DocuSign, Inc.

DB:DS3 Stock Report

Market Cap: €15.3b

DocuSign Valuation

Is DS3 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of DS3 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: DS3 (€73.53) is trading below our estimate of fair value (€123.29)

Significantly Below Fair Value: DS3 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for DS3?

Key metric: As DS3 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for DS3. This is calculated by dividing DS3's market cap by their current earnings.
What is DS3's PE Ratio?
PE Ratio16.1x
EarningsUS$988.02m
Market CapUS$16.06b

Price to Earnings Ratio vs Peers

How does DS3's PE Ratio compare to its peers?

The above table shows the PE ratio for DS3 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average38x
NEM Nemetschek
66.9x18.6%€11.4b
TMV TeamViewer
15x11.0%€1.8b
AOF ATOSS Software
41.8x7.8%€1.8b
MUM Mensch und Maschine Software
28.4x14.0%€909.1m
DS3 DocuSign
16.1x-46.3%€16.1b

Price-To-Earnings vs Peers: DS3 is good value based on its Price-To-Earnings Ratio (16.1x) compared to the peer average (38x).

Price to Earnings Ratio vs Industry

How does DS3's PE Ratio compare vs other companies in the European Software Industry?

5 CompaniesPrice / EarningsEstimated GrowthMarket Cap
DS3 16.1xIndustry Avg. 27.7xNo. of Companies17PE020406080100+
5 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: DS3 is good value based on its Price-To-Earnings Ratio (16.1x) compared to the European Software industry average (27.7x).

Price to Earnings Ratio vs Fair Ratio

What is DS3's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

DS3 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio16.1x
Fair PE Ratio18.5x

Price-To-Earnings vs Fair Ratio: DS3 is good value based on its Price-To-Earnings Ratio (16.1x) compared to the estimated Fair Price-To-Earnings Ratio (18.5x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst DS3 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€73.53
€59.64
-18.9%
16.0%€80.08€46.03n/a17
Nov ’25€65.58
€59.64
-9.1%
16.0%€80.08€46.03n/a17
Oct ’25€55.32
€57.97
+4.8%
16.0%€77.84€44.74n/a17
Sep ’25€53.22
€57.32
+7.7%
17.5%€79.52€44.38n/a18
Aug ’25€49.29
€57.32
+16.3%
17.5%€79.52€44.38n/a18
Jul ’25€51.01
€57.77
+13.2%
17.1%€79.59€44.42n/a19
Jun ’25€50.23
€60.26
+20.0%
16.9%€85.88€44.32n/a19
May ’25€52.77
€61.77
+17.0%
17.2%€87.41€45.12n/a20
Apr ’25€55.12
€59.96
+8.8%
18.3%€85.66€44.21n/a20
Mar ’25€49.99
€55.83
+11.7%
22.0%€83.68€40.91n/a20
Feb ’25€53.87
€56.06
+4.1%
21.2%€82.79€40.48n/a20
Jan ’25€54.82
€53.74
-2.0%
22.5%€82.30€40.23n/a20
Dec ’24€42.01
€58.08
+38.3%
21.3%€82.21€37.80n/a19
Nov ’24€36.49
€58.08
+59.2%
21.3%€82.21€37.80€65.5819
Oct ’24€39.53
€58.96
+49.1%
20.1%€82.82€39.98€55.3219
Sep ’24€47.88
€60.05
+25.4%
17.6%€77.42€40.55€53.2218
Aug ’24€48.11
€59.94
+24.6%
16.4%€76.62€43.79€49.2918
Jul ’24€46.83
€59.94
+28.0%
16.4%€76.62€43.79€51.0118
Jun ’24€53.05
€61.77
+16.4%
18.8%€84.21€42.11€50.2318
May ’24€44.76
€62.92
+40.6%
17.9%€84.58€45.11€52.7717
Apr ’24€53.46
€62.92
+17.7%
17.9%€84.58€45.11€55.1217
Mar ’24€55.28
€60.67
+9.7%
18.7%€84.91€45.28€49.9917
Feb ’24€57.08
€57.48
+0.7%
20.8%€82.83€34.97€53.8718
Jan ’24€51.73
€56.53
+9.3%
23.2%€84.66€35.75€54.8218
Dec ’23€45.79
€64.29
+40.4%
23.2%€89.26€42.23€42.0118
Nov ’23€48.57
€70.13
+44.4%
21.4%€95.11€45.00€36.4917

Analyst Forecast: Target price is lower than the current share price.

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