DocuSign and Coupa are downgraded

The near term will be challenging for both DocuSign and Coupa Software , according to an RBC analyst, who cut his ratings on the software stocks Monday.

RBC’s Rishi Jaluria now rates DocuSign , the e-signature company, at Sector Perform, down from Outperform. He cut his call on Coupa, a provider of spending-management software, to Underperform from Sector Perform.

Jaluria has a $65 price target on DocuSign’s stock, down from $80. He cut his target for Coupa to $55 from $65. Shares of DocuSign (ticker: DOCU) and Coupa (COUP) fell 4% to $63.36 and $65.08, respectively, in premarket trading Monday.

The analyst said he likes the technology offered by both companies but that DocuSign has a long path ahead of it as it seeks to turn itself around following a series of disappointing financial results. That process is on hold, he said, while DocuSign seeks a new CEO.