Why DocuSign Stock Shot Higher Today
On yet another gloomy day for the stock market, DocuSign (NASDAQ: DOCU) was an outlier Tuesday, with its shares rising by nearly 2%. It seems that the latest rumor about the company has some legs, with the share price advancing cautiously higher on the scuttlebutt.
That ball started to roll on Monday morning, following a report concerning a major tech company from a team of Evercore ISI analysts led by Amit Daryanani. That company is IBM (NYSE: IBM), which the prognosticators speculated might be on the hunt for a fresh acquisition. The team considers DocuSign, in addition to other niche tech businesses like Zscaler and Okta, to be a potential target.
Like many veteran companies, IBM has reached a certain level of maturity and is well capitalized. As such, it can pull the acquisition lever for a quick way to simultaneously lift its revenue and venture into new (or underdeveloped) business segments.
Source Fool.com
