Is DocuSign Stock a Buy?
DocuSign's (NASDAQ: DOCU) stock was a pandemic darling that turned on investors. The need for housebound clients to sign documents drove the company's revenue for a time, but that gave way to slowing growth as demand cratered after the end of lockdowns.
That decline changed the investment thesis for DocuSign. So did the company's lower valuation and continued business growth. The question for investors is whether a post-pandemic DocuSign can now drive better returns for the software-as-a-service (SaaS) stock.
Even those holding long positions probably have to admit that DocuSign's current state was inevitable. The lockdowns were not likely to last forever, and once they ended, the company's e-signature products would not sell as easily. That factor seemed lost on former CEO Dan Springer, and that lapse in judgment likely led to his departure. Now, DocuSign's board has hired Allan Thygesen -- who once led the marketing and advertising divisions at Alphabet's Google -- as its new CEO.
Source Fool.com
