioned for potential investment include Nvidia (NVDA), for its GPU dominance; Microsoft (MSFT), for its cloud and OpenAI integration; and Broadcom (AVGO), for networking and custom AI chips, with other strong contenders like AMD, Amazon (AMZN), and Alphabet (GOOGL) also spotlighted for their AI ecosystems and components.
Why did the market drop 700 points today?
US stocks tanked on Friday as Wall Street grappled with President Trump's escalating trade war and weighed signs of reinvigorated inflation pressures amid souring consumer sentiment. The Dow Jones Industrial Average (^DJI) dropped more than 700 points or nearly 1.7%, while the benchmark S&P 500 (^GSPC) fell almost 2%.
Who is the biggest competitor of DocuSign?
DocuSign's biggest competitors in the eSignature market are Adobe Acrobat Sign, Dropbox Sign (formerly HelloSign), and PandaDoc<<!/60>>, alongside strong players like SignNow, Zoho Sign, and OneSpan Sign, with Adobe often cited as the primary rival due to its extensive ecosystem and robust features for enterprise users. These competitors offer similar core services like secure eSignatures, workflow automation, and integrations, but vary in pricing, specific features (like advanced PDF editing), and target business size.
What are the cons of DocuSign?
DocuSign's main disadvantages include high costs and complex pricing, often requiring expensive higher-tier plans for essential features, making it costly for small businesses, alongside issues like a steep learning curve, rigid contracts, poor support in some regions, and occasional technical glitches during signing. Users also cite limited customization and a lack of advanced functionality beyond basic e-signatures, plus concerns over data privacy and regional service quality, especially in Asia.
Is DocuSign better than Dropbox?
Customers rank Dropbox Sign above DocuSign
Dropbox Sign ranks above DocuSign on multiple dimensions, as measured by customer reviews and rankings on widely trusted review site, G2.
Should I sell DocuSign stock?
DocuSign (DOCU) has been analyzed by 15 analysts, with a consensus rating of Hold. 20% of analysts recommend a Strong Buy, 13% recommend Buy, 67% suggest Holding, 0% advise Selling, and 0% predict a Strong Sell.
What are the top 5 stocks to buy right now?
As of mid-January 2026, top stock picks often feature AI leaders like Nvidia (NVDA), Alphabet (GOOGL), Microsoft (MSFT), and Amazon (AMZN), alongside high-growth names such as MercadoLibre (MELI), Duolingo (DUOL), and Wingstop (WING), while value plays might include Target (TGT) or Comcast (CMCSA), but always research individual companies and consider your risk tolerance.
How much do I need to invest in stocks to make $1000 a month?
To earn $1,000 a month from stocks, you'll generally need a portfolio of $200,000 to $400,000, depending on the average dividend yield (e.g., a 4% yield needs $300k, while a higher 6.5% yield needs around $185k). The exact amount depends on your chosen strategy (dividend stocks/ETFs vs. growth) and your risk tolerance, with higher yields often coming with higher risk.
What is the 7% loss rule?
The "7% loss rule" in trading is a risk management guideline suggesting you sell a stock if it drops 7% (or 7-8%) below your purchase price to cut losses, protect capital, and remove emotion from decisions, popularized by William O'Neil for positional trading; it helps ensure losses aren't catastrophic, though some traders adjust it for volatility or market conditions, with a variation for real estate suggesting 7% rental yield.
What if I invested $1000 in S&P 500 10 years ago?
If you invested $1,000 in the S&P 500 ten years ago (around early 2016), your investment would have grown to roughly $3,300 to over $4,000 by late 2025/early 2026, depending on the exact date and if dividends were reinvested, representing a significant gain of over 200-300% and an average annual return of roughly 11-15%. This demonstrates steady wealth building, with figures varying slightly based on specific fund (like SPY or VOO) and inclusion of reinvested dividends, which significantly boost total returns over time.
Is the market going to crash in 2026?
History makes it clear that a sizable stock market decline is expected in the presumed not-too-distant future. However, there's nothing in the 155 years of valuation data that suggests a stock market crash is imminent or that one will occur during President Trump's second year.